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 SME Bank and Khmer Enterprise Signed Memorandum of Understanding to Cooperatively Promote and Develop SMEs in Cambodia

SME Bank and Khmer Enterprise Signed Memorandum of Understanding to Cooperatively Promote and Develop SMEs in Cambodia

Link: https://smebankcambodia.com.kh/2021/09/30/sme-bank-and-khmer-enterprise-signed-memorandum-of-understanding-to-cooperatively-promote-and-develop-smes-in-cambodia-2//[endlink]

Phnom Penh, 27th September, 2021 – To continue to actively contribute to the economic recovery during the Covid-19 epidemic and, in particular, to support the sustainable and workable ecosystems for entrepreneurs, start-ups, and SMEs in Cambodia, SME Bank of Cambodia has partnered with Khmer Enterprise to mutually commit to promote and develop SMEs and to amplify the impacts within Cambodian business community.

Under this cooperation, SME Bank of Cambodia and Khmer Enterprise are committed to jointly support SMEs through (1) Participation in any events that are organized for promoting and developing SMEs or entrepreneurship in Cambodia. (2) SME Bank will provide clean loan (without collateral) up to USD50,000 to SMEs of grade A & B which Khmer Enterprise refers to SME Bank of Cambodia. Collateral is required if the loan amount requested is larger than USD50,000. SME Bank has authority to approve/reject based on the qualifications of applicants. (3) SME Bank of Cambodia and Khmer Enterprise will work on promoting and enhancing access to finance for SMEs in Cambodia. (4) SME Bank of Cambodia and Khmer Enterprise will conduct co-branding activities to disseminate information on access to finance for SMEs in Cambodia.

Mr. Lim Aun, Chief Executive Officer of SME Bank of Cambodia, stated that “SME Bank of Cambodia has been providing attractive financial services including low interest rate and favourable terms that facilitates SME customers in accessing loans. In the future, SME Bank of Cambodia plans to develop a wider distribution network for potential customers and to facilitate the Bank’s financial transactions. The Bank will invest more in opening new branches and strengthening the technology infrastructure, as well as to partner with other institutions in order to better serve SME customers in Cambodia.”

H.E. Dr. Chhieng Vanmunin, Chief Executive Officer of Khmer Enterprise, stated that “The signing of MoU between Khmer Enterprise and SME Bank marks an important milestone in the entrepreneurial ecosystem in which the cooperation will reinforce and strengthen the support to entrepreneurs, startups and small and medium enterprises in Cambodia in terms of access to finance. Furthermore, Khmer Enterprise encourages all commercial banks to take steps forward to support our Royal Government of Cambodia’s policy to promote better access to finance, simplified procedures and favorable terms for startups’ and SMEs’ financing needs, which contributes to the recovery of Cambodia’s economy.”

Mr. Lim Aun further added that “For instance, SME Bank of Cambodia has today signed a Memorandum of Understanding with Khmer Enterprise to mutually commit to promote entrepreneurship, especially through providing financial support to entrepreneurs, as well as SMEs that have gone through trainings with Khmer Enterprise to be able to successfully start and expand their businesses.”

H.E. Dr. Vanmunin reiterated the importance of enhanced access to finance for startups and SMEs to scale up their business operations, which remains one of the major obstacles in Cambodia. Coupled with capacity training, Khmer Enterprise hopes that better facilitation on access to finance will improve the business ecosystem in Cambodia.

As a commercial bank and a policy bank, SME Bank of Cambodia strives to implement all activities to facilitate SMEs in Cambodia to get accessed to affordable financing.

As a unit under the Ministry of Economy and Finance to support the vibrant entrepreneurial ecosystem in Cambodia, Khmer Enterprise works with different partners and stakeholders to enhance the competitiveness and innovation of startups and SMEs.

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