Farmers can seek low-interest loans to trim production costs after ARDB deal

After a subsidiary loan agreement between the state-owned Agricultural and Rural Development Bank (ARDB) and three financial institutions, agricultural communities can anticipate the reduction of production costs through low-interest loans. The agreement aims to support the agricultural sector, backbone of the Cambodian economy. Song Saran, president of the Cambodia Rice Federation, stated that the financing scheme reflected the government's dedication to offering low-interest financing to farmers and farming communities. ARDB deputy director-general Chan Seiha told reporters at the event that the World Bank has funded the Cambodia Agricultural Sector Diversification Project (CASDP) with the capital of $30 million to focus on agriculture for five years, except rice. According to Seiha, the ARDB's "wholesale" loans to the three financial institutions have a 5% annual interest rate and no service charge.

Reference: May, K. (2022, August 16). Farmers can seek low-interest loans to trim production costs after ARDB deal. The Phnom Penh Post. Retrieved from https://www.phnompenhpost.com/business/farmers-can-seek-low-interest-loans-trim-production-costs-after-ardb-deal