Phnom Penh, November 1, 2024 – The National Bank of Cambodia (NBC), in conjunction with the Ministry of Commerce, has issued a notification allowing banking and financial institutions to open bank accounts in the Cambodian riel (KHR) for all legally registered businesses in the country. The joint announcement aims to enhance the implementation of commercial enterprise laws while promoting the use of the riel in business transactions.
The announcement calls on all banking and financial institutions to cooperate in facilitating the establishment of these bank accounts for businesses operating within the Kingdom of Cambodia. This initiative is part of a broader strategy to bolster the local currency's role in the economy and support financial stability in alignment with Cambodia's economic policy framework and the vision for a digital society from 2021 to 2035.
The utilization of the riel is pivotal in advancing macroeconomic policies, particularly in maintaining price stability in the market, reducing reliance on foreign currencies, and mitigating the impacts of dollarization. Additionally, it is expected to enhance export support and investment, accumulate international reserves, and increase societal welfare through revenues generated from printing banknotes. Furthermore, using the national currency aids in reinforcing national identity and sovereignty.
This new measure aligns with the Royal Government's Pentagon Strategy for Phase 1 under the leadership of Prime Minister Hun Manet. The government aims to promote a robust and resilient economy by encouraging businesses to engage more readily with the riel in their financial activities.
