Cambodia Investment Review
MB Bank (Cambodia) Plc. and the Cambodia Cashew Federation have signed an agreement to explore financing and trade opportunities across Cambodia’s cashew industry, from growers and collectors to processors and exporters.
The memorandum of understanding was signed on September 29 at the Royal Academy of Cambodia during the Cashew Export Experience Sharing Forum. H.E. Va Roth San, Secretary of State and representative of the Minister of Commerce, witnessed the signing.
Under the agreement, MBCambodia will work with federation members to identify their business and financing needs. Potential services include working capital loans, inventory and equipment financing, trade finance, transaction banking, and domestic and cross-border payments.
Focus on the full trade cycle
Access to finance can be a challenge at several points in the cashew trade cycle, particularly when businesses need to buy crops, hold inventory, invest in processing equipment or manage payments from overseas buyers. The partnership is intended to help MBCambodia develop solutions around those needs, although the two organisations did not announce a funding commitment or specific lending target.
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MBCambodia also plans to use its connection to parent company MB Bank in Vietnam to explore trade links between Cambodian cashew businesses and Vietnamese importers and processors, as well as potential partners in other markets.
“Our commitment goes beyond financing individual transactions. We aim to support the development of the entire cashew value chain,” MBCambodia Chief Executive Officer Nguyen Anh Khanh said at the event. “Beyond connecting payment flows, we want to connect businesses, markets and cross-border opportunities.”
The bank and federation said their next step is to meet CCF members, assess specific business needs and identify potential financing and trade connections.
