The National Bank of Cambodia (NBC) and the National Social Security Fund (NSSF) have entered into a partnership on social security planning, investment management and human resource development.
A memorandum of understanding (MoU) was signed to this effect by NBC technical director-general Chea Serey and NSSF director-general Ouk Somvithyea via video link on July 29 to establish a framework for cooperation on the technical issues involved.
Somvithyea noted that the NSSF directly oversees four major social security schemes pertaining to occupational risk, health care, pension and unemployment, under the provisions of the Labour Law.
He said the main purpose of the MoU is to “provide an opportunity for both organisations to explore different perspectives, … [share] experiences on related issues … and increase cooperation between the two institutions”.
The deal, he said, would serve as “a platform for strengthening the capacity and knowledge of investment management of NSSF technical officers, to carry out investment work more effectively and efficiently through practical examples and experiences provided directly by its partners”.
Serey noted that the training of reserve management officers is carried out on a regular basis, in all forms and in a sustainable manner, and includes short-, medium- and long-term internal and overseas training, in collaboration with central banks, private banking institutions and other major financial institutions around the world.
She emphasised that the professional capacity of NBC reserve investment officers is recognised internationally, and that the NBC has received requests to share knowledge and experiences in managing international reserves from other central banks, such as those from Laos, Myanmar and Afghanistan.
Serey said in a statement: “I believe that the implementation of this MoU will provide an opportunity for the NSSF to [undertake] a training [programme] that is high-quality and appropriate to the actual needs to achieve the goal of managing investment in social security funds safely and effectively.
“This is also a new opportunity to share knowledge and experience, and contribute to the management of the social security fund for safe growth to achieve the common goal of [supporting] the well-being of the Cambodian people, with excellence and sustainability.”
Samvithyea revealed that the NSSF is currently implementing two social security systems – concerning occupational risk and health care – and will introduce a system for pensions in the near future, which will entitle private sector employees enrolled in the fund to receive the same pension as civil servants.
“I strongly hope that through cooperation with the NBC now, social security will receive positive results, to contribute to strengthening the implementation of social protection policies of the Royal Government, to be more efficient and effective,” he said.