Bank of China sets to launch Cambodian branch

PHNOM PENH, May 6, 2011 (Xinhua News Agency) -- The Bank of China (OOTC:BACHY) pledges to bridge closer economic ties between the two countries, said the visiting Yue Yi, vice president of Bank of China, on Friday.

"The presence of the Bank of China in Cambodia is to strengthen and expand friendship and economic cooperation between Cambodia and China," Yue Yi said at a meeting with the governor of National Bank of Cambodia, Chea Chanto.

The Bank of China Phnom Penh Branch is scheduled to launch officially on May 7.

He said that with the bank's presence here, it will help facilitate business activities between the two countries. "We will also help to encourage more Chinese investors to Cambodia."

Meanwhile, Chea Chanto expressed his full support for the presence of the bank in Cambodia.

"The operation of the Bank of China in Cambodia reflects the trust of foreign investors on Cambodia," he said, "It's also a sign of progress in Cambodia's banking industry."

The governor said that Cambodia's banking industry, currently, is quite stable.

By the end of 2010, the customers' deposits grew by 26 percent to 4.16 billion U.S. dollars, while the customer credits increased by 26.7 percent to 3.18 billion U.S. dollars.

Also, the ratio of the non-performing loan in the banking industry has declined to only 3 percent as of April, said the governor.

Including the presence of Bank of China, there are 30 commercial banks in the country so far.