Cambodia’s two largest banks, ABA and ACLEDA, have reduced interest rates on fixed deposits.
ABA has cut its KHR monthly deposit rates by 0.75 percentage points. For USD accounts, the cuts range from 0.50 to 1.00 percentage points. Fixed deposits paid at maturity have been cut more drastically: 1.25 percentage points for KHR deposits, and again from 0.50 to 1.00 percentage points for USD accounts. At the same time, ABA has stopped paying higher interest rates on fixed deposits with longer maturities. The interest rates for deposits of 1 to 5 years are now all the same. Of course, there are still differences between deposits in KHR or USD and whether you opt for monthly or maturity withdrawals, but it doesn’t make any difference whether you deposit your money at ABA Bank for 1 or 5 years. However, KB Prasac has had the same policy for many years.
ACLEDA has slightly lowered its interest rates on KHR deposits (and very short term USD deposits). However, the longer your KHR deposit term with monthly payout, the higher the cut. 3, 4 and 5 year terms were reduced by 0.25, 0.40 and 0.45 percentage points respectively.
Amret has also lowered its rates. Most payouts on fixed deposits are now 0.80 percentage points lower. This is in addition to Amret’s recent cuts. No other Cambodian microfinance institution or bank has made dramatic changes like Amret. Some of their interest rates are now 2.20% lower than they were less than 3 months ago! Check out our comparison chart to see how Amret is falling.
Amk, Canadia, Hattha, KB Prasac, Wing and Woori have left their rates unchanged since our last check, while LOLC has only slightly lowered its rates for 1-3 year deposits by 0.15 percentage points.