Cambodia's banking sector sees growth in loan, deposit in 7 months

Cambodia's banking industry has seen 8 percent rise in loan and 4 percent increase in deposit over the first seven months of the year thanks to better economic situation and public confidence in the sector, a central bank official said Monday. Nguon Sokha, director general of the National Bank of Cambodia (NBC), said the kingdom's 34 commercial banks had provided a total loan of 6.38 billion U.S. dollars to customers by July this year, up 8 percent from 5.88 billion U.S. dollars at the end of last year. The loans mainly went to trade, agriculture, manufacturing, construction, hotels and restaurants, mortgages and real estate. On the deposit side, she said by July this year, the banks had received a total deposit of 6.4 billion U.S. dollars, up 4 percent from 6.16 billion U.S. dollars at the end of last year. "Even though there was a general election in July, we see that the banking industry still continue to grow," she said."We believe that the growth will continue throughout the rest of the year if the ongoing dispute over the election results is peacefully resolved." Cambodia held a general election on July 28. Initial results showed that the ruling Cambodian People's Party (CPP) of long- serving Prime Minister Hun Sen won 68 of the 123 parliamentary seats, with the Cambodia National Rescue Party (CNRP) of longtime opposition leader Sam Rainsy taking the remaining 55 seats. But the CNRP did not recognize the results, claiming serious irregularities during the poll. It said the party should win 63 seats, with the CPP getting the remaining 60 seats. The party will hold a massive nonviolent protest against the poll results on Saturday -- a day ahead of the release of the official election results. Cambodia has the population of about 14.7 million with its banking sector serving about 1.6 million borrowers and 1.9 million depositors, the NBC said.