Cambodia’s largest bank, ACLEDA, has a history as unconventional as its rise to prominence. Established in 1993 as a non-governmental organization (NGO) focused on economic development, the bank has transformed into a financial powerhouse, now ranked among Southeast Asia’s largest companies.
From its modest origins as the “Association of Cambodian Local Economic Development Agencies,” ACLEDA has evolved into Cambodia’s largest commercial bank, boasting a network of 260 branches across the country and a growing regional presence in Laos and Myanmar. It stands as one of just two Cambodian firms featured in Fortune’s Southeast Asia 500 list, underscoring its economic significance.
A Foundation Built on Trust
In the early years, trust was a major hurdle for ACLEDA. In Channy, who has served as the bank’s president since its inception, recalls how skeptical customers would visit the bank daily just to ensure their money was safe—even for deposits as small as $20.
“I asked them, ‘Why do you come to the office every morning?’” Channy told Fortune. “They said, ‘Your office is smaller than my home. I want to make sure you exist!’”
That initial lack of confidence, however, gradually gave way to widespread trust, thanks in part to a key decision in 2007—investing in a state-of-the-art headquarters in Phnom Penh. Channy credits that move for ACLEDA’s “exponential” growth in deposits and loans, cementing its role as the financial backbone of Cambodia’s expanding economy.
A Driving Force in Microfinance
As Cambodia’s largest provider of microfinance, ACLEDA has played a pivotal role in empowering small businesses and individuals who might otherwise lack access to traditional banking services. With a significant portion of Cambodia’s population still unbanked—the World Bank estimated in 2021 that only a third of Cambodians had a formal bank account—ACLEDA has worked to bridge that gap.
Despite criticism from some activists who argue that microfinance has exacerbated debt burdens among lower-income populations, Channy dismisses such concerns as politically motivated. He points to the bank’s B+ credit rating from S&P as a testament to its responsible lending practices.
“We cannot grow without our customers,” Channy said. “We sell to them now, we want to sell to them again, and we want to sell to them in the future.”
ACLEDA’s Rise Among Southeast Asia’s Largest Companies
ACLEDA is ranked 315th on the Fortune Southeast Asia 500, a list that includes both public and private companies by revenue. The only other Cambodian firm on the list is NagaCorp, a hospitality and gaming giant, which sits at 449th place.
Channy, 64, has been at the helm of ACLEDA since its transition into a commercial entity. After reaching financial sustainability as an NGO in 1998, ACLEDA sought investment from global financial institutions, including the International Finance Corporation and European development banks. That backing enabled its transformation into a commercial institution in 2000 and a fully licensed bank by 2003.
Today, ACLEDA holds $10.4 billion in total assets—a fraction of Southeast Asia’s banking giants, but a remarkable feat for a homegrown Cambodian institution.
Cambodia’s Economic Prospects: A Hub for Investment
Cambodia’s economy continues to gain momentum, with the Asian Development Bank projecting 6% growth in 2025. The resurgence of the manufacturing sector—particularly in garments, footwear, and travel goods—alongside a strong agricultural and tourism industry, is expected to drive expansion.
The country has also benefited from shifting global supply chains, emerging as a key player in textiles, solar-panel manufacturing, and even semiconductors for export to the U.S. However, recent tariffs imposed by Washington on Southeast Asian-made solar panels present new challenges for Cambodia’s growing manufacturing sector.
Despite these hurdles, Channy remains optimistic. He envisions Cambodia achieving middle-income status by 2030 and reaching high-income classification within two decades.
“Cambodia offers a rich culture and open arms to investors,” he said, citing the country’s investment-friendly laws, full foreign ownership allowances, and strategic geographic links to Vietnam, Laos, and Thailand.
Another advantage he highlights is Cambodia’s dollarized economy, which allows U.S. dollars to circulate alongside the local riel. “You don’t need to worry about foreign exchange,” he quipped.
As ACLEDA continues its expansion and Cambodia pushes for greater economic growth, the bank stands as a testament to the nation’s resilience and potential. What started as a small NGO three decades ago is now a financial leader, driving Cambodia’s economic transformation into a regional success story.
