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Tag: MoU Signing Ceremony

Agreement Signing Ceremony on Post-Harvest Fisheries Guarantee Scheme Between CGCC and FTB Bank

Posted on by Sorn Chhorvyvatey

On 21 March 2025, Credit Guarantee Corporation of Cambodia (CGCC) and Foreign Trade Bank of Cambodia (FTB) co-organized an agreement signing ceremony on “Post-Harvest Fisheries Guarantee Scheme (PFGS)” with honourable attendance from Management and the team of CGCC, FTB, and representatives of United Nations Industrial Development Organization (UNIDO Cambodia), to announce the official expanded partnership in providing guaranteed loans by CGCC through FTB to post-harvest fishery businesses and relevant suppliers.

PFGS is developed as a scheme for the Value Chain Investment Support Facility (ISF), a joint project under CAPFISH-Capture: Post-harvest Fisheries Development Project, jointly implemented by the Fisheries Administration and the UNIDO Cambodia, co-funded by the European Union, and having CGCC as the fund manager. Post-harvest fisheries enterprises and relevant suppliers can apply for support from the ISF on Technical Assistance (TA) for upgrading business operations and improving food safety practices, ISF Grant funds to procure Eligible Equipment to introduce innovations and optimise the business operations, and business loans guaranteed by CGCC from Participating Financial Institutions (PFIs) of CGCC such as FTB that has entered in this agreement on PFGS with CGCC.

Mr. No Lida, Chief Executive Officer of CGCC, said, “CGCC is delighted to have FTB as a new Participating Financial Institution (PFI) in the Investment Support Facility (ISF) project. The participation of FTB will improve the efficient implementation of the ISF in response to the demand of post-harvest fishery enterprises for access to financing support and guaranteed loans necessary to increase the competitiveness, productivity, and standard of production of potential post-harvest fishery enterprises in Cambodia.

Mr. Dith Sochal, Chief Executive Officer of FTB Bank, said, “Our two institutions are committed to strengthening and expanding our collaboration with the shared goal of driving innovation, enhancing efficiency, and optimising business operations for enterprises in the post-harvest fisheries sector, domestic suppliers, and exporters to international markets. This agreement also reflects the strong partnership and active engagement between FTB and CGCC since 2021, with the expectation of successful and sustained comprehensive cooperation between the two institutions.”

Through this PFGS agreement, CGCC and FTB are committed to supporting post-harvest fishery enterprises and input suppliers in increasing productivity, improving food safety compliance and quality standards of fishery products, reaching new markets, including international markets, and improving businesses in a more efficient, sustainable, and inclusive way.

For post-harvest fisheries enterprises, apply for ISF now! Limited funding is available on a first-come, first-served basis.

For more information about the ISF and the application process, visit: https://www.cgcc.com.kh/en/post-harvest-fishery-guarantee-scheme/

Email: [email protected]

Credit to: Khmer Times, Published on 21 March 2025

Agreement Signing Ceremony on Post-Harvest Fisheries Guarantee Scheme Between CGCC and FTB Bank

Posted on by Sorn Chhorvyvatey

On 21 March 2025, Credit Guarantee Corporation of Cambodia (CGCC) and Foreign Trade Bank of Cambodia (FTB) co-organized an agreement signing ceremony on “Post-Harvest Fisheries Guarantee Scheme (PFGS)” with honorable attendance from Management and team of CGCC, FTB, and representatives of United Nations Industrial Development Organization (UNIDO Cambodia), to announce the official expanded partnership in providing guaranteed loans by CGCC through FTB to post-harvest fishery businesses and relevant suppliers.

PFGS is developed as a scheme for the Value Chain Investment Support Facility (ISF), a joint project under CAPFISH-Capture: Post-harvest Fisheries Development Project, jointly implemented by the Fisheries Administration and the UNIDO Cambodia, co-funded by the European Union, and having CGCC as the fund manager.  Post-harvest fisheries enterprises and relevant suppliers can apply for support from the ISF on Technical Assistance (TA) for upgrading business operations and improving food safety practices, ISF Grant funds to procure Eligible Equipment to introduce innovations and optimize the business operations, and business loans guaranteed by CGCC from Participating Financial Institutions (PFIs) of CGCC such as FTB that has entered in this agreement on PFGS with CGCC.

Mr. No Lida, Chief Executive Officer of CGCC, said, “CGCC is delighted to have FTB as a​ new Participating Financial Institution (PFI) in the Investment Support Facility (ISF) project. The participation of FTB will improve the efficient implementation of the ISF in response to the demand of the post-harvest fishery enterprises for access to financing support and guaranteed loans necessary to increase competitiveness, productivity, and standard of production of the potential post-harvest fishery enterprises in Cambodia.”

Mr. Dith Sochal, Chief Executive Officer of FTB Bank said “Our two institutions are committed to strengthening and expanding our collaboration with the shared goal of driving innovation, enhancing efficiency, and optimizing business operations for enterprises in the post-harvest fisheries sector, domestic suppliers, and exporters to international markets. This agreement also reflects the strong partnership and active engagement between FTB and CGCC since 2021, with the expectation of successful and sustained comprehensive cooperation between the two institutions.”

Through this PFGS agreement, CGCC and FTB are committed to supporting post-harvest fishery enterprises and input suppliers in increasing productivity, improving food safety compliance and quality standards of fishery products, reaching new markets, including international markets, and improving businesses in a more efficient, sustainable, and inclusive way.

For post-harvest fisheries enterprises, apply for ISF now! Limited funding is available on a first-come, first-served basis.

For more information about the ISF and the application process, visit: https://www.cgcc.com.kh/en/post-harvest-fishery-guarantee-scheme/

Email: [email protected]

 

About FTB: As the first commercial bank in Cambodia, a truly local bank trusted since 1979, FTB has played crucial roles in helping to promote and develop the local market and economy through relentlessly providing wide ranges of banking products and services to local customers. As of 2024, the total assets increased to US$2.28 Billion, total loan portfolio of US$ 1.34 Billion and total deposit of over US$ 1.93 Billion. FTB is committed to continually helping local customers to achieve further growth, prosperity and steadily forging ahead with the vision to be the preferred commercial bank in Cambodia.

 

About CGCC: CGCC is a state-owned enterprise established by the Sub-Decree of the Royal Government of Cambodia in September 2020 under the technical and financial guidance of the Ministry of Economy and Finance (MEF). CGCC’s main mission is to provide credit guarantees to improve financial inclusion and support the development of small and medium enterprises. As of the end of February 2025, CGCC approved 3,979 guaranteed accounts, amounting to 274.14 million USD equivalent.

 

 

CMA and CGCC Forge Strategic Partnership to Enhance Financial Inclusion

Posted on by Sorn Chhorvyvatey

The Cambodia Microfinance Association (CMA) and the Credit Guarantee Corporation of Cambodia (CGCC) have officially signed a Memorandum of Understanding (MoU) to collaborate on promoting sustainable financial inclusion across Cambodia.

This official partnership was announced during the CGCC Annual Seminar on “Innovation of Credit Guarantee to Promote Green Financing” held here on Jan. 23 under the presidency of Ros Seilava, Secretary of State at the Ministry of Economy and Finance and Chairman of CGCC.

According to a joint press release, AKP received this morning, this strategic partnership aims to foster the growth of banking and financial institutions (BFIs) and support micro, small, and medium enterprises (MSMEs) through capacity development, digital financial services, and enhanced financial literacy.

Under the MoU, CMA and CGCC will collaborate to strengthen and develop the capacity of MSMEs, BFIs, and stakeholders through training, workshops, seminars, and research studies.

This partnership will also focus on advancing financial literacy and digital finance and promoting the development of green finance in Cambodia. Both organisations are committed to leveraging their resources to ensure the successful implementation of various initiatives to boost the financial sector’s contribution to the country’s economic development.

Oknha Hout Ieng Tong, a CMA representative, said this partnership marks a significant step toward advancing financial inclusion in Cambodia.

“By combining our expertise and resources, we can create a more robust financial ecosystem that supports the growth of MSMEs and contributes to the country’s sustainable development,” he said.

No Lida, CGCC’S Chief Executive Officer, said that there are opportunities for CGCC, CMA, and CMA’s members to use credit guarantees to increase lending to underserved businesses across the country.

“This MoU is a testament to our shared commitment to fostering economic growth and sustainability in Cambodia,” he said.

The MoU is effective for three years from the date of signing and outlines a framework for cooperation in achieving the shared objectives.

Both parties are dedicated to ensuring the confidentiality of shared information and successfully executing agreed initiatives. AKP

Credit to: Khmer Times, Published on 24 January 2025

 

CGCC Annual Seminar on “Innovation of Credit Guarantee to Promote Green Financing

Posted on by Sorn Chhorvyvatey

On 23 January 2025, Ministry of Economy and Finance and Credit Guarantee Corporation of Cambodia (CGCC) co-organized the CGCC Annual Seminar on “Innovation of Credit Guarantee to Promote Green Financing”, presided over by H.E. Ros Seilava, Secretary of State of Ministry of Economy and Finance, high representative of H.E. Deputy Prime Minister, Minister of Economy and Finance, at Hyatt Regency Phnom Penh.

CGCC Annual Seminar was organized to wrap up and celebrate accomplishments, review the progress of public credit guarantee schemes, award top-performing financial institutions, and launch new public credit guarantee product, as well as collect inputs from related stakeholders​ on innovating credit guarantee mechanisms to support green finance and develop small and medium enterprises in Cambodia. Approximately, around 150 participants from public institutions, domestic and international development partners, banks and microfinance institutions, securities firms, business associations, and related stakeholders attended the seminar.

Through this Annual Seminar, H.E. Ros Seilava officially launched the “Wholesale Guarantee Scheme of CGCC”, to provide guarantees on existing business loans of Participating Financial Institutions (PFIs) to share risk with PFIs and reduce the risk weight on the part of the exposure that is guaranteed by CGCC. According to the Prakas Credit Risk for Capital Adequacy Ratios in Deposit-Taking Banks and Financial Institutions of the National Bank of Cambodia on 29 June 2023, exposures denominated in riel or currency that are clearly and unconditionally guaranteed by the Royal Government of Cambodia, including guarantees by credit guarantee schemes established by the Royal Government of Cambodia, are zero percent risk-weighted.

In addition, H.E. Ros Seilava granted the Ministry of Economy and Finance’s Outstanding Awards to participating financial institutions including Prince Bank, Sathapana Bank, Canadia Bank, LOLC Microfinance Institution, and ABA, that have disbursed the most guaranteed accounts and a Special Award to Phillip Bank for maintaining the best Asset Quality in Guaranteed Loans in 2024.

H.E. Ros Seilava mentioned “Ensuring sustainable socio-economic development and building resilience to climate change are strategic goals of the Royal Government of Cambodia, with a priority on increasing sustainable and green finance to increase financial flows towards green investment and the green economy, and promoting climate-resilient and low-carbon public investment, etc. Investing in climate change not only can bring financial returns, but also socio-economic benefits. Therefore, I encourage relevant parties to focus on cooperation with the Royal Government in examining the feasibility of developing financial products, designing and implementing projects, and developing support mechanisms to increase the provision of green finance in Cambodia.”

In this annual seminar, there were also the Signing Ceremony on Credit Guarantee Agreement between CGCC and 2 new Participating Financial Institutions (PFIs), the Small and Medium Enterprise Bank of Cambodia (SME Bank) and Shinhan bank (Cambodia), and the Signing Ceremony on Memorandum of Understanding (MoU) between CGCC and Cambodia Microfinance Association (CMA) to improve financial inclusion and the financial literacy for SMEs.

Another objectives of the CGCC annual seminar is to create a discussion platform for sharing knowledge and experiences through a panel discussion on “Innovation of Credit Guarantee to Promote Green Financing”, shared by Mr. Kittipong Buranasiri , representative of Thai Credit Guarantee (TCG), Ms. Lee Hyeok, representative of Korea Credit Guarantee Fund (KODIT), Mr. Mohamed Azman Mohamed Taufik, representative of Credit Guarantee Corporation of Malaysia (CGC), and Mr. Nhim Soriya, representative of CGCC, moderated by Mr. Shakeel Ahmad, Deputy Resident Representative of UNDP Cambodia.

CGCC is a state-owned enterprise under the financial and technical guidance of the Ministry of Economy and Finance with a main mission to provide credit guarantees to improve financial inclusion and support the development of small and medium enterprises. CGCC has launched 5 individual guarantee schemes, 17 portfolio guarantee​ agreements, and bond guarantees, as well as the Entrepreneurship Program Initiative of CGCC (EPIC). As of 31 December 2024, after 4 years of operations, CGCC has approved credit guarantees on 3,139 accounts of business loans, amounting to USD 256.58 million across the country. Those businesses provide jobs for more than 30,000 employees.

Credit to: KIRIPOST, Published on 24 January 2025

CMA and CGCC Partner to Enhance Financial Inclusion and Promote Green Financing in Cambodia

Posted on by Sorn Chhorvyvatey

Cambodia Investment Review

The Cambodia Microfinance Association (CMA) and the Credit Guarantee Corporation of Cambodia (CGCC) have signed a Memorandum of Understanding (MoU) to advance financial inclusion and sustainability across Cambodia. The partnership, formalized during the CGCC Annual Seminar on “Innovation of Credit Guarantee to Promote Green Financing,” presided over by H.E. Ros Seilava, Secretary of State of the Ministry of Economy and Finance and Chairman of CGCC, aims to drive financial literacy, promote digital finance, and foster green financing initiatives.

Read More: Cambodia Microfinance Association Catalyzes Global Efforts in Sustainable, Inclusive Finance at 2024 AGM

Strategic Focus on Capacity Building and Green Finance

Under the three-year agreement, CMA and CGCC will collaborate on a range of initiatives to strengthen the capacity of micro, small, and medium enterprises (MSMEs), banking and financial institutions (BFIs), and stakeholders. Key areas of cooperation include:

  • Capacity Development: Joint training programs and workshops for BFIs, MSMEs, and stakeholders to enhance skills and knowledge.
  • Financial Literacy: Increasing awareness and accessibility of financial services among Cambodians.
  • Digital Financial Services: Promoting innovative solutions to improve financial inclusion.
  • Green Sector Initiatives: Encouraging sustainable practices in the financial sector to support environmental objectives.

“This partnership marks a significant step toward advancing financial inclusion in Cambodia. By combining our expertise and resources, we can create a more robust financial ecosystem that supports the growth of MSMEs and contributes to the country’s sustainable development,” said Oknha Hout Ieng Tong, CMA representative.

Enhancing Access to Underserved Businesses

The partnership will leverage CGCC’s credit guarantees to expand access to financing for underserved businesses, supporting their growth and integration into Cambodia’s financial system.

“We are excited to collaborate with CMA to enhance financial literacy and provide better access to financial services. This MoU is a testament to our shared commitment to fostering economic growth and sustainability in Cambodia,” said Mr. No Lida, Chief Executive Officer of CGCC.

By focusing on financial literacy and green financing, the partnership aligns with Cambodia’s broader economic development goals. Both organizations have committed to ensuring the confidentiality of shared information and the effective execution of initiatives outlined in the MoU.

Credit to: Cambodia Investment Review, Published on 24 January 2025

GuarantCo and CGCC Sign Deal to Accelerate Sustainable Infrastructure Investment

Posted on by Sorn Chhorvyvatey

GuarantCo, part of the Private Infrastructure Development Group (PIDG), and the Credit Guarantee Corporation of Cambodia (CGCC) have signed a Framework Agreement as part of the PIDG Credit Enhancement Facility (CEF) initiative.

The initiative seeks to accelerate the development of domestic capital markets and enhance financial inclusion through developing onshore guarantee capability. The Framework Agreement encompasses counter- and co-guarantee support from GuarantCo and technical assistance from PIDG Technical Assistance to help boost CGCC’s capacity. The Framework Agreement is also aligned with the mandate and prioritisation from the Ministry of Economy and Finance, and the Securities and Exchange Regulator of Cambodia who are seeking to deepen the corporate and project bond market in Cambodia.

The Framework was signed alongside the first transaction between GuarantCo and CGCC, wherein GuarantCo has provided a 10-year, USD 7 million portfolio guarantee to CGCC. Marking GuarantCo’s fourth investment in Cambodia, the portfolio guarantee will allow CGCC to mobilise further bank lending towards small and medium-sized enterprises (SMEs) in the country, with a focus on businesses supporting the green transition.

SME development is a high priority for Cambodia where a lack of access to formal banking services is common due to the nascency of green financing in the country.

The Framework Agreement follows a Memorandum of Understanding (MoU) signed in August 2024, which seeks to increase and upscale CGCC’s capacity through its involvement in a range of large-scale Corporate and Project finance deals. CGCC and GuarantCo will look to execute counter- and co-guarantees under the Framework, with a particular focus on catalysing sustainable infrastructure financing via the capital markets in Cambodia.

The accompanying PIDG TA grant programme will support CGCC to develop its technical capabilities in capital markets, allowing both organisations to scale their impact in Cambodia.

Denesh Srishanker, Group Head, Credit Enhancement Facilities at PIDG, said: “The signing of this Framework Agreement and completion of its first transaction less than five months after our MoU with CGCC is testimony to the market acceleration we want to achieve together. Establishing in-country credit enhancement facilities is key to support local market development and is therefore an integral part of PIDG’s 2030 Strategy to mobilise innovative infrastructure projects across Africa and Asia.”

Chinmay Naralkar, Deputy CEO at GuarantCo, said: “We are delighted to put into place this Framework Agreement with the Credit Guarantee Corporation of Cambodia and whilst cementing it with an inaugural transaction. The Framework will support CGCC’s growth in providing progressive sustainable infrastructure financing through local capital markets to support a green transition. Aligned with our strategic plans, we look forward to continuing to build our momentum in Cambodia to the benefit of the environment and local people and their livelihoods.”

No Lida, CEO of the Credit Guarantee Corporation of Cambodia, said: “We are pleased to demonstrate early progress in our collaboration with GuarantCo and PIDG with this Framework and our first international deal. This initiative aligns with CGCC’s strategy to enhance our bond guarantee capacity and support the development of SMEs in Cambodia. We seek to embed the international best practices represented by GuarantCo and PIDG as we build our capacity. This is a true cooperation in which we will learn from each other’s expertise while driving forward sustainable infrastructure for Cambodia.”

Credit to: Kiripost, Published on 17 January 2025

Guarantco and CGCC Sign Framework Agreement and First Transaction Together To Accelerate Sustainable Infrastructure Investment In Cambodia

Posted on by Sorn Chhorvyvatey

Cambodia Investment Review

GuarantCo, part of the Private Infrastructure Development Group (PIDG), and the Credit Guarantee Corporation of Cambodia (CGCC) have signed a Framework Agreement as part of the PIDG Credit Enhancement Facility (CEF) initiative.

The initiative seeks to accelerate the development of domestic capital markets and enhance financial inclusion through developing onshore guarantee capability. The Framework Agreement encompasses counter- and co-guarantee support from GuarantCo and technical assistance from PIDG Technical Assistance to help boost CGCC’s capacity. The Framework Agreement is also aligned with the mandate and prioritisation from the Ministry of Economy and Finance, and the Securities and Exchange Regulator of Cambodia who are seeking to deepen the corporate and project bond market in Cambodia.

USD 7 Million Portfolio Guarantee To CGCC

The Framework was signed alongside the first transaction between GuarantCo and CGCC, wherein GuarantCo has provided a 10-year, USD 7 million portfolio guarantee to CGCC. Marking GuarantCo’s fourth investment in Cambodia, the portfolio guarantee will allow CGCC to mobilise further bank lending towards small and medium-sized enterprises (SMEs) in the country, with a focus on businesses supporting the green transition.

Read More: No Lida Appointed as CEO of Credit Guarantee Corporation of Cambodia

SME development is a high priority for Cambodia where a lack of access to formal banking services is common due to the nascency of green financing in the country.

The Framework Agreement follows a Memorandum of Understanding (MoU) signed in August 2024, which seeks to increase and upscale CGCC’s capacity through its involvement in a range of large-scale Corporate and Project finance deals. CGCC and GuarantCo will look to execute counter- and co-guarantees under the Framework, with a particular focus on catalysing sustainable infrastructure financing via the capital markets in Cambodia.

The accompanying PIDG TA grant programme will support CGCC to develop its technical capabilities in capital markets, allowing both organisations to scale their impact in Cambodia.

CGCC Is Testimony To The Market Acceleration

Denesh Srishanker, Group Head, Credit Enhancement Facilities at PIDG, said: “The signing of this Framework Agreement and completion of its first transaction less than five months after our MoU with CGCC is testimony to the market acceleration we want to achieve together. Establishing in-country credit enhancement facilities is key to support local market development and is therefore an integral part of PIDG’s 2030 Strategy to mobilise innovative infrastructure projects across Africa and Asia.”

Chinmay Naralkar, Deputy CEO at GuarantCo, said: “We are delighted to put into place this Framework Agreement with the Credit Guarantee Corporation of Cambodia and whilst cementing it with an inaugural transaction. The Framework will support CGCC’s growth in providing progressive sustainable infrastructure financing through local capital markets to support a green transition. Aligned with our strategic plans, we look forward to continuing to build our momentum in Cambodia to the benefit of the environment and local people and their livelihoods.”

No Lida, CEO of the Credit Guarantee Corporation of Cambodia, said: “We are pleased to demonstrate early progress in our collaboration with GuarantCo and PIDG with this Framework and our first international deal. This initiative aligns with CGCC’s strategy to enhance our bond guarantee capacity and support the development of SMEs in Cambodia. We seek to embed the international best practices represented by GuarantCo and PIDG as we build our capacity. This is a true cooperation in which we will learn from each other’s expertise while driving forward sustainable infrastructure for Cambodia.”

Credit to: Cambodia Investment Review, Published on 18 January 2025