Cambodia’s economy has experienced tremendous growth over the last two decades, with the microfinance sector playing a crucial role. Besides being at a driver of the development of the nation’s economy, MFIs have also played a vital role in poverty alleviation.
Both economic growth and poverty alleviation are key components of the government’s national development strategy. With support from the core policies of the Royal Government of Cambodia (RGC) and the National Bank of Cambodia (NBC) in particular, the Cambodian microfinance industry has grown significantly from year to year, expanding financial services to people who live in rural areas and contributing to rising living standards.
PRASAC Microfinance Institution is a private company, not a state-owned institution. We aim to improve the living standards of rural people and contribute to sustainable economic development by being a financially viable MFI. With 22 years of professional experiences, PRASAC has grown exponentially, becoming the largest and most sustainable MFI in Cambodia in terms of business size, customer care, flexible and sound financial solutions, and a wide network of offices and ATMs. We have developed a modern, transparent and dynamic core banking system.
As of February 2017, PRASAC had total assets of $1.29 billion, registered capital of $110 million, a total gross loan portfolio of $1.10 billion from more than 353 thousand active borrowers, and a deposit balance of more than $657 million from more than 504 thousand depositors. PRASAC also employs 6,400 staff, has 181 branches and 119 ATMs nationwide.
PRASAC has been honored to receive numerous awards and certifications from Cambodian and international groups. These include the MFTransparency Seal of Pricing Transparency and the Client Protection Certification from the Smart Campaign, a highly regarded specialized organization that awards MFIs that perform well in client protection.
Besides providing deposits and loans service to clients, PRASAC also offers other banking services, including mobile and internet banking, PPWSA bill payment, EDC bill payment, transfers, cash-by-code, ATMs, phone top-up, bill settlement, POS, fast payment and payroll services.
PRASAC fully complies with all laws as well as the regulations issued by the NBC. We contribute to the promotion of the riel in every business transaction. In 2016, PRASAC worked with the NBC and other financial institutions to initiate a new service called “Fast Payment”.
This service allows commercial banks and deposit-taking MFIs to use the interbank fund transfer and payment transaction in riel for their customers all over the country. PRASAC is also working with the NBC on the Central Shared Switch system, which will allow ATM card holders to withdraw their cash and do payments through ATMs of all banks and MFIs nationwide this year.
PRASAC consistently supports com- munity development through activities that range from educational programs to blood donations. We engage with communities through numerous social and public events that aid social development and improve living standards. As part of our corporate social responsibility program, we aim to be a role model for other institutions and the general public. PRASAC has so far constructed 19 libraries by providing new facilities and furniture, study materials and documents that are helping to promote reading for 12,800 students.
On the occasion of the 37th anniversary of the reintroduction of the riel, PRASAC’s management and staff would like to express deep gratitude to the National Bank of Cambodia, local authorities and stakeholders for their support and advice over the last 22 years. We would also like to thank all of our clients for choosing PRASAC as their financial partner and wish them great success in their business. At PRASAC we share a goal with all clients – growing together.