Cambodia Investment Review
Phillip Bank, the only fully Singaporean-owned commercial bank operating in Cambodia, recently took a pivotal role in showcasing the Kingdom’s investment potential to an audience of over 100 potential Singaporean investors and businessmen. The seminar titled “Cambodia: An Overlooked Destination for Business and Investment,” was held on March 22, 2024, at the Marina Bay Sands Expo and Convention Centre in Singapore.
Orchestrated by Aquarii BD Cambodia and supported by significant entities such as Khmer Enterprise, Swisscontact, and endorsed by the Cambodian Ministry of Industry, Science, Technology, and Innovation (MISTI) and the Ministry of Commerce (MOC), the forum served as a crucial platform for underlining Cambodia’s emerging status as a fertile ground for trade and investment.
At the heart of the event was Mr. Ong Teong Hoon, Director and Shareholder Representative of Phillip Bank and a proud Singaporean national. Mr. Ong presented a comprehensive narrative of Cambodia’s evolving economic landscape, marked by an open and friendly investment climate. “Our journey in Cambodia, starting with a modest investment of $100,000 in 2009, has grown our shareholder funds to between $170-$180 million today. This is a testament to the country’s robust investment environment,” Mr. Ong stated, illustrating the bank’s significant commitment and growth in the Cambodian market.
Unparalleled Level Of Flexibility In Terms Of Capital Movement
Mr. Ong emphasized the absence of exchange control as a key advantage for investors, stating, “Cambodia offers an unparalleled level of flexibility in terms of capital movement. Investors are free to bring in funds and repatriate profits without undue restrictions, simplifying the investment process significantly.”
Addressing the audience, Mr. Ong highlighted Cambodia’s enhanced regulatory measures, including its recent exit from the Financial Action Task Force (FATF) grey list in February 2024, as evidence of its commitment to international standards in financial governance. “Stringent Know-Your-Customer (KYC) and anti-money laundering regulations are in place to ensure a secure investment environment,” he remarked, underscoring the improvements that have cleared the path for greater international confidence in Cambodia’s financial sector.
Furthermore, Mr. Ong pointed to the digital financial services landscape in Cambodia, which has seen remarkable growth, with digital transactions in 2023 exceeding $492 billion. This leap towards digitalization and financial technology adoption is a clear indicator of Cambodia’s ambition to forge a modern, inclusive financial ecosystem. “The Bakong system, in particular, represents a significant milestone in facilitating seamless cross-border transactions, opening up new avenues for international trade and investment,” Mr. Ong added.
Strategic Advantages Offered To Potential Singaporean Investors
An integral part of the seminar was the introduction of the latest developments in trust laws and the granting of a trust license to Phillip Trustee (Cambodia), affiliated with Phillip Bank. This development allows the provision of specialized services to foreign investors, including holding trust property and personal trust services. “As a trustee company, we are positioned to support foreign investors in navigating the Cambodian market, offering tailored trust structures to meet diverse investment goals,” Mr. Ong explained, highlighting the strategic advantages offered to potential Singaporean investors.
Read more: Phillip Trustee Receives Regulator’s Approval for Cambodia’s Growing Trust Sector
The forum not only served to illuminate Cambodia’s investment climate but also acted as a bridge, fostering deeper economic connections between Cambodia and Singapore. Through Mr. Ong’s detailed insights and the collective efforts of the supporting partners, the event successfully articulated Cambodia’s readiness to welcome Singaporean business owners and investors, underscoring the mutual benefits of enhanced trade and investment ties between the two nations.
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