Cambodians Quickly Adopting Cashless Payments
Jun 13, 2019

Cambodia is among the countries whose citizens are quickly adopting cashless payments, the newly released Visa Consumer Payment Attitudes report by credit card firm Visa released noted, Khmer Times wrote.

The report indicated that Cambodia will continue to increase digital payment transactions within the next seven years, mainly owing to the increase of mobile and fixed Internet users, a development which sparks more opportunities for financial technology innovations. Data from Cambodia’s telecommunications regulator revealed that there were 13.6 million mobile and fixed internet users in the country as of last year.

In the Visa study, most respondents said that they are more likely to make use of cashless payments in matters related to the following sectors: entertainment, travel products and trips, fitness and retail.

Analysts noted that the above mentioned sectors should try to explore cashless payment options for customers in Cambodia to further increase consumer interest in tech-powered financial transactions.

“Given the country’s strong economic growth, it stands to reason that they [the analysts] also expect to see the country’s payment systems develop rapidly,” Chum Monika, Visa country manager for Cambodia, pointed out.

To that end, Visa has partnered with around 30 financial companies and institutions to develop digital payment solutions for the local financial sector which should give the local fintech scene a boost

Earlier this month, a report on Cambodia’s fintech environment suggested that there was huge space for growth in terms of financial technology innovations in the country. Only three per cent of Cambodians are currently using credit cards and a whopping 78 per cent have no bank account at all.

So far, there are over 50 fintech startups in the country, with cashless payments and digital banking among the leading segments poised for further growth.

However, Chea Serey, director-general of the National Bank of Cambodia, noted that the country’s fintech sector has yet to evolve into one that spurs more demand for digital transactions.

Serey said that the central bank is committed to working closely with local industry players to push fintech developments and to allow the finance segment to make a bigger contribution to Cambodia’s economic growth.