DPA
Phnom Penh - The International Monetary Fund said Cambodia must undertake "critical actions" to strengthen its battered banking system, including better supervision by the central bank and faster implementation of measures to boost banks' minimum capital requirements. In a report released late Tuesday following a September visit by an IMF team, the fund's directors said problems inherent in Cambodia's banking sector had been exacerbated by the global economic crisis which had hit the overinflated property market.
Among those problems were inadequate supervision by the authorities, weak risk management by banks when assessing creditworthiness, and excessive credit growth.
The IMF said in its accompanying staff report that "the authorities should strictly enforce corrective actions plans and urge banks to bring forward compliance with new minimum capital requirements ahead of the end-2010 deadline."
No comments:
Post a Comment