The government called for lowering the MFI loans

Currently, some people borrow money to microfinance institutions to develop their own business. Loans, along with the silver rose steadily until you owe money can not be repaid and creditors seized home ground or filed to borrow money. Some residents have called on the government to help them by lowering the interest owed.

Cambodian Microfinance Association president and CEO Sathapana said on Feb. 11 in the direction to attract customers MFI always discounted loans constant from year to year.

Bun Mony, president of the Cambodian Microfinance Association occur after the call of Prime Minister Hun Sen on February 10, MFI lowering borrowing costs low to help alleviate the debt burden of the people.

Degree college students at Diamond Island, Hun Sen said that microfinance institutions not the state is private so that the state can not do anything for people's homes and land confiscated owed microfinance institutions. But he asked various microfinance institutions to think about people's ability to repay before borrowing money. He says to do so only as low as possible for use in the development of his family and his business. Do not let the place become a place microfinance his pawn.

Bun Mony, president of the Cambodian Microfinance Association, said that the past before borrowing microfinance institutions always tell people that lending unit This is a private company, not a state institution, but some people still have misunderstandings.

Cambodian Microfinance Association president said that for the collection deposit confiscated assets such as a house or land, then it's not inevitable in the payment of the debt, but that phenomenon is in a little.

Bun Mony said that in the past 9 years from 2008 to 2015, his constructive MFIs to reduce interest rates from 31% in A year down 22%. He says it is inevitable for the borrowing, which can not repay the debt, which was confiscated. The seized thing is we do not have the power to confiscate assets upheld people's property, but only the court's authority. So when there is a failure lately not pay anything, we appeal to the court.

People choke living in Battambang province, said he was pleased if MFIs to reduce lending rates further.

An official source said the Microfinance Association is currently in the country with more than 300 microfinance institutions, which acts as a people to borrow money to be used for business expansion. But among the more than 300 microfinance institutions, only 39 institutions licensed only legal act that provided by the National Bank, the authorities have competence.