Financial experts predicting increase in foreign investors

• Published date: 10 March 2023
• Publication title: The Phnom Penh Post

Financial and private sector experts said that the removal of Cambodia from the 'money laundering grey list' of the Financial Action Task Force (FATF) recently was an absolute necessity for Cambodia's financial sector. They said it may bring added benefits with it as it could give more confidence to investors and thereby attract more foreign investment to Cambodia.

In Channy, president and group managing director of ACLEDA Bank, said on March 5 that the removal from the FATF's 'grey list' reflected the government's efforts towards that end to improve its ability to combat money laundering crimes in Cambodia.

'Leaving the grey list not only enhances Cambodia's image on the international stage, but also attracts foreign investment and facilitates the trade of local and international investors in all sectors,' said Channy.

Kaing Tongngy, Cambodia Microfinance Association (CMA) spokesman, said that it was a good and important thing for Cambodia's financial sector as it would provide more convenience for foreign investors who need to transfer money to Cambodia. If Cambodia had remained on the grey list, investors would face a more complex and challenging process to do so.

'As we already know, the policy of the [government] is open encouragement of foreign investment. Unfortunately, in 2019, Cambodia was placed on the grey list, which made foreign investors face some difficulties. However, from now on, foreign investment in Cambodia should improve,' he said.

Cambodia Chamber of Commerce (CCC) vice-president Lim Heng said the private sector was very pleased with the removal as businesses were concerned about this issue as well.

'Today, Cambodia is a major exporter, especially for agricultural products for processing, while imports are also high, so there are...