Cambodia's Banking Sector Stable Despite Three Bank Liquidations: Industry

PHNOM PENH, Aug 5, 2026 (KPT) — Cambodia’s banking sector remains stable despite the liquidation of three lenders, the Association of Banks in Cambodia said Tuesday, stressing the move reflected regulatory enforcement rather than systemic weakness. The National Bank of Cambodia revoked the licenses of CCU Commercial Bank, Heng Feng (Cambodia) Bank and HH (Cambodia) Bank for non‑compliance and placed them into liquidation. “Compliance with laws and regulations is not an obstacle to competition. It is the foundation for safe and responsible competition,” said Sok Chan, head of public relations at the association. He said competition would increasingly hinge on service quality, governance, risk management, digital security and consumer protection, rather than growth or pricing alone. Banks must bolster capital, liquidity, asset quality, loan‑loss provisioning, anti‑money laundering and counter‑terrorism financing measures, as well as cyber‑risk management, he added. Chan urged depositors to rely only on official information from the central bank and appointed liquidators, prepare documents for deposit claims, and avoid unverified social media posts. Borrowers should continue repaying loans under contract terms. The central bank said the three lenders represented just 0.5 percent of sector assets, deposits and loans, posing no material risk. Including two earlier liquidations, their combined market share is about 1 percent. NBC said winding down non‑compliant institutions was a routine supervisory function to preserve stability and credibility, noting similar actions have been taken since the 1990s.