Thailand
Cambodia: Consumer credit applications up 5 percent in third quarter
The personal loan market improved significantly in the third quarter of 2022, according to the Consumer Credit Index of the Credit Bureau Cambodia (CBC).
In the third quarter, the number of consumer credit applications increased marginally from the second quarter, according to the latest report.
The number of consumer credit applications, which shows that consumers plan to take credit in the form of personal finance, credit card, or mortgage, increased by over 5 percent during the period.
The consumer credit performance which indicates the volume of consumer loans in a quarter and reflects an active credit market, also saw an improvement as loan accounts increased by 3.80 percent.
The consumer credit quality, as measured by a 30+ DPD ratio, which shows creditworthiness and risk of default, increased slightly as the rate rose across the region. The loan quality has increased by 2.6 percent, indicating a marginal drop in credit quality.
The number of loan accounts saw an increase of 5.81 percent, taking the total to around 1.49 million accounts, according to the report.
The outstanding balance grew by 5.81 percent to reach $13.79 billion by the end of the third quarter, the report said.
The majority of credit customers remained committed to a single financial institution and held only a single account.
In a presentation on the financial sector’s performance, Oeur Sothearoath, Chief Executive Officer of the CBC, said the sector continued to recover after the two-year Covit-19 crisis.
Meanwhile, the CBC has collaborated with banking industries to adopt frameworks and guidelines to monitor the sector’s performance.
The number of applications for personal finance increased by 5 percent with the rise being 8 percent in the plain regions, the report said.
Source: https://www.khmertimeskh.com/501178749/consumer-credit-applications-up-5-percent-in-third-quarter/