Downtrend continues: Canadia cuts interest rates

In recent months, we have seen a downward trend in fixed deposit rates at Cambodian microfinance institutions and banks. And the trend continues. This time it’s Canadia Bank that’s cutting its rates. But it’s a bit of a mixed bag.

Fixed deposits with monthly payouts

While rates for (very) short-term deposits of 3, 6 and 9 months remained unchanged, rates for longer-term deposits in US dollars were cut by 0.25 to 0.50 percentage points, and deposits in Khmer riel by 0.10 to 0.25 percentage points. Canadia Bank made the largest cuts for deposits with a maturity of 5 years.

Fixed deposits with payout at maturity

A similar pattern can be seen in the interest rates on deposits redeemable at maturity. Very short maturities remained unchanged. For maturities of 1 to 4 years in US dollars, rates were reduced by 0.25 percentage points. The longest term of 5 years fell from 6.75% to 6.25%, a reduction of 0.50 percentage points. Canadia Bank reduced fixed deposits in Khmer riel by 0.20 to 0.40 percentage points.

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