navigate_nextMedianavigate_nextOur Newsnavigate_nextLoan Agreement Signing Ceremony between ACLEDA Bank and IFC

Loan Agreement Signing Ceremony between ACLEDA Bank Plc. and International Finance Corporation

May 21, 2004

On May 21, 2004 a loan agreement signing ceremony was held at Hotel Le Royal, Phnom Penh, Cambodia, between ACLEDA Bank Plc. and International Finance Corporation (IFC) under the presidency of H.E. Keat Chhon, Senior Minister of the Ministry of Economy and Finance.

After becoming a full-fledged commercial bank, ACLEDA Bank Plc. qualified for funding from international agencies and banks and with that, ACLEDA Bank Plc. has grown and expanded rapidly. In order to respond to the high demand for credit by entrepreneurs of micro-business, small businesses, and medium size enterprises in the Kingdom of Cambodia, ACLEDA Bank requires a line of credit from IFC of US$6 million so that we can fulfil the needs of Cambodia's many micro, small and medium entrepreneurs.

The Royal Government of Cambodia's Second Socioeconomic Development Plans and National Poverty Reduction Strategy (NPRS) recognize that economic growth should be hastened through strong private/SME sector development, combined with poverty-reducing interventions.

By the end of April 2004, ACLEDA Bank had loans outstanding of more than US$47 million, with more than 105,000 active borrowing customers, nearly 70% of whom are women.

With this coming loan from the International Finance Corporation, ACLEDA Bank is expecting to reach at least an additional 3,000 micro, small and medium-sized enterprises-an important means for encouraging economic growth at the grass roots level. It provides a stimulus to social development and is a powerful weapon in the fight against poverty in Cambodia.