Consumer loan demand rebounds 38% in third quarter, CBC says
There has been a surge in demand for consumer credit, according to the Credit Bureau Cambodia (CBC), with a 38% increase in applications for mortgages, credit cards and personal finance in the third quarter of the year. ‘year.
Home loan applications increased 39%, with a 38% increase in personal financing and credit card applications from the previous quarter.
“The consumer credit market during this quarter saw a significant improvement, showing relatively higher demand, following the slowdown in the previous quarter,” said CBC Managing Director Oeur Sothearoath.
Consumer credit applications fell 34% in the second quarter of the year, with coronavirus lockdowns limiting travel and spending for much of the period.
The value of claims rose 45% in the July-September quarter, after falling 38% in the previous three months.
The number of personal loan accounts increased 1.65%, bringing the total to 1.32 million accounts. Eight in ten accounts were for personal financial loans, with mortgage accounts accounting for just over one in ten and credit accounts a little less. The majority of clients only had one account with a single financial institution.
Loan quality improved slightly, with only 2.56% of the total over 30 days overdue (30+ DPD), compared to 2.57% in the second quarter. This is mainly due to a sharp drop in delinquent loans in the region covering the provinces of Kampot, Kep, Preah Sihanouk and Koh Kong, although they have increased in other parts of the country. Late payments by credit card were the main contributor to 30+ DPD at 5.17 percent of the total.
CBC provides credit information and analysis to banks, microfinance institutions and other lenders in Cambodia, enabling them to manage credit risk. It was launched in 2021 with the support of the National Bank of Cambodia, the Association of Banks of Cambodia, the Cambodian Microfinance Association and the International Finance Corporation.