By the end of 2024, 5.04 million Cambodian citizens—equivalent to 51% of the over-18 population—had taken out loans, with total credit reaching almost $59 billion, according to the Credit Situation Report by Credit Bureau Cambodia (CBC). This marks a slight increase from 2023, when just under five million people were in debt and total credit stood at nearly $58 billion. Phnom Penh, Kandal, and Siem Reap accounted for approximately 60% of the total credit balance, with Phnom Penh alone representing 50%.

The report also highlighted an increase in overdue loans, with 6% of debts more than 90 days in arrears, up from 4.5% in 2023. Economic analysts pointed out that Cambodia’s credit landscape differs from neighboring countries such as Thailand and Vietnam, where businesses often raise capital through corporate borrowing or stock sales instead of individual loans. Experts suggest that Cambodia’s high borrowing rate is driven by individuals financing informal businesses rather than larger enterprises securing structured financing.

Financial experts emphasize that Cambodia’s loan culture reflects the country’s economic structure, where personal credit plays a significant role in business growth. Compared to economies like Singapore, where companies raise funds by selling shares, Cambodia’s reliance on direct borrowing results in a higher volume of individual debt. Despite concerns over rising arrears, lending continues to be a key driver of entrepreneurship and economic activity in the country.