Microfinance in Cambodia - A wide array of products awaits

Microfinance has become an extremely popular term in Cambodia society and is expanding at a noticeable rate with 18 licensed microfinance institutions operating in Cambodia. If you are Cambodian or residing in Cambodia, you must know some of the famous MFIs such as Prasac, VisionFund, Amret and so on. While most commercial banks target urban population due to the huge number of possible loan portfolio and neglect the poor and often hard-to-reach customer, MFIs see the emerging gap and grasp this opportunity. They are working to provide small loans to rural people so as to provide financial capital to the poor to start up any businesses of their dream and the loaners are liable to repay the loan along with interest. Although it seems MFIs mainly focus on making profit from the poor, they are actually supporting the poor to have their own businesses which is not viable without the loan.