Small Loans, Big Impact: Mr. Horn Kong's Success Story with Chamroeun Microfinance

Enabling Impact in Cambodia
Voices of Change: Mr. Horn Kong | Chamroeun

Mr. Horn Kong, aged 59, and his wife Kul Theara, aged 58, reside in Ou Ta Kam Pir Village, Toul Ta Ek commune, in the Battambang Province of Cambodia. They have been acquainted with Chamroeun Microfinance Plc for nearly a decade since Chamroeun established its first office near their home.

Chamroeun Microfinance Plc, initially started as a social microfinance project in 2006, aimed at providing financial and non-financial services to poor families in Phnom Penh's urban depressed areas. Over the years, Chamroeun has grown significantly, earning various accolades such as the Social Rating certification from Micro Finanza Rating in 2023 and the SMART Certificate from the Smart Campaign in 2019 for embedding client protection practices into their operations.

Mr. Horn Kong took an initial Developing Loan (DPL) of 1,000,000 Riels (approximately USD 250) from Chamroeun to support his oil lamp business. Later in 2018, he started a new business venture as a food seller. Year after year, he continued to utilize Chamroeun's loan products due to their convenience and the lack of collateral requirements, which was crucial since he did not own a house at the time.

In 2022, Mr. Horn Kong secured an 8th cycle loan amounting to 4,000,000 Riels (approximately USD 1,000). This loan was instrumental in purchasing essential items such as tables, chairs, a cooker, and groceries to bolster his food business. Mr. Horn Kong's business has thrived, resulting in a stable and increasing income. Before engaging with Chamroeun, his earnings were only sufficient to cover food and rent. Now, he earns between 200,000 to 300,000 Riels daily (approximately USD 50 to USD 75), allowing him to save and better support his family.

The consistent support from Chamroeun has significantly improved his family’s living standards. Previously, they lived in a rented house, but now they own a home and have capital to invest in equipment and farming materials.

He expresses high satisfaction with Chamroeun's services, praising the staff for their responsibility, quick loan processing, and friendly demeanor. He states, "My family decided to start with small loans and gradually moved to larger ones. The support from Chamroeun has been crucial in our journey."

Looking ahead, Mr. Horn Kong aspires to expand his business further, aiming to provide opportunities for his children.
This story illustrates how microloans provide opportunities for low-income households to diversify their income sources, positively contributing poverty alleviation (SDG 1) and reducing inequalities in access to economic resources (SDG 10). The diversified income and increased revenues enabled Mr. Horn Kong to afford a house (SDG 11), creating a healthier environment for him and his family (SDG 3).

Discover how microfinance is transforming lives and advancing global goals. Learn more about the UN Sustainable Development Goals at https://sdgs.un.org/goals