PHNOM PEN: Cambodia has seen a significant rise in mobile payments as banks and financial institutions have introduced innovative digital payment services to support the growing demand and adoption in the new normal environment.
In 2022, the number of e-wallet accounts increased to 19.5 million and the value of retail electronic payments increased by 34 percent to KHR 1,110.6 trillion (approximately US$272 billion, equivalent to more than 9 times the Gross Domestic Product (GDP), the National Bank of Cambodia’s the Financial Stability Review report showed.
Retail electronic payments include both KHR and US$ payment transactions through e-wallets of banks and financial institutions and payment service institutions, internet banking, mobile banking, and card payment, The rapid development of payment and settlement systems has been making a significant contribution to improving efficiency, safety, and affordability of payment operations to be in line with the government’s policy in promoting the digital economy and society, read the report, publicly issued on July 6.
“The use of mobile banking services has steadily accelerated as supported by the growth of mobile phone and internet penetration rates coupled with the availability of user-friendly digital financial services, enabling customers to conduct a wide range of digital banking operations, including loan repayment, fund transfer, bill payment, phone top up, payroll, balance inquiry, etc.,” it said.
The central bank added that the increasing trend of digital payment also requires close monitoring and safeguarding of the flow and safety of payment transactions as well as promotes consumer protection in maintaining public confidence, saying that it has continuously promoted financial and digital literacy, particularly among the young generation who are keen to embrace digital financial services.
“Cybersecurity and consumer protection have also been enhanced to ensure stability in the banking system. Moreover, on-site and off-site inspections are continuously conducted to monitor business progress and challenges and set corrective recommendations for risk mitigation,” said the report.