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Shulph Ink

Cambodian Dollarization: Its Policy Implications for LDCs' Financial Development

Cambodian Dollarization: Its Policy Implications for LDCs' Financial Development

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  • More about Cambodian Dollarization: Its Policy Implications for LDCs' Financial Development

This book is the first study to provide a comprehensive picture of dollarization in Cambodia, analyzing its reality and structure through micro-level data collected in 2014 and 2017. It explores the mechanisms of dollarization in households, companies, and financial institutions and its impact on the use of local and foreign currencies. It concludes that financial development in low- and middle-income countries is promoted by dollarization, but policies to separate the two are necessary to curb it.

Format: Hardback
Length: 224 pages
Publication date: 07 September 2023
Publisher: Taylor & Francis Ltd


This comprehensive study delves into the intricate reality and structure of dollarization in Cambodia, a country that has experienced remarkable economic and financial development since the end of 1998, when full peace was restored to the kingdom. Drawing upon micro-level data collected through nationwide surveys conducted jointly by the National Bank of Cambodia and the JICA Ogata Sadako Research Institute in 2014 and 2017, the book employs econometric analysis to examine in depth the various aspects of dollarization within households, companies, and financial institutions. It offers a detailed account of the historical development of Cambodian dollarization, compares it with other cases of dollarization in countries worldwide, and explores the impact of NBC's digital payment platforms, particularly Bakong, on the usage of local and foreign currencies.

The Cambodian case highlights the mutually beneficial relationship between dollarization and financial development in low- and middle-income countries. However, it also emphasizes the need for policies to differentiate between the two to effectively curb dollarization. This book is of significant interest to students, researchers, and policy-makers engaged in the study of dollarization and economics in Southeast Asia. It provides valuable insights into the complex dynamics of currency adoption and its implications for economic growth and stability in the region.


Dimension: 234 x 156 (mm)
ISBN-13: 9781032489162

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