This​ new​ infusion​ brings​ the​ Bank’s​ total​ shareholder’s​ equity​ to​ US$2.2​ billion,​ solidifying​ its​ position​ as​ the​ leading​ player​ in​ the​ Cambodia’s​ dynamic​ banking​ sector.

The​ shareholders’​ decision​ to​ inject​ this​ capital​ is​ a​ powerful​ endorsement​ to​ ABA​ Bank’s​ growth​ trajectory​ and​ unwavering​ commitment​ to​ Cambodia’s​ economic​ development.​

Notably,​ the​ shareholders​ have​ never​ repatriated​ any​ profit​ generated​ by​ ABA.​ Instead,​ they​ have​ continuously​ invested​ it​ back​ to​ the​ ABA​ ecosystem,​ focusing​ on​ technological​ advancements​ and​ continuous​ development​ of​ human​ capital.

Boost​ to​ Financial​ Stability​ and​ Technology

This​ latest​ capital​ injection​ not​ only​ enhances​ ABA​ Bank’s​ financial​ stability​ but​ also​ supports​ its​ vision​ for​ sustained​ growth​ and​ innovation.​ With​ the​ increased​ capital​ base,​ the​ Bank​ is​ better​ positioned​ to​ navigate​ economic​ uncertainties,​ ensuring​ greater​ stability​ and​ resilience​ in​ Cambodia’s​ financial​ landscape.

The​ new​ funding​ will​ accelerate​ ABA’s​ investments​ in​ cutting-edge​ technologies,​ enhancing​ its​ digital​ banking​ services​ and​ supporting​ the​ growth​ of​ SMEs.​ By​ focusing​ on​ these​ areas,​ ABA​ aims​ to​ empower​ local​ businesses​ and​ drive​ economic​ activity​ across​ multiple​ sectors,​ all​ while​ providing​ customers​ with​ more​ accessible,​ efficient,​ and​ secure​ banking​ solutions.​

Askhat​ Azhikhanov,​ CEO​ of​ ABA​ Bank,​ remarked,​ “This​ capital​ infusion​ is​ a​ clear​ example​ of​ the​ foreign​ direct​ investment​ in​ the​ economy​ thanks​ to​ continuous​ trust​ of​ our​ shareholders​ in​ Cambodia​ and​ in​ ABA.​ The​ additional​ capital​ enables​ us​ to​ continue​ providing​ loans​ to​ SMEs,​ keep​ investing​ in​ cutting-edge​ technologies,​ and​ deliver​ exceptional​ financial​ services​ while​ contributing​ to​ Cambodia’s​ economic​ progress.”

Continuous​ Contribution​ to​ National​ Economy

ABA​ Bank​ has​ also​ distinguished​ itself​ as​ a​ model​ corporate​ citizen​ in​ Cambodia,​ receiving​ the​ prestigious​ “GOLD”​ Certificate​ of​ Tax​ Compliance​ from​ the​ General​ Department​ of​ Taxation​ (GDT)​ for​ six​ consecutive​ years​ since​ 2019.​

This​ recognition​ underscores​ ABA’s​ consistent​ commitment​ to​ transparency​ and​ good​ corporate​ tax​ governance.​ The​ Bank​ has​ fully​ complied​ with​ Cambodia’s​ tax​ regulations,​ paying​ taxes​ in​ full​ and​ with​ 100%​ transparency.​ In​ recognition​ of​ these​ efforts,​ the​ bank​ was​ also​ honored​ with​ a​ Letter​ of​ Appreciation​ from​ the-then​ Prime​ Minister​ Hun​ Sen​ in​ May​ 2022.​

In​ 2023​ alone,​ ABA​ Bank’s​ income​ tax​ and​ other​ tax​ expenses​ amounted​ to​ $85​ million.​ In​ the​ first​ 8​ months​ of​ 2024,​ tax​ contributions​ already​ reached​ $80​ million.​

Cumulatively​ from​ 2009​ to​ 2024,​ ABA​ has​ contributed​ approximately​ $446​ million​ in​ taxes​ to​ the​ state​ budget,​ significantly​ supporting​ government​ initiatives​ in​ building​ infrastructure​ for​ the​ benefit​ of​ the​ people.

Investment​ in​ Human​ Capital

ABA​ Bank’s​ impressive​ growth​ is​ not​ just​ a​ result​ of​ financial​ strength​ and​ technological​ innovation,​ but​ also​ its​ unwavering​ commitment​ to​ developing​ human​ capital.​ Having​ created​ more​ than​ 9,300​ jobs,​ the​ Bank​ places​ great​ emphasis​ on​ nurturing​ talent​ and​ fostering​ a​ high-performance​ culture.​

ABA’s​ continuous​ investment​ in​ training​ and​ professional​ development​ ensures​ that​ its​ staff​ are​ well-equipped​ to​ meet​ the​ evolving​ needs​ of​ customers​ and​ the​ challenges​ of​ a​ fast-changing​ financial​ landscape.

Through​ leadership​ programs,​ skill-enhancement​ workshops,​ and​ career​ progression​ opportunities,​ the​ Bank​ supports​ the​ personal​ and​ professional​ growth​ of​ its​ employees,​ empowering​ them​ to​ drive​ innovation​ and​ deliver​ top-tier​ service.

The​ strong​ workforce,​ combined​ with​ advanced​ technologies,​ allows​ ABA​ to​ maintain​ its​ market​ leadership​ and​ continue​ setting​ new​ benchmarks​ in​ Cambodia’s​ banking​ industry.

Appreciation​ for​ Customer​ Trust

The​ Bank’s​ remarkable​ growth​ in​ its​ customer​ base​ reflects​ its​ commitment​ to​ excellence.​ Today,​ ABA​ Bank​ serves​ over​ 4​ million​ customers,​ 3.8​ million​ of​ whom​ are​ the​ ABA​ Mobile​ app​ users.​

This​ rapid​ expansion​ underscores​ the​ trust​ and​ confidence​ that​ Cambodian​ customers​ place​ in​ the​ bank.​ ABA​ extends​ its​ deepest​ appreciation​ to​ its​ customers​ for​ their​ loyalty​ and​ commitment,​ which​ has​ been​ pivotal​ in​ cementing​ its​ position​ as​ the​ leading​ digital​ bank​ in​ the​ country.

Expanding​ Market​ Footprint

With​ the​ additional​ capital,​ ABA​ Bank​ is​ ready​ to​ further​ consolidate​ its​ leadership​ in​ Cambodia’s​ competitive​ banking​ sector.​ The​ Bank​ continues​ to​ differentiate​ itself​ with​ competitive​ innovative​ financial​ products​ and​ a​ deep​ commitment​ to​ digital​ innovation.​

As​ ABA​ Bank​ continues​ to​ expand​ its​ footprint​ and​ capabilities,​ it​ remains​ dedicated​ to​ its​ mission​ of​ enhancing​ the​ financial​ well-being​ of​ its​ customers​ and​ contributing​ to​ the​ nation’s​ overall​ prosperity.

ABA​ Bank’s​ growth​ aligns​ with​ the​ Cambodian​ Government’s​ Pentagonal​ Strategy,​ supporting​ the​ country’s​ aspirations​ for​ sustainable​ and​ inclusive​ development.​ The​ Bank​ looks​ forward​ to​ serving​ even​ more​ Cambodians,​ reinforcing​ its​ role​ as​ the​ most​ trusted​ and​ secure​ banking​ institution​ in​ the​ Kingdom.

All​ in​ all,​ as​ ABA​ Bank​ continues​ to​ innovate​ and​ grow,​ it​ remains​ dedicated​ to​ supporting​ Cambodia’s​ economic​ development,​ ensuring​ that​ it​ remains​ at​ the​ forefront​ of​ the​ country’s​ financial​ services​ sector,​ delivering​ value​ to​ its​ shareholders,​ customers,​ and​ the​ community.

The post ABA​ Bank​ secures​ $220​ million​ in​ capital​ injection,​ commits​ to​ country’s​ economy first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The country has two institutions responsible for collecting taxes, namely the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country, and the General Department of Taxation (GDT), which focuses on interior taxes such as income tax, salary tax, value added tax, and property tax. Both are under the Ministry of Economy and Finance.

The ministry said in the report that GDT made US$1,710 million as tax income, or 48 percent of the yearly target, while GDCE earned US$1,199 million, or 44 percent of the set target.

“Tax and customs revenue collection throughout 2024 could reach more than US$5 billion, or 85.5 percent of the 2024 financial plan because the income tax collected in the first half of 2024 did not meet the target,” the ministry explained.

The target set for tax and customs income in 2024 is more than US$6.2 billion.

In 2023, GDT collected US$3,600 million in tax revenue, representing 101.13 percent of the 2023 plan, whereas GDCE made about US$2,288 million, or 82.4 percent of the plan.

The post Cambodia Collects US$2.9 Billion in Tax Revenue in First Half of 2024 first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The figures were released here on July 24 in a meeting chaired by H.E. Aun Pornmoniroth, Deputy Prime Minister and Minister of Economy and Finance.

H.E. Aun Pornmoniroth highly value the achievement of the GDT. “The tax income collection has been made with good performance in the first six months of this year despite difficulties due to risks, uncertainty of the global economy and politics,” he said.

The country has two institutions responsible for collecting taxes. One is the General Department of Taxation (GDT), which focuses on interior taxes such as income tax, salary tax, value added tax, and property tax, and the other is the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country.

The post Cambodia Collects US$1.9 Billion Tax Income in First Half of This Year first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The Kingdom currently implements DTAs with Singapore, China, Thailand, Brunei, Vietnam, Indonesia, China’s Hong Kong Special Administrative Region, Malaysia, and South Korea, while DTAs with China’s Macau Special Administrative Region and Turkey are in the process of ratification.

DTAs give confidence and certainty to foreign investors through many benefits, the GDT said in a statement issued recently.

“DTAs not only avoid double taxation, but also play an important role in attracting foreign direct investment and increasing international competitiveness,” it said.

DTAs also prevent or eliminate tax discrimination between local and foreign companies, providing mechanisms for resolving tax disputes, as well as mechanisms for exchanging information between state parties on tax evasion.

The country has two institutions, under the Ministry of Economy and Finance, responsible for collecting taxes. One is the GDT, which focuses on interior taxes such as income tax, salary tax, value-added tax and property tax.

The other is the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country.

The post Cambodia is negotiating DTA establishment with seven countries first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

As of March 2024, the project has achieved 32% overall physical progress. Bridge construction itself is already at 45.5%, exceeding expectations. This positive development comes after a recent inspection by Cambodia’s Minister of Public Works and Transport, HE Minister Peng Ponea, along with other officials.

While the project was initially planned for completion in September 2026, construction companies involved in the project, including Shanghai Construction Company (SCG), reported progress exceeding expectations, indicating an earlier completion date.

The bridge project is a collaborative effort between the Cambodian and Chinese governments, funded by a US$114 million concessional loan from China. The loan covers construction costs, with Cambodia contributing to demining efforts and other project-related taxes.

Minister Peng Ponea urged all stakeholders to prioritize construction safety and maintain high technical standards to ensure the bridge’s longevity.

The post Kratie Mekong River bridge construction ahead of schedule first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

Secretary of State Lim Sidenin, Project Director, led the inspection team. They found that construction on the bridge itself is 45% complete, with a target finish date of September 2026. Meanwhile, construction of the connecting roads has reached 15% completion. Overall, the entire project boasts a 30% physical progress rate, exceeding expectations.

During the inspection, Secretary of State Sidenin emphasized the importance of safety and efficiency in construction. He urged construction companies to refine their methods, prioritize worker safety, and install proper night lighting at bridge pillars.

Additionally, he called for increased machinery deployment and strict adherence to the work schedule to capitalize on the current dry season, which offers ideal conditions for road foundation construction. Rigorous testing at every stage of construction was also stressed to ensure the project meets all established standards.

Funded by a US$114 million concessional loan from China, the project is a collaborative effort between the Cambodian government and the Chinese government. The loan covers construction costs, while Cambodia contributes to demining efforts and other project-related taxes.

Shanghai Construction Company (SCG) is responsible for building the bridge, with technical supervision provided by Guangzhou Wanan Technical Consulting Company. The project is expected to be completed in 2026, as originally planned, with a total construction period of 42 months.

This significant investment in Kratie’s infrastructure is expected to boost transportation, trade, and economic activity in the region upon completion.

The post US$114 million investment in Kratie bridge project shows strong progress first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

“The tax income in January this year accounts for 7.17 percent of the yearly target,” said a report issued on Monday.

In January, it pointed out, that the GDT earned value-added tax (VAT) of US$8.67 million on e-commerce transactions from non-resident taxpayers of enterprises, suppliers of goods, and electronic services from abroad.

The government started implementing e-commerce VAT in April 2022 and taxed companies including Google, Facebook, YouTube, Alibaba, Microsoft, and TikTok.

The country has two institutions responsible for collecting taxes. One is the General Department of Taxation (GDT), which focuses on interior taxes such as income tax, salary tax, value-added tax, and property tax, and the other is the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country.

Last year, the GDT earned US$3.61 billion, a 4.5 percent increase from US$3.45 billion in 2022.

The post GDT collects nearly $300 million as tax income in January first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The country has two institutions responsible for collecting taxes. One is the General Department of Taxation (GDT), which focuses on interior taxes such as income tax, salary tax, value-added tax, and property tax, and the other is the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country.

In 2023, the GDT earned US$3.61 billion, up 4.5 percent from US$3.45 billion a year before, read the report.

On the other hand, the GDCE collected US$2.28 billion in 2023, a decline of 15.7 percent from US$2.67 billion in 2022, the source pointed out.

H.E. Dr. Aun Pornmoniroth, Deputy Prime Minister and Minister of Economy and Finance lauded the tax officials’ efforts in collecting taxes.

“The revenues were achieved in a situation where the surrounding environment was facing challenges, including the slow recovery of the superpowers’ economy, the continued prolongation of wars, geopolitical tensions, that have disrupted the transport sector and the supply chain, as well as demand for consumption,” he said at the GDCE’s annual meeting organized here last Friday.

The post Cambodia collects $5.9 billion as tax income in 2023 first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The figures were shared at an annual meeting held here on Jan. 23 under the chairmanship of H.E. Aun Pornmoniroth, Deputy Prime Minister and Minister of Economy and Finance.

The 2023 tax income reached 101.13 percent of the target and saw an increase of 4.49 percent compared to 2022, read the report.

The remarkable tax revenue has provided an opportunity for the Cambodian government to invest in building roads and other key infrastructure development, the source underlined.
H.E. Aun Pornmoniroth spoke highly of the GDT’s efforts in collecting tax income to exceed the plan, adding that tax income vitally contributes to continuing national development.

“The tax income collection has achieved good performance, exceeding the target in a time of difficulties due to risks, uncertainty of the global economy and politics,” he said.

Cambodia has two institutions for collecting taxes. One is the General Department of Taxation, which focuses on interior taxes such as income tax, salary tax, value-added tax, and property tax, and the other is the General Department of Customs and Excise, which collects taxes on goods entering and leaving the country.

The post GDT earns $3.6 billion income tax last year first appeared on Estatedia | Economy & Real Estate Media in Cambodia.

The figure was released on Nov. 15 in a monthly meeting chaired by H.E. Kong Vibol, Minister Attached to the Prime Minister and GDT’s Director General.

“The tax income collection in the ten-month period equals 85.8 percent of the yearly budget plan,” H.E Kong Vibol said.

In October alone, GDT generated some $260 million from tax collection, he added, lauding the joint efforts of officials in collecting tax income efficiently.

Modernization has resulted in better rates of registration, improvement in taxpayer services, and filing of tax returns in addition to the expansion of data storing facilities among other things, he said.

The country has two institutions responsible for collecting taxes. One is the General Department of Taxation (GDT), which focuses on interior taxes such as income tax, salary tax, value-added tax, and property tax, and the other is the General Department of Customs and Excise (GDCE), which collects taxes on goods entering and leaving the country.

The post Cambodia collects $3 billion as tax income in ten months first appeared on Estatedia | Economy & Real Estate Media in Cambodia.