Those who have problems with illegal loan sharks, especially online loans operated by foreigners, may have the right to default, and Cambodian authorities will step up to protect citizens. However, citizens should not be confused with those who owe official loans, which are still the same because they are mandatory.
After the online loan problem increased day by day and more and more people were affected, Deputy Prime Minister and Minister of the Interior Sar Sokha publicly announced that citizens do not have to repay them because this is an illegal activity.
The Deputy Prime Minister said at the closing of the Ministry of the Interior conference that if the lenders are illegal groups, such as foreigners who provide loans online, then do not repay them at all. If they find anything, please report it to the authorities.
At the same time, he also emphasized that Citizens should also clearly distinguish between loans with microfinance institutions or lending organizations that operate in accordance with the law and private loans and individuals, as opposed to illegal loans, must be obligated to repay according to the law and agreement.
Regarding this case, Mr. Touch Sokak, Deputy Spokesperson of the Ministry of Interior, also stated further clarification on the issue: “The Deputy Prime Minister and Minister of Interior have instructed and set forth the principles to the Land Administration and authorities under the ministry that citizens do not have to repay illegal online loans. .
He continued that in the case that the group goes down and carries out threatening and bullying activities in any form, please be brave enough to file a complaint with the authorities because the authorities are ready to help all citizens.
He continued to state that “this is the spirit of concern of the leadership and the principle for the authorities to take legal action against the group that provides illegal online loans.” He continued, “This is a message from the leadership of the Ministry of Interior to local authorities to help intervene with citizens in a timely manner in cases where illegal loan sharks harass and pressure citizens.”
Mr. Touch Sokak said that the Deputy Prime Minister has requested that this case be widely publicized to the public.
Regarding this information, Mr. Khuen Saret, an Indian tricycle rider, shared that he has not received this information yet, but if the authorities can help the public on this matter, it would be great.
He continued that if the authorities can really help the public on this matter, it would be great because he heard that These online lenders are very powerful, and so far, many people have fled the country and lost their property. A citizen who asked not to be named said that if the Ministry of Interior did what the Deputy Prime Minister said, many people would be happy. He stated that “the Minister of Interior has scratched the itch, but the important thing is whether the authorities at the lower levels will follow this statement or not.”
So far, the impact of online loans in Cambodia has been significant, but statistics on the impact of online loans in Cambodia do not seem to have been released by any institution yet. What has been published so far is mostly just concerns and actions on the paper of the National Bank of Cambodia.
To date, Cambodia has 59 commercial banks, 9 specialized banks, 87 microfinance institutions, and 115 rural credit institutions, with about 21 million deposit accounts and 4 million credit accounts (repayment accounts).
The National Bank of Cambodia previously reported that as of October 2024, loans owed by citizens to banking institutions and financial institutions are worth nearly $61 billion, but the National Bank of Cambodia did not specify how much it is.
