Cambodia Investment Review
Cambodia’s banking and microfinance associations have pledged to strengthen responsible lending, improve debt collection practices and support case-by-case loan restructuring for borrowers facing repayment difficulties, amid public discussion over household indebtedness and consumer protection.
In a joint statement issued on Wednesday, the Association of Banks in Cambodia (ABC) and the Cambodia Microfinance Association (CMA) acknowledged that some borrowers face financial difficulties under challenging economic conditions.
The associations said expanding access to formal finance must be accompanied by clearer loan information, fair treatment and accessible complaint-resolution mechanisms.
“We recognise that establishing policies and mechanisms is only part of the responsibility,” the statement said. “What matters most is their consistent implementation and practical outcomes for customers.”
Borrower Safeguards and Loan Restructuring
ABC and CMA said safeguards introduced across the industry include restrictions on accepting certain state, protected and collectively held lands as collateral for new loans, alongside a prohibition on accepting personal identification documents as collateral.
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The associations also cited enhanced repayment-capacity assessments for low-income households, intended to strengthen protection for vulnerable borrowers.
Looking ahead, they committed to working with the National Bank of Cambodia (NBC), member institutions and relevant partners to improve customer treatment and debt collection practices, while supporting appropriate loan restructuring on a case-by-case basis.
The statement did not set out uniform eligibility criteria or repayment terms for restructuring, or announce a sector-wide debt-relief programme.
Industry Reports Progress on Lending Standards
The commitments build on industry initiatives developed with NBC, member institutions and development partners, including a banking and financial institutions’ code of conduct, lending guidelines and standard loan contracts.
According to the statement, these measures aim to improve assessment of borrowers’ repayment capacity, make loan terms clearer and reduce the risk of over-indebtedness.
The industry reported more than 48,000 participants in its Responsible Lending Certification Program, which provides training in ethical lending and consumer protection for credit-related staff.
Governance and consumer protection training also reached 366 chief executives, board members and shareholders, as well as more than 1,123 branch managers nationwide during 2025–2026.
Other initiatives include independent assessments of practices at 30 banking and financial institutions, a Safe Finance Community Project in Ratanakiri province, and ethics and incentive frameworks for credit-related officers.
The associations said further work remained necessary to address shortcomings and strengthen public confidence.
Six Priority Actions Remain Under Implementation
ABC and CMA also highlighted their participation in the high-level dialogue on microfinance co-organised by NBC and the United Nations.
The process identified 22 priority actions to strengthen responsible finance and consumer protection. At its fourth convening on August 20, 2026, stakeholders reported that 16 actions had been completed, while six remained under implementation, according to the joint statement.
The associations said they had taken leading roles in six of the priority actions and would support continued monitoring and follow-up on outstanding work.
Complaint Channels for Borrowers
Customers experiencing financial difficulties or seeking to raise complaints were encouraged to first contact their bank or financial institution.
Unresolved concerns can be referred to the Financial Consumer Protection Centre (FCPC), which operates independently of ABC and CMA and provides consumer guidance, financial education and complaint mediation.
The centre has managed the former joint ABC–CMA consumer complaint hotline since July 2025. Customers can contact it on 015 365 222 for advice and support.
The statement also identified NBC, the National Commission for Consumer Protection and the National Authority for Alternative Dispute Resolution as additional channels, alongside legal remedies through the courts where appropriate.
