The training was held by PIDG Institute for various teams at the Credit Guarantee Corporation of Cambodia’s (CGCC) and marks an important step in building the firm’s internal capacity to support local currency bond guarantees. The sessions, held from 2-6 June in Phnom Penh, were delivered with support from YOG Infra – an infrastructure focused financial advisory firm based in Singapore, India and UAE.
This initiative is part of a framework agreement signed between PIDG and CGCC in January 2025 which encompasses counter- and co-guarantee support from GuarantCo as well as technical assistance grants to boost CGCC’s capacity. The framework will allow CGCC to mobilise further bank lending towards small and medium-sized enterprises (SMEs) in the country, with a focus on businesses supporting the green transition.
Local currency guarantees play a vital role in developing long-term debt instruments in Cambodia. For debt investors, credit guarantees provided by CGCC enhance confidence by assuring capital recovery, regardless of shifting regulatory conditions. These guarantees also lower perceived risks, encouraging investment into new sectors and asset classes.
For sponsors and borrowers, access to local currency financing backed by a credit guarantee helps mitigate foreign exchange mismatch risk. It also allows them to secure larger loan amounts with longer tenors, improving the sustainability of debt servicing over time.
