The Cambodia Daily
Hang Sokunthea
Journalist, writer, media professor
Cambodia
Cambodia
The Cambodia Daily
With a lack of capital stifling the development of domestic digital innovation, one of the country's largest mobile operators has teamed up with an investment consultancy to create a $5 million startup fund for Cambodian companies.
At a bustling construction site in the heart of Phnom Penh, the women stand apart, separated from their male co-workers by more than just their brightly-colored, mismatched clothes that jump out against the concrete-gray surroundings. As they shovel sand and rocks into bags, men wield power tools.
The National Bank of Cambodia announced on Monday that it would set an annual interest rate ceiling of 18 percent for all microfinance institutions (MFIs), sparking concerns that lenders would stop offering smaller loans that often keep the most financially vulnerable afloat.
The ruling CPP doubled down on Tuesday on its decision to cap interest rates on microfinance loans as a way to help the poor get out of debt, even as analysts called it a political move that would have long-term negative effects on the rural economy.
Developers are planning to introduce timeshares, a business model for holiday homes that has run into some controversy in other countries, including Thailand, to Cambodia for the first time. Two large-scale projects are planned, including a $30 million condo development in Sihanoukville, where construction is expected to start later this year, as companies look for new ways to attract long-term investment in the country's real estate sector.
A Sri Lankan conglomerate has acquired majority ownership of Prasac, Cambodia's largest microfinance institution (MFI), for $186 million, according to an announcement on Friday. Lanka Orix Leasing Company (LOLC), which previously held 22 percent of the company, purchased another 48 percent from three previous owners: Belgian Investment Company for Developing Countries, Vietnamese firm Dragon Capital Group and Netherlands Development Finance Company.
Japan will offer Cambodia more than $140 million in loans and grants for infrastructure, health care and flood mitigation projects, the Foreign Affairs Ministry announced on Tuesday. Foreign Affairs Minister Prak Sokhonn and Hidehisa Horinouchi, Japan's ambassador to Cambodia, are expected to sign the agreement this evening, according to a ministry statement.
Cambodia's largest microfinance institution, Prasac, underwent a shuffle in shareholders this week as part of a multimillion dollar deal with one goal in mind: to transform into a licensed commercial bank.
A civil aviation training center was launched in Phnom Penh on Wednesday, three years after an agreement was signed with South Korea to fund the construction of the new facility. Mao Havannal, the secretary of state for the State Secretariat of Civil Aviation, said at its inauguration on Wednesday that the $10-million training center would offer 14 courses from air traffic control to airport security.
The rise of e-commerce is continuing in Cambodia with the launch of the first cashless mobile app for restaurant food orders, with sponsorship from heavyweights such as Coca-Cola and Wing. Tesjor-which means "tourism' in Khmer-will offer diners the ability to pre-order food for takeaway, delivery or dining-in from 85 partner restaurants, all without having to hand over any physical cash.
The central bank has tentatively agreed to help microfinance institutions-which will be saddled with a hard cap on interest rates as part of a populist government campaign-by offering them cheap loans, lowering license fees or delaying the imposition of a reserve requirement, finance company representatives said on Thursday.
Reacting to the central bank's announcement of a hard cap on interest rates, the chairman of an industry group representing 84 microfinance institutions on Wednesday said the association would request tax exemptions or cheap loans from the bank to make the arrangement viable.
The U.S. on Tuesday advised Commerce Ministry representatives on streamlining import-export systems and generally making trade with other nations easier during a workshop in Phnom Penh, held to help Cambodia comply with a World Trade Organization agreement to simplify cross-border trade.
As Thailand's workforce ages and production costs in the country's manufacturing sector rise, experts and officials see Cambodia as an attractive alternative for companies looking for a younger, cheaper workforce. A lack of skills, however, is standing in the way of any sudden shift.
ASEAN - Korea Center
Data Journalism
Phnom Penh Post
The public bus service run by City Hall has been hemorrhaging about $100,000 a month, according to the local authorities. Long Dimanche, spokesman for the Phnom Penh municipality, confirmed the figure yesterday, after it was first revealed by local media following a meeting last week between the Phnom Penh governor and private transport companies.
Aiming to one day become a major manufacturing base in Cambodia, Sihanoukville faces an uphill battle in attracting workers, provincial officials said yesterday. Yow Khemara, director of the Department of Labour and Vocational Training at Preah Sihanouk province, said Sihanoukville currently lacks about 4,000 workers in all sectors, especially garments and construction.
Startups discuss reduction in registration fees Local tech startups discussed a possible reduction in the Ministry of Commerce's business registration fees at a meeting on Saturday, to ease the initial financial burden on their businesses, given the difficulty in raising funds in Cambodia's nascent tech market.
Jutland Station
Every Aarhus University student has a chance to debate global issues or nurture a career through the University's Model United Nations. By Sokunthea Hang and Soyoun Park Aarhus University International Model United Nations (AUIMUN) kicked off its first delegates meeting of 2015 with a debate that the AUIMUN board considered to be this week's urgent topic - the spine-chilling activities of the Boko Haram movement.
LIFT Magazine
On the street behind Toul Tom Pong pagoda, there is a flat that is always crowded with parked cars and motorcycles. We can always see twin sisters there who are busy running back and fourth at the place. That place is a restaurant called Toul Tom Pong Twins River Snail which, Kun Chansophea, one of the twin sisters, is taking charge of to help her mother.
Thomas Edison, the famous scientist and businessman, once said that genius is one per cent inspiration and 99 per cent perspiration. The success story of In Meatra follows this formula.
Grade-12 students have just graduated and are now preparing for college. We wanted to see what subjects are popular and which ones can lead to actual jobs upon graduating college.
Currently, network marketing, or multi-level marketing (MLM), a new business model in Cambodia, has become widespread around the city. This business model raises public concern because it is risky and makes it easy to lose money if not done properly.
Some young people say: you can’t see the future. To achieve your number one goal in life, aside from hard work, you also need a bit of luck to make your destiny come true.
On any given day in a busy Japanese restaurant in Canada, you can see a young Cambodian man concentrating on making sushi for his customers. His name is Prasoeur Suy and he has worked as a sushi chef at Niko Sushi for around 5 years.
Cambodia is full of beer gardens where teenagers wearing high school uniforms are served. Drunken teens get into violent confrontations, such as a man who broke his skull last week at a karaoke parlor in Phnom Penh. Traffic accidents, which today kill more Cambodians than AIDS, also increase as teenagers hit the streets drunk.
The suicide rate in Cambodia has increased drastically in recent years. Statistics from the Ministry of Interior estimate that nearly 600 Cambodians committed suicide in 2012, a 13 per cent increase from 2011
Most large organisations and businesses in Cambodia employ foreigners in high positions, as Cambodian workers are commonly viewed as less competent. But why?
Bomborra
After decades in the political wilderness, former Cambodian prime minister Pen Sovann will make his political comeback in late September when the National Assembly sits. He’ll be seated opposite politicians.
The role of citizen journalist versus the professional is discussed here by Hang Sokunthea, a journalism student with Pannasastra University in Phnom Penh
