CAMBODIA -
The "Cambodian Building Trust Program," with sponsorship from WOCCU Supporters and Credit Union Foundation Australia (CUFA) contributors, is aimed at filling a void created when the Cambodian financial system was completely wiped out during the era of the killing fields, WOCCU reported. "Recent bank failures ruined people's trust in the financial sector again and limited the amount they were willing to deposit," WOCCU said.
"The excitement of the seven new credit union buildings, combined with savings promotions as basic as offering free t-shirts, have already paid big dividends in credit union asset growth," commented CUFA Executive Officer Peter Mason. Mason noted that the local committees that oversee the building design and construction are often able to leverage existing land or receive land gifts from the district government.
Credit union staff reported that loan interest rates decreased from 10% to 3% per month after credit unions were established in their areas. "CUFA officials were so encouraged by the results of the initial resource investment, they expanded the project to include a training center to serve credit unions," WOCCU said.
The Canadian Cooperative Association (CCA) also works to strengthen credit unions in Cambodia and is contributing to the training center. A committee of U.S. credit union leaders assisted with WOCCU's development efforts in Cambodia, including: Sue Albrecht of CUNA Mutual Group, Jim Updike of Honda FCU (FCU), Fred Johnson of CUES, Gordon Dames of Mountain America CU, Joe Guilfoy of the Indiana Credit Union Foundation, Bill Raker of U.S. FCU, Gary Wolter, of the Alabama league, and Gary Clifford of Shell New Orleans FCU.
