Hattha Kaksekar Limited (HKL)

HKL is the third largest Microfinance Institution (MFI) in Cambodia and is in the process of converting into a bank. Its product offering includes micro and SME (MSME) loans, personal and mortgage loans, as well as current and savings accounts. Eighty-two per cent of its clients live in the rural regions of Cambodia, and 66 per cent are women. Nearly two-thirds (64 per cent) of the loan portfolio is directed towards MSMEs, and the small loan sizes facilitate access to finance among the low-income population. HKL has endorsed the Client Protection Principles and achieved certification in 2016. It has implemented a dedicated financial education program for its credit officers to enable them to provide basic financial literacy training to HKL’s clients. Credit officers also raise their clients awareness on environmental and social issues relevant for their businesses.

MSMEs count for 99.8 per cent of all enterprises and of about 72 per cent of the total labour force in Cambodia. Access to finance is growing in Cambodia, but is still limited, with an estimated 20 per cent of the population having a formal bank account.  SIFEM’s loan of USD 15 million to HKL supports access to credit for MSMEs, and contributes to job support, financial inclusion and the overall growth of the Cambodian economy.