Logo of Phnom Penh Post newspaper Phnom Penh Post - KE, CMA liaise on financial access for SMEs, start-ups

KE, CMA liaise on financial access for SMEs, start-ups

Content image - Phnom Penh Post
Cambodia Microfinance Association (CMA) executive director Phal Vandy (left) and Khmer Enterprise (KE) CEO Chhieng Vanmunin sign the memorandum of understanding (MoU) on Friday. CMA

KE, CMA liaise on financial access for SMEs, start-ups

The Cambodia Microfinance Association (CMA) and state-owned Khmer Enterprise (KE) have entered into a partnership aimed at improving access to finance for entrepreneurs and small- and medium-sized enterprises (SME) in the Cambodian ecosystem.

A memorandum of understanding (MoU) was signed to that end on November 26 at the CMA’s Annual Microfinance Conference 2021 between the association’s executive director Phal Vandy and Chhieng Vanmunin, CEO of KE, a unit under the Ministry of Economy and Finance.

Vanmunin said the partnership seeks to provide local start-ups and SMEs with access to financial information concerning rates and relevant fees, risks, and available financial instruments.

He said the government “has many policies to create additional funds in the financial system and to relax compulsory criteria for financial institutions”.

“However, it is ultimately up to the financial institutions to pass down those benefits to SMEs and start-ups in Cambodia.”

The CMA’s Vandy suggested that the Kingdom’s fast-growing economy provides evidence that SMEs and start-ups have become increasingly important sources of employment and engines of economic growth.

Microfinance has helped in poverty alleviation in recent decades, he said, adding that the sector has shifted from exclusively serving the poor to providing others with all types of financial needs.

“The MoU between CMA and KE will tighten the relation of the two sectors, ensuring better financial services to SMEs and start-ups.

“The microfinance sector has been working closely with the government to support SMEs. CMA has played crucial roles in recent initiatives of SME Bank and Credit Guarantee Cooperation of Cambodia, both of which aim solely at boosting” smaller businesses, he said.

MOST VIEWED

  • Joy as Koh Ker Temple registered by UNESCO

    Cambodia's Koh Ker Temple archaeological site has been officially added to UNESCO’s World Heritage List, during the 45th session of the World Heritage Committee held in Riyadh, Saudi Arabia, on September 17. The ancient temple, also known as Lingapura or Chok Gargyar, is located in

  • Ream base allegations must end, urges official

    A senior government official urges an end to the allegations and suspicions surrounding the development of Cambodia’s Ream Naval Base, now that Prime Minister Hun Manet has addressed the issue on the floor of the 78th UN General Assembly (UNGA 78). Jean-Francois Tain, a geopolitical

  • Cambodia set to celebrate Koh Ker UNESCO listing

    To celebrate the inscription of the Koh Ker archaeological site on UNESCO’s World Heritage List, the Ministry of Cults and Religion has appealed to pagodas and places of worship to celebrate the achievement by ringing bells, shaking rattles and banging gongs on September 20. Venerable

  • CP denied registration documents by ministry

    The Ministry of Interior will not reissue registration documents to the Candlelight Party (CP). Following a September 21 meeting between ministry secretary of state Bun Honn and CP representatives, the ministry cited the fact that there is no relevant law which would authorise it to do

  • Cambodian diaspora laud Manet’s UN Assembly visit

    Members of the Cambodian diaspora are rallying in support of Prime Minister Hun Manet’s forthcoming visit to the 78th UN General Assembly (UNGA 78) in the US’ New York City this week. Their move is an apparent response to a recent call by self-exiled former

  • After three deferrals, Capital Gains Tax to take effect Jan 1, 2024

    The General Department of Taxation (GDT) will implement the Capital Gains Tax starting January 1, 2024 to after being deferred three times as industrial players warn that the implementation might have some negative impact on the property market growth, which is down due to the economic downturn.