ABA Bank’s US dollar fixed deposit rates were already the lowest in the market, but apparently ABA did not think they were low enough. It seems ABA has sufficient capital and is not actively seeking additional deposits. That’s probably why fixed deposits with terms of 1, 2 and 3 years have again been cut, this time by 0.25 percentage points. This applies to deposits with monthly payments as well as deposits with payments at maturity.
- A 1-year fixed deposit in USD with a monthly payout now ‘earns’ 4.25%, almost a full percentage point less than ACLEDA offers and 3.50 percentage points less than Korean owned banks Woori and KB Prasac.
- With ABA, you get the same rate for a 2-year term with monthly payouts, and that’s 3.75% less than what Woori Bank pays on your fixed deposit.
- ABA doesn’t believe in higher rates for longer terms, because for a 3 year deposit in USD you get the same lousy 4.25% and that’s almost half of Woori’s rate (8.25%)!
Interestingly, ABA used to have slightly higher rates for longer maturities. Until December 2023, when all rates for 1, 2 and 3 year fixed deposits were cut and made equal. In the last 4 months, ABA has cut its 1, 2 and 3 year rates for USD deposits by 1.00, 1.25 and 1.50(!) percentage points respectively.
This time, the rates for Khmer Riel deposits have remained the same, but mind you, these were and still are also the lowest rates in the market.
We are considering leaving this bank out of our comparisons, because who in their right mind would want to deposit money in ABA Bank? We know that ABA is the most popular bank among Khmer and expats for day-to-day spending and receiving salaries, but without a doubt ABA is the worst bank for saving money in Cambodia. It’s very obvious if you have a look at our Line Graph Comparison (best viewed on a desktop, laptop or tablet).
