Cambodia Investment Review
In a milestone announcement, Cambodia’s Chief Bank has reported a strong financial performance for 2022, even amidst global geopolitical unrest and the persisting COVID-19 pandemic. A transformative move from a specialized bank to a full-fledged commercial bank in June 2018 has seen the bank dramatically reinvent its business model, making it one of Cambodia’s leading financial institutions.
Against a backdrop of economic uncertainty heightened by the Ukraine war and fluctuating global markets, Chief Bank remains a beacon of stability, maintaining robust liquidity and capital positions. Under the strategic vision of CEO Dr. Morarith Soeung, the bank’s deposit collections surged beyond $130 million in 2022, a commendable feat in the current financial climate.
An ongoing digitalization journey
In a display of the bank’s strong client base and trustworthiness, it served a diverse clientele including individual clients, high-net-worth clients, local enterprises, globally recognized insurance companies, and local governments. This wide-ranging customer base underlines the growing recognition and confidence the Chief Bank brand has achieved during the pandemic.
Digital transformation was identified as a high priority for Chief Bank, a decision that has since borne fruit. The bank is expediting the expansion of its product and service distribution through digital channels, including websites, digital apps, e-wallets, and electronic marketplaces. The resulting boost in the use of its digital platforms such as the Chief Easy App and the Bakong KHQR code has positioned Chief Bank at the forefront of Cambodia’s digital banking revolution.
A key development in this digitalization journey has been the launch of the Chief Easy digital micro-lending app. The app, which has gained popularity rapidly, enables customers to assess their loan eligibility through the digital banking system and apply for loans digitally. In a move consistent with its ethical commitment to serve Cambodia’s unbanked and underbanked populations, Chief Bank offers advantageous terms and conditions, including no lock-in period or penalties for early settlements.
Partnering with the ecosystem
Chief Bank has also entered into a digital partnership with Wing across the country, offering customers additional convenience when repaying their loans. Furthermore, the bank’s participation in the National Bank of Cambodia’s Bakong payment system provides more transaction options, including deposits and withdrawals, and sending and receiving money via e-wallets.
By December 2022, deposits outstanding had reached $136 million, marking a noteworthy 17.8% increase from December 2021. Furthermore, the total assets surged to $220 million, leading to a near 50% rise in net income from 2021.
Chief Bank’s strong performance in 2022 and ongoing commitment to digital innovation is expected to shape Cambodia’s banking sector, paving the way for the future of banking in the nation.
