Cambodia: HTB Sub Debt-17
Case Tracker
Complaint Overview
Confidential
Harmful lending practices, threats and intimidation, increased debt burden, loss of assets, and potential reduction or loss of educational opportunities for children
Project Information
US$40 million
Synopsis
In 2021, IFC provided a seven-year subordinated loan of up to US$40 million to Hattha Bank Plc. (HTB), including US$10 million from IFC’s own account and up to US$30 million mobilized from other investors. The investment aimed to strengthen the Bank’s resilience during the COVID-19 pandemic and support its long-term strategy to expand lending to micro, small, and medium enterprises (MSMEs), including women-owned MSMEs. The financing sought to promote economic activity, job creation, and post-crisis recovery in Cambodia.
In July 2025, CAO received a complaint from the Cambodian League for the Promotion and Defense of Human Rights (LICADHO) on behalf of a borrower from Hattha Bank Plc. (HTB). The complaint raised concerns about the negative effects of the Bank’s lending and debt collection practices on the borrower’s livelihood and well-being. It alleged that loan officers used threats and intimidation, leading to property loss and growing debt. The complainant also stated that, under pressure from bank staff, they took additional informal loans to repay existing debts to HTB, further worsening their financial situation.
In August 2025, CAO found the complaint eligible and initiated an assessment. The assessment process is ongoing.
The case is currently under assessment.
Status as of November 5, 2025