Credit in Construction Sector at Approx US$13bn as of Q1 2022, Over 29% Rise Y-o-Y

• 4 July 2022
• Local News
• 870 Views

As of the end first quarter of 2022, banking and financial institutions’ loans to the private sector were recorded at over US$50.7 billion. Among these, credit taken by the construction sector shares the highest amount, according to a recent report by the National Bank of Cambodia (NBC).

Credit provided to the construction sector as of Q1 was US$13.7 billion, equivalent to 27% of the total credit. This amount of credit supplied to construction represents a 29.3% increase compared to the same period last year.

Wholesale and retail trade grabbed the second-largest share of loans at US$12.6 billion, followed by services, agriculture, and household, at US$5 billion, US$4.8 billion, and US$2.7 billion respectively.

Director-General of NBC HE Chea Serey said recently that access to finance is an obstacle for small and medium-sized enterprises due to lack of collateral while fulfilling the requirements to get loans, lack of financial statements and lack of financial knowledge are other challenges.

Since early 2020, the COVID-19 pandemic has severely affected economic activities.

• Analysis