PHNOM PENH: The National Bank of Cambodia (NBC) has launched the book titled “Cambodian Dollarisation: Its Policy Implications for LDCs' Financial Development”, focusing on the outputs of the empirical study on promoting the use of the national currency in Cambodia.

The launching ceremony was held here on Nov. 10 under the presidency of H.E. Chea Chanto, Honorable Governor of NBC, H.E. Ms. Chea Serey, NBC Governor, representatives of the Japanese Embassy in Cambodia and Japan International Cooperation Agency (JICA) Cambodia Office, heads of commercial banks and microfinance institutions, and relevant stakeholders.

The 245-page book was jointly elaborated by the NBC and JICA Ogata Research Institute, and the work started in 2013.

As dollarisation has arisen in Cambodia in a context of weak confidence in the Riel, following nearly three decades of civil war and a massive influx of US dollars during the first general election under the United Nations Transitional Authority in Cambodia (UNTAC), the findings are outputs which are required to implement incentive and support policies to reduce dollarisation, said H.E. Ms. Chea Serey.

“The findings of the research would provide valuable experiences to least developed countries for better regulation of dollarisation and utilization of policies in the further financial and economic development,” she said in her opening remarks.

She emphasized that the Royal Government and the NBC have increased the public trust in Riel usage constantly and implemented a series of market-oriented measures to promote Riel since the early 2000s. These measures have increased the demand for Riel about 16 times as witnessed in currency in circulation, which rose up to 14.5 trillion Riel compared to 0.85 trillion Riel twenty years ago.

“The growth is an essential milestone and a strong hope of increasing usage of Khmer Riel,” she added.

Mr. Sanui Kazumasa, Chief Representative of JICA Cambodia Office, said that the book will be of great benefit to readers such as policymakers, researchers, and students working on dollarisation and economics.

The launch of this book took place on the occasion of the 70th Anniversary of Diplomatic Relations between Cambodia and Japan, which showcases more clearly the strengthened and long-lasting friendship between the two countries and the contribution of Japan to Cambodian socio-economic development, underlined H.E. Ms. Chea Serey.