Press Release – The Extension of the Business Recovery Guarantee Scheme of Credit Guarantee Corporation of Cambodia
January 3, 2023Announcement
The Credit Guarantee Corporation of Cambodia (CGCC) is pleased to announce the extension of the “Business Recovery Guarantee Scheme (BRGS)” from 1 January 2023 until the scheme is fully utilized.
BRGS aims to support businesses, including Micro, Small, and Medium Enterprises (MSMEs) and Large Firms, to enhance their access to formal loans from Participating Financial Institutions (PFIs) for working capital, investment, and business expansion. BRGS, with a scheme size of USD 200 million, was first launched from 29 March 2021 to 31 December 2022. As of 31 December 2022, a total loan of approximately USD 89 million, of which, most of the loans do not have collateral, is guaranteed by CGCC under BRGS.
CGCC received the highest approval from His Excellency Deputy Prime Minister, Minister of Economy and Finance on the extension of the BRGS by updating some scheme features, including the scheme period, the definition of MSMEs and Large Firms, and the maximum loan amount for each guarantee (please visit CGCC’s website www.cgcc.com.kh for detailed information).
CGCC’s credit guarantee under BRGS will continue to act as collateral for 70% – 80% of the loan amount borrowed from the PFIs, thus, reducing the physical collateral required from the borrowers.
CGCC looks forward to working closely with all stakeholders to support the growth of businesses with the BRGS. Thank you.
Phnom Penh, 3 January 2023