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Cambodians Losing Their Land to Aggressive Microlenders — Report


AFP
Unsustainable growth and lack of effective client protection in Cambodia’s microfinance sector have increased borrowers’ debts and led to the confiscation of their land when they can’t repay loans, according to a report by two Cambodian human rights NGOs.
Much of the growth has led to widespread over-indebtedness with borrowers’ land titles serving as collateral, said “Right to Relief: Indebted Land Communities Speak Out,” a 22-page report that examines the effects of microfinance lending in 14 communities in eight provinces across Cambodia, all of which are struggling with overwhelming levels of microloan debt.
Microfinance institutions (MFIs) in Cambodia charge high interest rates, require land titles as collateral, and target poor clients who are vulnerable to land loss, the report says. ....

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Garment workers struggle to pay debts as lockdown bites


Making ends meet: Garment workers, most of them in deep debts, standing on trucks as they head to work outside Phnom Penh. AP
After weeks without pay, it was debt that drove garment worker Eang Malea back to her factory when it reopened this month, eclipsing her heightened fear of falling ill amid a surge of Covid-19 cases on factory floors.
The 850,000 people who work in Cambodia’s US$7bil (RM28.9bil) garment industry have been prioritised for Covid-19 vaccines, but Malea has not yet secured hers and promises of debt relief amid strict lockdowns have not materialised, she said. ....

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