Project overview
Agricultural Value Chain Competitiveness and Safety Enhancement Project (ACSEP) is funded from the Asian Development Bank (ADB), ASEAN Infrastructure Fund (AIF), Agence Française de Développement (AFD), Japan Fund for Poverty Reduction (JFPR), and the Royal Government of Cambodia (RGC).
The total fund is amounted to 110.06 million USD in the entire project, of which 51 million USD is allocated to credit line to beneficiaries via loan disbursements from the Agricultural and Rural Development Bank and Sathapana Bank.
The project is expected to have the following impacts: (i) inclusive and sustainable development in agriculture sector achieved and (ii) private sector developed by promoting SMEs and entrepreneurship.
ARDB and Sathapana Bank are selected to provide direct lending to Agro-Enterprises (AEs), Agricultural Cooperatives (ACs) and Famers. The target commodity includes cassava, mangoes, cashew nuts, vegetables, and chicken.
The project has been implemented over a period of 9 years (2021-2029) and it covers 11 provinces such as Kampong Cham, Kampong Thom, Oddar Meanchey, Preah Vihear, Siem Reap, Tboung Khmum, Kampong Speu, Kandal, Kratie, Stung Treng, and Takeo.
ARDB ROLE IN PROJECT
| ARDB is selected as a Participating Financial Institution to provide loan to beneficiaries in Projects | |
|---|---|
| Fund | USD 51 million |
| Beneficiaries | Farmers, Agricultural Cooperatives and Agro-Enterprises |
| Target province
|
Kampong Cham, Kampong Thom, Oddar Meanchey, Preah Vihear, Kandal, Siem Reap, Tboung Khmum, Kampong Speu, Kratie, Stung Treng, and Takeo |
| Commodities | Cassava, Mangoes, Cashew nuts, Vegetables, and Chicken |
ELIGIBILITY CRITERIA
- Legal Personality
- Business Experienced
- Good credit history
- Repayment capacity, and
- Securing by collaterals
DOCUMENTATION REQUIREMENTS
- Farmers
- Agricultural Cooperative
- Agro-Enterprise
- Business license/permits
- Financial statements/business plans
- Land title certificate of collateral
- Khmer ID and family book or residence book
- Other required documents, as necessary.
- Certificate of registration of agricultural cooperative and articles of corporation
- List of members
- Financial statements/business plans
- Land title certificate of collateral
- Minute meeting of the decision to apply for a loan and loan application representative
- Khmer ID and family book or residence book
- Other required documents, as necessary
- Business license or certificate of registration
- Articles of incorporation
- Minute meeting of the decision to apply for a loan and loan application representative
- Financial statements/business plans
- Land title certificate of collateral
- Khmer ID and family book or residence book
- Other required documents, as necessary
LOAN PRODUCTS
| Description | Working Capital | Investment Capital |
|---|---|---|
| Loan Size | From USD 500 to USD 300,000 or equivalent in Riel | From USD 500 to USD 1,500,000 or equivalent in Riel |
| Term Loan | Up to 6 months | Up to 7 years |
| Interest rate | 7% per Annum | 7% per Annum |
PAYMENT METHOD
- The principal repayment is based on cash flow (monthly, quarterly, semesterly, or at the maturity date)
- Interest Payment (monthly)
