Cambodia's newest commercial bank says it expects to sign up 178,000 customers and
earn $6.7 million in net profit annually by 2008.
Chhay Soeun, financial deputy manager of the Association Cambodia Local Economic
Development Agency (ACLEDA) Bank Plc said the bank aims to earn $2.3 million in 2004,
$3.2 million in 2005, $4.4 million in 2006 and $5.5 million in 2007.
"We will invite an international credit rating company to classify our bank,
otherwise it will be difficult to enter the international market," he said.
Soeun told the Post on March 9 that ACLEDA started as a non-governmental organisation
to provide micro-finance to the poor in 1993, and its transformation to a commercial
bank resulted from healthy performance figures under good management.
ACLEDA's commercial operation was officially launched in Phnom Penh on March 1, by
the Minister of Economy and Finance, Keat Chhon, and the Governor of the National
Bank of Cambodia (NBC), Chea Chanto.
ACLEDA is the 14th bank to be granted a commercial license by the NBC. There are
also three specialized banks in Cambodia.
Prom Visoth, the secretary of ACLEDA, said the bank has been strongly competitive
in providing quality service, transparency, and human resources. He said the bank
will lend in riel from 2 to 4.5 percent interest, and in US currency from 1.5 to
"We expect an average growth of 30 percent over the next year to meet the high
standard of the market," said In Channy, general manager of ACLEDA.
He said the alliance of ACLEDA with its customers is an important tool for economic
growth at the grass roots level. It provides a stimulus to social development and
is a powerful weapon in the fight against poverty in Cambodia.
He said ACLEDA was a full commercial and retail banking service including overseas
fund transfers, foreign exchange, trade finance and other commercial banking services.
Soeun said the shareholders were 51 percent Cambodian and 49 percent foreign, as
permitted by law. He said there are five foreign shareholders within ACLEDA.
Channy said in his speech that the bank has increased capital from $4 million to
$13 million and now has total assets of more than $48 million. There were 103 branches
and offices in 21 provinces and serving more than 100,000 borrowing customers and
nearly 40,000 depositors throughout Cambodia.
The bank had outstanding loans for investment in the local economy totalling $43.35
million to more than 100,000 micro, small and medium business entrepreneurs, and
within eleven years had provided 896,599 loans totalling over $261 million.