Financial literacy Archives

Entrepreneurship Program Initiative of CGCC (EPIC) 3rd Series of 2024

Posted on December 11, 2024December 11, 2024 by Sorn Chhorvyvatey

On 06 December 2024, at the Business Development Center, Credit Guarantee Corporation of Cambodia (CGCC), and J Trust Royal Bank, co-organized the EPIC 3^rd Series of 2024 on “Effective Business Operation in the Digital Age for MSMEs”, participated by around 50 trainees from the Micro, Small, and Medium Enterprises (MSMEs), in which approximately 65% are women entrepreneurs, and around 10 students from the AMT scholarship-Alumni Association.

The EPIC 3rd Series of 2024 was attended with high honor for the certificate presentation ceremony to all participants, trainers and distinguished speakers by His Excellency Dr. Mey Vann, Secretary of State, Ministry of Economy and Finance and the chair of the Group 6 of the A.M.T Scholarship Students-Alumni Association, and under the honor presence of Lok Chumteav You Bory, Vice President of the Cambodian Women’s Association, Mr. No Lida, CEO of CGCC, Ms. Hang Chuon Narita, Chief of Corporate Banking of J Trust Royal Bank, Mr. Pea Vanchhay, Head of SME of Corporate Banking of J Trust Royal Bank, and the management teams of both CGCC and J Trust Royal Bank.

Through this EPIC 3^rd Series of 2024, all participants learned about “Business Operations in the Digital Age for MSMEs” shared by Ms. Sem Sreytouch, Founder of EPL Pollinate Enterprise and President of Cambodia Honey Association. Ms. Sreytouch shared comprehensive digital tools to streamline business operations, how to use digital tools to increase sales, business operation management, customer relations and promotion of products or services, cyber security, and shared strategies for adapting to future market trends and digitalization to stay sustainable and competitive in the digital era. All participants also shared their own practical experiences with each other through active group discussions on topics surrounding the importance of using digital tools and systems, challenges in transitioning to digital, and suggestions or requests for enhancing the performance of MSMEs.

In addition, participants also learned about “Credit Guarantee Mechanisms to Support Access to Finance for SMEs” through a presentation by Ms. Lim Chanthida, Director of Centralized Operations of CGCC. In line with the credit guarantee mechanism, Mr. Poch Pisal, Relationship Manager of SME of Corporate Banking of J Trust Royal Bank, also shared “Credit Assessment Process and Financial Solutions for Businesses, and in particular, Support for Women Entrepreneurs.” with participants.

Capacity-building is one of the priorities of CGCC in the mission of improving financial inclusion and developing SMEs in Cambodia. EPIC is the flagship entrepreneurs’ capacity-building program of CGCC that will provide training to MSMEs on relevant and practical topics of business operations and management for entrepreneurs in collaboration with related stakeholders/Participating Financial Institutions/participants.

Maybank’s New Financing Scheme to Boost SMEs

Posted on December 2, 2024December 10, 2024 by Sorn Chhorvyvatey

Maybank Cambodia, in partnership with the USAID-funded Feed the Future Cambodia Harvest III project and the Credit Guarantee Corporation of Cambodia (CGCC), on Saturday launched the ‘SME Export Finance Solution’ to support the growth of Small and Medium Enterprises (SMEs) in the country.

This initiative also includes the Building Capacity and Capability (BCC) programme for SMEs.

The partnership between the three parties aims to elevate the competitiveness of local SMEs on the global stage, fostering sustainable growth and strengthening Cambodia’s presence in international markets.

By offering tailored financial products—such as working capital loans, trade finance, competitive foreign exchange in 21 currencies, remittance solutions, and export credit facilities—the initiative equips SMEs with resources to overcome financial barriers.

The launch of the ‘SME Export Finance Solution’ was marked by the signing of an agreement between Rath Sophoan, Chief Executive Officer and Country Head of Maybank Cambodia and Nimish Jhaveri, Chief of Party of Feed the Future Cambodia Harvest III.

In his welcoming remarks, Sophoan said that the SME Export Finance Solution will be a game-changer for Cambodian businesses aiming to expand exports to existing or new international markets.

“By empowering SMEs to overcome traditional barriers to finance, this partnership advances individual business growth while contributing to the broader economic development of Cambodia,” he stated.

“As SMEs are the backbone of the Cambodian economy, by equipping them to succeed in export markets, this collaboration will fuel job creation, foster sustainable economic growth, and strengthen Cambodia’s position as a competitive player in the ASEAN region and beyond,” Sophoan noted.

“This initiative also reinforces Maybank’s commitment to its role as the Best ASEAN Bank in Cambodia, leading the way in regional economic empowerment,” he added.

Nimish Jhaveri, Chief of the Party of Feed, the Future Cambodia Harvest III, said the new trade financing solution would provide SMEs with the necessary capital to manage production costs, invest in quality improvements, and fulfil international orders.

“An effective trade financing solution is crucial for these enterprises, as it not only helps bridge cash flow gaps but also enables them to compete more effectively by facilitating timely deliveries and expanding their market reach,” he noted.

“Together, we ensure that these enterprises are equipped not only with financial resources but also with the knowledge and expertise required to succeed globally,” Jhaveri added.

In conjunction with the SME Export Finance Solution, Maybank Cambodia, CGCC, and Harvest III also announced the ‘SME Building Capacity & Capability (BCC) Programme 2024 & 2025’, a flagship initiative designed to further equip SMEs with essential business skills and knowledge.

Since its inception in 2021, the BCC Programme has trained hundreds of SMEs on business fundamentals, advanced techniques, and modern technologies.

Building on this success, in 2024 and 2025, the programme aims to deliver specialised sessions on trade finance solutions, financial management, and strategic planning, led by industry experts from the accounting and business, consulting, and finance sectors. This training empowers SMEs with practical insights and skills needed to enhance their operations and optimise their growth potential.

No Lida, CGCC’s Chief Executive Officer, expressed his strong support for this initiative, stating that the BCC programme equips SMEs with essential skills and knowledge, empowering them to access finance and expand their businesses.

“Through this initiative, we can help improve financial literacy and lay the groundwork for SMEs to thrive locally and internationally. This programme is a crucial step toward our shared vision of fostering a resilient and dynamic SME sector that significantly contributes to Cambodia’s economic growth,” Lida said.

With this initiative, Maybank Cambodia, Harvest III, and CGCC are building a robust support ecosystem for Cambodian SMEs, positioning them to thrive in domestic and global markets.

This initiative provides SMEs with the resources, knowledge, and confidence to scale their businesses and pursue international opportunities through the combined power of financial solutions, capacity-building programmes, and reduced collateral requirements through credit guarantees.

Credit to: Khmer Times, published on 25 November 2024

Empowering Local SMEs to Compete Globally: New Export Finance Solution and Capacity-Building Programme Launched

Posted on November 25, 2024November 25, 2024 by Sorn Chhorvyvatey

Phnom Penh, 23 November 2024 – Maybank Cambodia, in partnership with the USAID-funded Feed the Future Cambodia Harvest III project, is proud to announce the launch of the SME Export Finance Solution, providing tailored SME and trade financing options to empower Cambodian SME exporters to the global market. This programme also includes the Credit Guarantee Scheme and the Building Capacity & Capability (BCC) programme for SMEs, developed in collaboration between Maybank Cambodia and the Credit Guarantee Corporation of Cambodia (CGCC).

This partnership aims to elevate the competitiveness of local SMEs on the global stage, fostering sustainable growth and strengthening Cambodia’s presence in international markets. By offering tailored financial products—such as working capital loans, trade finance, competitive FX in 21 currencies, remittance solutions, and export credit facilities—the initiative equips SMEs with essential resources to overcome financial barriers and pursue international growth. This marks a transformative milestone for Cambodian SMEs, providing a pathway to expand operations, increase revenue, and secure their place in the global marketplace.

Mr. Rath Sophoan, Chief Executive Officer and Country Head of Maybank Cambodia, commented on the partnership, stating, “The SME Export Finance Solution is a game-changer for Cambodian businesses aiming for expanding exports to existing and or new international markets. By empowering SMEs to overcome traditional barriers to finance, this partnership advances individual business growth while contributing to the broader economic development of Cambodia.”

“SMEs are the backbone of the Cambodian economy, and by equipping them to succeed in export markets, this collaboration will fuel job creation, foster sustainable economic growth, and strengthen Cambodia’s position as a competitive player in the ASEAN region and beyond. This initiative also reinforces Maybank’s commitment to its role as the Best ASEAN bank in Cambodia, leading the way in regional economic empowerment,” he added.

Aligned with the objectives of Feed the Future Cambodia Harvest III —a five-year USAID-funded Activity focused on fostering inclusive and sustainable growth in Cambodia’s agriculture and SME sectors—this collaboration supports diversification, resilience, and competitiveness among Cambodian SMEs. By engaging private-sector partners and key stakeholders, the project aims to strengthen SMEs’ capacity to contribute meaningfully to Cambodia’s economic development and ultimately improve livelihoods for Cambodians.

Mr. Nimish Jhaveri, Chief of Party of Feed the Future Cambodia Harvest III, remarked, “With this new trade financing solution, we can provide SMEs with the necessary capital to manage production costs, invest in quality improvements, and fulfill international orders. An effective trade financing solution is crucial for these enterprises, as it not only helps bridge cash flow gaps but also enables them to compete more effectively by facilitating timely deliveries and expanding their market reach. Together, we ensure that these enterprises are equipped not only with financial resources but also with the knowledge and expertise required to succeed globally. This partnership plays a pivotal role in enhancing Cambodia’s export potential and advancing the country’s sustainable economic growth.”

In conjunction with the SME Export Finance Solution, Maybank Cambodia, CGCC, and Harvest III also announce ‘SME Building Capacity & Capability (BCC) Programme 2024 & 2025’, a flagship initiative designed to further equip SMEs with essential business skills and knowledge. Since its inception in 2021, the BCC Programme has provided hundreds of SMEs with training on business fundamentals, advanced techniques, and modern technologies. Building on this success, in 2024 the programme will deliver specialized sessions on trade finance solutions, financial management, and strategic planning, led by industry experts from accounting & business, consulting, and finance sectors. This training empowers SMEs with practical insights and skills needed to enhance their operations and optimize their growth potential.

Mr. No Lida, Chief Executive Officer of CGCC, expressed his strong support, stating, “The BCC Programme equips our SMEs with essential skills and knowledge, empowering them to access finance and expand their businesses. Through this initiative, we can help improve financial literacy and lay the groundwork for SMEs to thrive both locally and internationally. This programme is a crucial step toward our shared vision of fostering a resilient and dynamic SME sector that significantly contributes to Cambodia’s economic growth. Furthermore, the initiative is strengthened by CGCC’s Credit Guarantee Scheme, which addresses one of the biggest challenges faced by SMEs: insufficient collateral. By easing collateral requirements, we expand financing options, allowing SMEs to access the capital they need for sustainable growth.”

Together, Maybank Cambodia, Harvest III, and CGCC are building a robust ecosystem of support for Cambodian SMEs, positioning them to thrive in both domestic and global markets. Through the combined power of financial solutions, capacity-building programmes, and reduced collateral requirements through credit guarantee, this initiative provides SMEs with the resources, knowledge, and confidence to scale their businesses and pursue international opportunities.

This strategic alliance demonstrates a shared commitment to building a resilient, inclusive, and globally connected SME in Cambodia. Maybank Cambodia, CGCC, and Harvest III are paving the way for a future where Cambodian businesses are equipped to contribute significantly to the national economy while enhancing the country’s presence on the global stage.

CGCC Participated in the 36th Asian Credit Supplementation Institution Confederation (ACSIC) Conference in Nepal

Posted on November 1, 2024November 1, 2024 by Sorn Chhorvyvatey

From 20 to 25 September 2024, CGCC delegation led by H.E Dr. Mey Vann, Secretary of State of the Ministry of Economy and Finance and Chairman of the CGCC Risk Management Committee attended the 36th Asian Credit Supplementation Institution Confederation (ACSIC) in Kathmandu, Nepal, organized by the Deposit and Credit Guarantee Fund of Nepal under the theme “Financing Innovations for Economic Growth”.

Through this conference, HE Dr. Mey Van was invited to deliver a speech of interest after the official announcement of CGCC being the ACSIC member from 2024 onwards, thanking all ACSIC members for their support and welcoming CGCC as an official member and expressing the commitment for Cambodia to hosting the ACSIC Training Program for 2026.

Moreover, Mr. No Lida, CEO of CGCC, was also invited as a keynote speaker to share about CGCC’s credit guarantee and bond guarantee, especially to support small and medium enterprises through priority work on green financing projects. In addition, Mr. No Lida shared about the CGCC Capacity Building Program, which aims to support businesses, the involvement of credit guarantee mechanisms to increase employment opportunities, address climate change and gender equality, and consider financing solutions, sustainability and innovation through learning from good experiences from the member countries.

Through this conference, delegations from ACSIC member countries / observers presented on the progress of their respective credit guarantee schemes, as well as discussions on key topics such as financial innovation mechanisms, institutional risk management, credit guarantee, the use of digital systems (AI) and sustainable development.

The 36th ACSIC Conference was attended by more than 100 representatives of ACSIC members and relevant institutions such as the World Bank, the Central Bank of Nepal. It should also be noted that ACSIC is the largest association of credit guarantee institutions or similar institutions in Asia, established in 1987 to promote the development of credit guarantee systems for small and medium enterprises through information sharing, consulting and capacity building between the member institutions.

No Lida Appointed as CEO of Credit Guarantee Corporation of Cambodia

Posted on October 7, 2024October 7, 2024 by Sorn Chhorvyvatey

Cambodia Investment Review

The Credit Guarantee Corporation of Cambodia (CGCC) has appointed Mr. No Lida as its new CEO during a formal ceremony held at Oakwood Premier Phnom Penh. The event was presided over by H.E. Ros Seilava, Secretary of State of the Ministry of Economy and Finance (MEF) and Chairman of CGCC, and attended by more than 100 participants, including members of CGCC’s Board of Directors, local and international partners, financial institutions, and business associations. The event marked the official transition of leadership from Mr. Wong Keet Loong, who has led CGCC since its inception.

Mr. Wong, who has been instrumental in building CGCC’s foundation, expressed his gratitude during the ceremony, stating, “I’m honored to have had the opportunity to lead CGCC from its inception to where it is today. CGCC has achieved many milestones, from being the first credit guarantee and bond guarantee institution in Cambodia. It will continue to play a critical role in developing the growth of MSMEs by improving financial access and financial literacy.” Under his leadership, CGCC launched several key initiatives aimed at improving access to credit for small and medium enterprises (SMEs), a cornerstone of Cambodia’s economic development.

New Leadership and Vision

Mr. No Lida, who served as CGCC’s Deputy CEO for the past four years, officially took over as CEO following his appointment, confirmed by Sub-Decree No. 872 ANKR.TT. This decision was approved by Prime Minister Samdech Moha Borvor Thipadei Hun Manet, based on the recommendation of H.E. Dr. Aun Pornmoniroth, Deputy Prime Minister and Minister of the MEF. Mr. No has been a key figure in the development of CGCC and brings more than a decade of experience from his time at the Ministry of Economy and Finance, where he gained significant experience in financial policy and management.

In his acceptance speech, Mr. No stated, “I am deeply honored to have earned the trust of the Board of Directors of CGCC, the Deputy Prime Minister, Minister of Economy and Finance, and most importantly, Samdech Moha Borvor Thipadei Hun Manet, Prime Minister of Cambodia, who appointed me as the CEO of CGCC. I am fully committed to doing my best for CGCC. I will utilize all my abilities to bring CGCC forward as a merit and principle-based institution and always uphold CGCC’s core values of TRUSTS – Trustworthy, Responsible, United, Sustainable, Transparency, and State Policy-Oriented.”

Launch of Sustainable Green Financing Facility

Alongside the leadership transition, CGCC also officially launched the Sustainable Green Financing Facility (SGFF) during the ceremony. This blended financing model, developed in collaboration with the United Nations Development Program (UNDP), aims to support green sector investments in Cambodia. The SGFF will enable development partners and financial institutions to establish a blended financing fund with CGCC, providing capital for green initiatives at favorable terms. The facility is designed to support sustainable development goals by offering financing options to businesses working in the green economy.

As of the end of August 2024, CGCC had provided guarantees for 2,678 loan accounts, amounting to approximately USD 225 million. The organization, which was established in November 2020, continues to play a crucial role in supporting Cambodia’s SMEs, particularly in improving access to financing and promoting financial literacy.

Mr. No Lida’s appointment as CEO is expected to further strengthen CGCC’s position in the financial sector and drive its mission to support the growth of SMEs and green investment opportunities across Cambodia.

Credit to: Cambodia Investment Review, Published on 04 October 2024

The Signing of MOU between SERC and CGCC and Workshop on “Benefits and Opportunities of Issuing Guaranteed Bonds in Cambodia”

Posted on September 2, 2024September 13, 2024 by Sorn Chhorvyvatey

In the Morning of Friday, August 30, 2024, with the honor permission from H.E. Dr. Aun Pornmoniroth, Deputy Prime Minister, Minister of Economy and Finance and Chairman of the Non-Bank Financial Services Authority (FSA), H.E. Sou Socheat, Delegate of the Royal Government in Charge as Director General of the Securities and Exchange Regulator of the Cambodia (SERC) and Mr. Wong Keet Loong, Chief Executive Officer of Credit Guarantee Corporation of Cambodia (CGCC) signed a Memorandum of Understanding (MoU) on “Collaboration in Promoting the Development and the Issuance of Guaranteed Bonds” and co-organized the workshop on “Benefits and Opportunities of Issuing Guaranteed Bonds in Cambodia” under the high presidency of H.E. Ros Seilava, Secretary of State of the Ministry of Economy and Finance and Chairman of CGCC and Vice Chairman of the Board of FSA at FSA building.

This MoU signing ceremony was organized to promote the development of securities sector and the issuance of guaranteed bonds by supporting companies and financial institutions to obtain additional capital through the issuance of bonds including green bonds, social bonds, sustainability-linked bonds, and sustainability bonds which are supported and guaranteed of repayment in case default by local guarantor in order to enhance local capital mobilization more effectively. Back to back with this MoU signing ceremony, both institutions also co-organized the workshop on “Benefits and Opportunities of Issuing Guaranteed Bonds in Cambodia” in order to raise awareness and disseminate the requirements to obtain guarantees for bonds and for small and medium enterprises (SMEs) and related institutions as well as highlight the benefits and opportunities of issuing guaranteed bonds.

In this event, H.E. Delegate stated that “Through today’s MoU, it will attract more companies, including SMEs, to seek financing through the securities market, and will also provide additional benefits for listed companies having demands for additional sources of financing in the form of bond issuance or other forms of debt, with the opportunities to obtain guarantee with special rate.”

Mr. Wong Keet Loong also stated that “As the first and only bond guarantee institution in Cambodia, CGCC will play a key role in developing the growth of bond issuance listed on the Cambodia Securities Exchange (CSX). The credit rating of CGCC at khAAA will enhance the credit rating of the issuer thus giving added confidence to bond investors. This MoU with SERC is strategic to develop and work towards enhancing the securities framework to promote higher bond issuance to raise funding and attract more domestic and foreign investors.”

H.E. Ros Seilava has added that “This MOU will enable both parties to achieve the shared goal in terms of mutually supporting SERC for the development of the bond market, and CGCC to be the leading bond guarantee institution in Cambodia for improving financial inclusion and developing SMEs in Cambodia. At the same time, this cooperation will bring a positive impact on the bond market in Cambodia by encouraging the issuance and investment of more bonds, including green bonds, social bonds, and sustainable bonds.”

This event was attended by senior representatives including: General Secretariate of FSA and regulators under FSA, CSX, Cambodia Association of Securities Firms, Cambodia Chamber of Commerce, Young Entrepreneurs Association of Cambodia, the Association of Bank in Cambodia, Rating Agency of (Cambodia) Plc., listed companies and potential listed companies and media partners with a total of 100 participants. The workshop was sharing by resources speakers who enrich of professional experiences from SERC, CGCC, Telcotech LTD., Royal Group Securities Plc. and Prudential (Cambodia) Life Assurance Plc.

Means of Contact:

SERC

Research, Training, Securities Market Development and International Relations Department via mobile number (855) 95 775 772 (Khy Pochchhing) or Email: [email protected]

CGCC

Division: Strategy and Business Development Department via mobile number (855) 78 222 186 (Sorn Chhorvyvatey) or Email: chhorvyvatey.sorn@cgcc.com.kh

About SERC

SERC is an authority to supervise, monitor and develop the securities sector in the Kingdom of Cambodia that having seen the Preah Reach Kram No. NS/RKM/0121/003 dated January 16, 2021 that promulgate the Law on the Conduct and the Organization of the Non-Bank Financial Services Authority and having seen the Preah Reach Kram No. NS/RKM/ 1007/028 dated October 19, 2007 that promulgate the Law on The Issuance and Trading of Non-Government Securities and Anukret No. 97/ANKR/BK dated July 23, 2008 on the Organizing and Functioning of the Securities and Exchange Commission of Cambodia. SERC has its official website: www.serc.gov.kh and official Facebook page: www.facebook.com/serc.gov.kh.

About CGCC

CGCC is the only credit guarantee corporation in Cambodia, established by the decision of Samdech Akka Moha Sena Padei Techo Hun Sen, as a state-owned enterprise under the technical and financial guidance of the Ministry of Economy and Finance. The primary mission of CGCC is to provide credit guarantees to improve financial inclusion and support the growth of SMEs in Cambodia. On 31 January 2024, CGCC launched as the First Cambodian Bond Guarantor after being accredited by the SERC) and rated khAAA, the highest rating by the local rating scale, by the Rating Agency of Cambodia on 19 December 2023. CGCC aims to provide guarantees on local corporate bond issuances on the CSX to support local companies raising funding and the development of the securities sector in Cambodia. The official website of CGCC: www.cgcc.com.kh and official Facebook page: https://www.facebook.com/officialcgcc.

Understanding Credit Guarantee-Interview with Participating Financial Institution (FTB Bank)

Posted on August 18, 2024September 18, 2024 by Sorn Chhorvyvatey

1. What is FTB Bank’s perspective towards the credit guarantee schemes and why does your bank partner with CGCC?

As the first commercial bank in Cambodia, a truly local bank trusted since 1979, FTB has been consistently contributing to develop the local market and economy through relentless supporting projects initiated by the Royal Government of Cambodia (RGC). The Credit Guarantee Corporation of Cambodia (CGCC) is a great initiative of the RGC, which focuses on business owners typically possessing no or insufficient collateral to access credit in a manner that they would otherwise be unable to obtain.

Being one of the earlier Participating Financial Institution (PFI), there are various opportunities presented to FTB, which are inclusive of:

Having further participation in the RGC’s initiatives to promote national economic growth by continuing to provide loans to customers who have real financing needs with solid business plan but do lack of collateral to pledge.
Contributing to the opportunities of creating jobs and employment for people through offering access to finance through credit guarantees scheme to Small and Medium-Sized Enterprises (SMEs) and Large Enterprises to enable them to enhance productivity and expand their business operations.
Creating new business opportunities for the Bank’s own operation through supporting new and existing clients to expand credit portfolio in alignment with the Bank’s strategic plan.

2. How do the credit guarantee schemes benefit FTB Bank and your customers?

The credit guarantee schemes offer benefits to FTB and the customers in numbers of ways:

For Bank:

Introducing new credit opportunities for customers who need funding but lack of collateral to pledge, as well as represents a significant development in the banking sector, transitioning from traditional collateral-based loans, such as those secured by real estate and other property, to loan covered by the guarantee under this new scheme.
Maintaining the existing customers and attracting new potential ones to use FTB Bank’s services by providing flexible loans tailored to their needs and investment plans.
Mitigating credit risk by obtaining credit guarantees up to 80% of the loan amount from CGCC

For the Customers:

Enabling potential customers access to new loans through financial institutions licensed by the National Bank of Cambodia, even without sufficient collateral.
Getting comprehensive financial advice from bank experts who have received proper training from relevant institutions.
Empowering customers to expand their businesses according to their set plan.

3. So far, which type of loans the Bank use the credit guarantees to support SMEs?

Since being a Participating Financial Institution, FTB has been actively providing all types of loans to customers, such as Business Term Loans, Overdraft Loans and Revolving Loans to support credit guarantee schemes as follows:

Rice Export Guarantee Scheme (REGS)
Women Entrepreneurs Guarantee Scheme (WEGS)
Business Recovery Guarantee Scheme (BRGS)
Co-Financing Guarantee Scheme for Tourism (CFGS-TR)

4. How should the borrowers prepare themselves to get guaranteed loans from the Bank?

To obtain the guaranteed loans from the FTB Bank, business owners shall meet the following key criteria among various requirements:

Businesses with a Cambodian shareholder (shareholding of more than 50%) and sufficient capital to participate in investment projects, intending to utilize the loan in accordance with the CGCC’s requirements.
Business registration issued by the legalized government authorities.
Unregistered businesses must be registered with relevant authorities after receiving the loan.
Businesses with sufficient income to ensure their ability for loan repayment to the bank.

5. What is the Bank’s strategy/plan to further expand the disbursement of guaranteed loans in 2024?

In alignment with our strategic plan, FTB will continue to offer guaranteed loans with numbers of key priorities and actions including:

Continuing to actively promote our services to both existing and new customers who have a potential and solid plan to expand the business.
Developing a training program for all related lending staff to ensure they have a clear understanding and are well equipped to support the customers with their financing needs.
Continuing to collaborate with relevant parties to streamline the process of obtaining guaranteed loans to ensure convenience and speed from the CGCC.

Read and Download in PDF: Interview with participating Financial Institution (FTB Bank)

Entrepreneurship Program Initiative of CGCC (EPIC) 2nd series of 2024

Posted on July 23, 2024July 23, 2024 by Sorn Chhorvyvatey

On 20 July 2024, at the Business Development Center, Credit Guarantee Corporation of Cambodia (CGCC) and the Young Entrepreneurs Association of Cambodia (YEAC) co-organized the Entrepreneurship Program Initiative of CGCC (EPIC) 2^ndseries of 2024 on “MSME’s Best Practices in Obtain and Effectively Managing Formal Financing”, supported by Feed the Future Cambodia Harvest III of USAID, highly participated by Mr. NimishJhaveri, Chief of Party of Cambodia Harvest III, Mr. Sar Kinal, Executive Vice President of YEAC, and Mr. No Lida, Deputy Chief Executive Officer of CGCC, and distinguished speakers and 51 trainees from Micro, Small, and Medium Enterprises (MSME) in Agriculture sector from Phnom Penh, and 12 Provinces.

Through the EPIC 2^nd Series of 2024, all trainees had the opportunity to learn the main training topic “MSME’s Best Practices in Obtaining and Effectively Managing Formal Financing” by Mrs. Chau Lon Molika, CEO and Founder of Cambodian Standard Development & Supply Co., Ltd., and BoD in charge of Commission Access to Finance of YEAC. As also a business owner, Mrs. Molika shared the strategy in financial management and her experience in obtaining formal financing through grants, loans, and other financing options, and also encouraged the trainees to share their experiences as practical inputs to other trainees to get maximum and comprehensively advantages from the formal financing. Trainees also shared their personal experiences through a group discussion on effective financial management.

In addition, trainees also learned about CGCC’s Credit Guarantee Mechanism to Support the Access to Formal Financing of MSMEs especially in the agriculture sector, which is one of the priority sectors of the Royal Government and a core sector of national economic development, through sharing from Ms. Chum Selarath, Manager of Business Development (Bond Guarantee) of CGCC.

In line with the CGCC Credit Guarantee Mechanism, Ms. Mak Davy, Deputy Chief of Medium Business Lending Officer of ABA Bank, also shared the bank’s support for MSMEs in access to the guaranteed loans and the bank loan approval procedures to increase the awareness of MSMEs in obtaining formal financing from the bank and to increase their financial literacy.

Capacity-building is one of the priorities of CGCC in the mission of improving financial inclusion and developing SMEs in Cambodia. EPIC is the flagship entrepreneurs’ capacity-building program of CGCC that will provide training to MSMEs on relevant and practical topics for entrepreneurs in collaboration with related stakeholders/Participating Financial Institutions.

Extension of Request for Proposal “Legal Counsel”

Posted on April 30, 2024May 15, 2024 by Sorn Chhorvyvatey

CGCC is a state-owned enterprise, established under the technical and financial guidance of the Ministry of Economy and Finance (MEF) to provide credit guarantees based on international standards to improve financial inclusion and support the growth of SMEs in Cambodia. CGCC obtained the accreditation from the Securities and Exchange Regulator of Cambodia (“SERC”) to become the bond guarantor on 22 August 2023 (“Bond Guarantor” or “Guarantor”).

CGCC wishes to provide guarantee on bonds to be listed on the Cambodia Securities Exchange.

CGCC is seeking to engage a Cambodian legal counsel (“Legal Counsel”) to perform the services as described in the scope of work.

Dissemination Seminar on “Guaranteed Loans to Support the Development of Small and Medium Enterprises” in Pailin Province

Posted on September 20, 2023October 16, 2023 by Sorn Chhorvyvatey

On 15^th September 2023, the Credit Guarantee Corporation of Cambodia (CGCC) and Cambodia Chamber of Commerce (CCC) co-organized a seminar on “Guaranteed Loans to Support the Development of Small and Medium Enterprises” in Pailin province in collaboration with Pailin Chamber of Commerce with more than 80 participants from Management and staff of participating financial institutions (PFIs) and small and medium business owners in Pailin and other provinces. The seminar was also presided over by H.E. Oknha. Lor Sun Cheang, President of Pailin Chamber of Commerce, Mr. No Lida, Deputy CEO of CGCC, Mr. Hun Vatha, Vice President of Cambodia Agricultural Corporative Alliance (CACA), and the presentations by representatives from LOLC Microfinance Institution and ABA Bank as well.

Through this seminar, small and medium business owners are informed about the benefits of guaranteed loans through CGCC’s participating financial institutions in response to the lack of collateral when applying for a loan to expand and rehabilitate their businesses more.

Tag: Financial literacy