Phnom Penh: In a significant move to foster a more vibrant digital business ecosystem in Cambodia, the Ministry of Economy and Finance (MEF) has partnered with key SME associations to boost the adoption of digitalisation practices among businesses across the country.
According to Agence Kampuchea Presse, a Memorandum of Understanding (MoU) was officially signed on Mar. 26, at the Ministry of Economy and Finance by H.E. Kong Marry, Secretary of State, Ministry of Economy and Finance and Secretary General, General Secretariat of the Digital Economy and Business Committee, and representatives of three local SME associations. These include the Federation of Associations for Small and Medium Enterprises of Cambodia, the Young Entrepreneurs Association of Cambodia, and the Cambodian Women Entrepreneurs Association (CWEA). The ceremony was attended by key figures from both the government and the business sector.
The MoU was designed with the aim of promoting cooperation between the government and the private sector to expand the dissemination of new technological knowledge and skills to businessmen, business owners, and enterprises in Cambodia. This initiative aims to build a more vibrant digital business ecosystem in the country. The signing of the MoU on 'Promoting Digitalisation of Businesses in Cambodia' marks a crucial step in the Kingdom's ongoing efforts to embrace the digital era, said H.E. Kong Marry.
He explained that through this collaboration, the Secretariat General of the CEC will work with the three associations to bring together numerous initiatives and programs aimed at supporting the digitalisation of businesses. Additionally, he highlighted the rapid development of digital technology and business in Cambodia and encouraged enterprises of all levels and sectors, as well as entrepreneurs, to leverage digital technology to ensure business sustainability, increase productivity, economic efficiency, and enhance Cambodia's competitiveness regionally and globally.
Signing of this MoU will contribute to collaboration, particularly in supporting enterprises, business owners, and new businesses to grow and be more competitive, as stated by FASMEC President, Oknha Te Taing Por. He noted that the memorandum of understanding will facilitate close cooperation in promoting the digital economy, especially within the small and medium enterprise sector in Cambodia.
A recent report from the Ministry of Industry, Science, Technology, and Innovation showed that there were approximately 750,000 businesses in Cambodia as of 2024. Of these, 97 percent were micro, small, and medium-sized enterprises (MSMEs), 2 percent were SMEs, and about 0.2 percent were large businesses. The ministry has encouraged MSMEs to formally register with relevant authorities to access the government's support program.
To further support MSMEs financially, the government has established SME Bank as a commercial bank. Its strategic intent and direction are aligned with the policies set by the government, ensuring a sustainable banking system for all SMEs.