Malaysia and Cambodia strengthen financial ties with a Memorandum of Understanding (MoU) between Bank Negara Malaysia (BNM) and the National Bank of Cambodia (NBC), aiming to enhance cross-border payments and financial innovation, benefitting businesses and individuals in both countries.
28 February 2024 – Bank Negara Malaysia (BNM) and the National Bank of Cambodia (NBC) have formalized their commitment to enhance financial innovation and payments through the signing of a Memorandum of Understanding (MoU). The exchange ceremony, attended by the Prime Ministers of Malaysia and Cambodia, underscores the significance of this collaboration in fostering economic ties between the two nations.
Under the MoU, BNM and NBC will collaborate closely to drive financial innovation and streamline cross-border payments, particularly through the implementation of cross-border QR payment systems. This initiative is poised to benefit up to 5 million merchants, including small businesses, facilitating smoother transactions and promoting financial inclusion.
Furthermore, the agreement aims to promote local currency settlement and establish a cooperative oversight mechanism for safer cross-border transactions. Aligned with ASEAN objectives and the G20 Roadmap, this partnership marks a significant milestone in regional payment connectivity and economic integration.
BNM Governor Abdul Rasheed Ghaffour emphasized the mutual benefits of the collaboration, stating that it will deepen cooperation between the two central banks and spur innovation for regional economic development. Similarly, NBC Governor Chea Serey highlighted the potential of the MoU to boost trade activities, financial inclusion, and the use of local currencies in line with ASEAN goals.
This partnership signifies a strategic effort to leverage technology and cooperation for the benefit of businesses and individuals in both Malaysia and Cambodia, fostering economic growth and stability in the region.
