ABA and Korea Eximbank sign agreement to boost trade finance between Cambodia and South Korea
15/Mar/2019
March 14, 2019. Phnom Penh, Cambodia – ABA Bank and Export-Import Bank of Korea (Korea Eximbank), the official export credit agency of South Korea, today signed a partnership agreement between the two banks to provide L/C (Letter of Credit) Confirmation Facility to their customers. The Signing Ceremony took place in ABA’s Head Office and was presided over by Askhat Azhikhanov, CEO of ABA Bank, and Sung-Soo Eun, Chairman & President of Korea Eximbank.
In the partnership, customers can apply for ABA’s letter of credit, which is confirmed by Korea Eximbank, to facilitate their business activities with South Korean companies. The Agreement will also help build trust and confidence between South Korean and Cambodian traders in their business cooperation. The total amount of the Agreement is 10 million USD.
Giving remarks at the ceremony, Askhat Azhikhanov said, “The collaboration between ABA Bank and Korea Eximbank provides a great facility to boost the business activities between Cambodia and South Korea. First, it makes the process for Cambodian companies to buy products from Korean companies easy and, most importantly, secure. Second, it helps us to maintain and develop relationship with Korean companies working here in Cambodia.”
Korea Eximbank is a well-recognized institution established to facilitate the development of Korea’s economy and enhance economic cooperation with foreign countries. The Bank’s primary services include export finance, trade finance, and guarantee program. The Bank also provides overseas investment credit, natural resources development credit, import credit and information services.
"Today's signing is very meaningful as it is the first credit facility signed between a Cambodian financial Institution and Korea Eximbank. This L/C Confirmation Facility Agreement represents a proactive approach to future increase in trade volume between our two countries, which will be realized as a result of economic development of Cambodia," said Sung-Soo Eun, Chairman & President of Korea Eximbank.
From now on, customers of ABA Bank can apply for letters of credit with Korea Eximbank’s confirmation conveniently at any ABA Branch which is closed to their place of business. Both financial institutions also expressed desire to expand cooperation by providing other facilities to their clients in the future.
