Logo of Phnom Penh Post newspaper Phnom Penh Post - Fintech key amid adoption wave

Fintech key amid adoption wave

Content image - Phnom Penh Post
Consumers are now more willing than ever to adopt next-generation technologies and perform transactions at the time and place of their own choosing. SUPPLIED

Fintech key amid adoption wave

The growth of digital products in the financial sector has become more important than ever as customers are more willing to adopt next-generation technologies and perform transactions at the time and place of their own choosing, industry players have said.

This was the general view expressed at the opening of the November 8-12 Cam-Tech summit, which aims to inclusively showcase the full range and increasing sophistication of the Kingdom’s emerging and accelerating financial technology (fintech) and non-financial technology landscape.

The event was organised by the Cambodia Association of Finance and Technology, in cooperation with the National Bank of Cambodia (NBC), Association of Banks in Cambodi​a (ABC) and Cambodia Microfinance Association (CMA), in line with 11 partners for the World FinTech Festival, which takes place on November 11-12.

Speaking at the event’s opening ceremony, CMA chairman Kea Borann said financial institutions have introduced a wide range of digital products to the market over the last few years.

As examples, he listed mobile banking app, digital wallets, robotic advisory systems, digital loan applications and requests, credit scoring, online payments, and self-service kiosks.

These have allowed financial institutions to reach out to more people, which contributes to the achievement of the 2019-2025 national financial inclusion goals, he said, adding that the number of savings accounts has surged to about nine million as of 2020.

“As digital products and technology adoption grow, knowledge about cyber security, as well as digital and financial literacy will become even more important for consumers, to help them understand the risks and benefits, so that they can be better protected,” Borann said.

Improvements in infrastructure, cloud computing, data privacy, consumer protection, digital ID and e-KYC are crucial to support the future growth of digital products.

ABC Payments Committee treasurer and chairman Baek Jong-il noted that the NBC in October 2020 launched the inter-bank mobile payment platform, known as the “Bakong System”, as part of broader efforts to promote digital adoption and transformation in banking and finance.

He said the platform has given a powerful impetus to rural financial sector development and the financial inclusion process in the Kingdom.

ABC regards the adoption of digital and technology solutions for banking and finance “as one of the core objectives, as we aim to promote the continuous modernisation of the Cambodian banking system by organising, managing and participating in all inter-bank activities”, Baek said.

The NBC reported that the number of digital transactions across the Kingdom jumped 350 per cent from end-2019 to the end of 2020, and total value rose 200 per cent to $68 billion.

Transactions through Bakong have also grown rapidly with about 1.5 million in the ecosystem with a value of about $500 million, NBC director-general Chea Serey told CNN in August.

MOST VIEWED

  • Research key to Kanitha’s rep for expertise

    Sok Kanitha is used to weighing in on controversial issues using a confident approach that signals expertise and authority, and a recent video she made was no exception. Her “Episode 342: The History of NATO” video went live on January 16, 2023 and immediately shot to 30,000 likes and 3,500

  • Cambodia maintains 'Kun Khmer' stance despite Thailand’s boycott threat

    Cambodia has taken the position that it will use the term "Kun Khmer" to refer to the sport of kickboxing at the upcoming Southeast Asian (SEA) Games, and has removed the term Muay from all references to the sport. Despite strong reactions from the Thai

  • Artificial insemination takes herd from 7 to 700

    Some farms breed local cows or even import bulls from a broad for the purpose of breeding heavier livestock for meat production. One Tbong Khnum farmer has found a more efficient way. Hout Leang employs artificial insemination to fertilise local cows. Thanks to imported “straws”

  • Chinese group tours return to Cambodia starting Feb 6

    Cambodia is among 20 countries selected by Beijing for a pilot programme allowing travel agencies to provide international group tours as well as flight and hotel packages to Chinese citizens, following a three-year ban. As the days tick down until the programme kicks off on February 6,

  • Capital-Poipet express rail project making headway

    The preliminary results of a feasibility study to upgrade the Phnom Penh-Poipet railway into Cambodia’s first express railway indicate that the project would cost more than $4 billion and would take around four years to complete. The study was carried out by China Road and

  • Thai boxers to join SEA Games’ Kun Khmer event

    The Cambodian SEA Games Organising Committee (CAMSOC) – together with the Kun Khmer International Federation (KKIF) and Khmer Boxing Federation – have achieved a “great success” by including Kun Khmer in the upcoming biennial multi-sports event on its home soil for the first time, said a senior