AKP: To address the COVID-19 crisis and to grasp the opportunity, the Royal Government of Cambodia has considered digital economy as a new growth source fueling the productivity in other sectors.
The remarks were made by H.E. Pan Sorasak, Minister of Commerce, in a discussion on digital trade service at the World Economic Forum Annual Meeting 2022 in Davos-Klosters, Switzerland on May 25.
To promote innovation and open digital service trade, the Royal Government has established Digital Economy and Business Committee; carried out Cambodian Digital Government Policy 2022-2035, Cambodia Digital Economy and Society Policy Framework 2021-2035, Strategic Framework and Programmes for Economic Recovery in the Context of Living with COVID-19 in New Normal 2021-2023, the establishment of National and ASEAN Single Window, and data and information sharing between the government and private sector; used the latest technology to support financial transactions; and established e-market such as Go4eCam.
He also mentioned about challenges being faced by Cambodia like legal framework, mechanism for Fintech implementation and facilitation and road map for fintech policy.
The digital revolution is making the most of digital advances in information and communication technology and digital technology in order to boost production capacity in service sector and economic effectiveness to enhance national economic growth and build a nation that people can get advantage from inclusive, confidential and highly safe digital service by maintaining the national identity and culture, underlined H.E. Minister.
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Analysist: Cambodian payments will be cashless in ten years
PHNOM PENH: Visa, the world’s leading provider of digital payments, released a study of Visa customers’ “cash flow trends” this week, which revealed that approximately 32% of Cambodians plan to stop using banknotes after an epidemic. In the next ten years, COVID-19 and Cambodia will be cashless.
In a press release, Visa emphasized that this is an excellent transition from banknotes to digital payments, particularly QR codes and e-wallets.
Outbreaks have accelerated the adoption of digital payments among Cambodian consumers, who believe that using digital payments will improve society’s cleanliness (43 percent), efficiency (39 percent), and the environment (37 percent).
“We are on the verge of a generational shift in how Cambodians choose digital payments,” said Monika Chum, Visa Country Director for Cambodia. Visa is keeping a close eye on the transition to banknotes, using market insights to help our local partners launch faster, more secure digital payments.
According to news releases since COVID-19, cash consumption fell 22 percent last year. One out of every five Cambodian customers has experimented with banknotes, with nearly half (46 percent) claiming that not using banknotes for more than a week is fine. Among those who still use cash, 29 percent believe they can use banknotes for a month or more while relying on other digital payment systems.
The study also found that banknotes and digital payments, particularly cards and QR codes, are becoming more popular. Card payments are now used by 38% of Cambodians, and nearly seven out of ten users (68%) have both an e-wallet and a preference card for this type of payment.
Meanwhile, the use of QR payments has tripled every year, with 36 percent of Cambodians now using them. QR payments are the second most popular type of payment, especially in supermarkets and in-store purchases.
Customers also clearly prefer mobile apps that provide them with more options and integrated payment functionality. Digital banking has partnered with traditional banking, with 60 percent of consumers now installing mobile banking apps.