PROJECT OVERVIEW

Cambodia Agricultural Sector Diversification Project (CASDP) is funded by the World Bank (WB) and the Royal Government of Cambodia (RGC). The project has a total funding of USD 101.67 million, of which USD 91.67 million is provided by the World Bank, and USD 10 million is contributed by the government.

The objective of the project is to facilitate the development of diversified agricultural value chains in selected geographical areas of Cambodia and to provide an immediate and effective response in the event of an eligible crisis or emergency.

ARDB has been selected to serve as the Treasury Bank, responsible for providing wholesale loans to Participating Financial Institutions (PFIs), namely Cambodia Post Bank Plc, AMK Microfinance Institution Plc., and Chamroeun Microfinance Institution Plc. These PFIs provide direct lending to beneficiaries, including farmers, Producer Organizations (POs), Agricultural Cooperatives (ACs), and Small and Medium Agribusinesses (SMAs).

The credit line, approximately USD 30 million, is allocated into two windows:

  • General Window: Tentatively USD 20 million is provided to farmers, POs, ACs, SMAs, and other actors supporting a diversified and competitive agriculture sector, excluding rice.
  • Diversification Window: Approximately USD 10 million is provided to ACs and their members, who are eligible for a matching grant of 40% of the total investment.

The project is being implemented over a period of seven years (2019–2026) and operates in 14 provinces, as well as in Phnom Penh. The provinces include: Battambang, Mondulkiri, Stung Treng, Ratanakiri, Preah Vihear, Siem Reap, Kandal, Kampong Speu, Kampong Chhnang, Pursat, Banteay Meanchey, Oddar Meanchey, Kampong Thom, and Takeo.

ARDB ROLE IN PROJECT

ARDB is selected as Treasury Bank, which has the responsibility of providing wholesale loans to three Participating Financial Institutions (PFIs)
Fund   USD 30 million
Commodities Supporting a diversified and competitive agriculture sector, except rice
Wholesale to Participants Financial Institutions (PFIs)
  • Cambodia Post Bank Plc.,
  • AMK Microfinance Institution Plc., and
  • Chamroeun Microfinance Institution Plc.
Beneficiaries Farmers, Producer Organizations (POs), Agricultural Cooperative (ACs), and Small and Medium Agribusinesses (SMAs)
Target province Battambang, Mondulkiri, Stung Treng, Ratanakiri, Preah Vihear, Siem Reap, Phnom Penh, Kandal, Kampong Speu, Kampong Chhnang, Pursat, Takeo, Banteay Meanchey, Oddar Meanchey, Kampong Thom