A Revolutionary Payment Gateway in Cambodia
The Bakong payment system was launched in Cambodia as the nation’s first blockchain-based payment infrastructure. Initiated by the National Bank of Cambodia (NBC), it was officially launched in October 2020, with the goal of modernizing the country’s financial infrastructure. Bakong is a hybrid system that merges the capabilities of traditional banking with the flexibility of digital payments. It was built on a blockchain platform developed by the Japanese firm Soramitsu, and designed to increase financial inclusion, improve the efficiency of domestic and international payments, and reduce reliance on the U.S. dollar, which has dominated the Cambodian economy for years.
Latest Updated
NBC Joins Regional Payment Connectivity Initiative, Strengthening Bakong’s Regional Integration
On April 8, 2025, the National Bank of Cambodia (NBC) officially joined the Regional Payment Connectivity (RPC) initiative, marking another milestone in ASEAN’s push for financial integration. The announcement was made during the launch of the second phase of the Malaysia-Cambodia cross-border QR payment linkage at the 12th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting in Kuala Lumpur.
With NBC’s participation, nine ASEAN central banks are now part of the RPC initiative, which aims to promote faster, cheaper, and more inclusive cross-border payments through QR code and fast payment technologies. This development highlights Cambodia’s growing commitment to regional financial collaboration.
According to Chea Serey, Director General of the National Bank of Cambodia, Bakong represents a significant leap in Cambodia’s fintech landscape. “We are moving toward creating an efficient and secure financial system that is accessible to all Cambodians, regardless of where they are,” she said during a launch event.
The system cost an estimated $3-4 million to develop and implement. The NBC worked closely with private financial institutions, encouraging over 30 banks and microfinance institutions (MFIs) to integrate into the platform at launch. Bakong allows for real-time, peer-to-peer payments via mobile phones and QR codes, leveraging blockchain technology to provide fast and secure transactions.
Bakong’s Integration Across Borders
Bakong is not just confined to Cambodia’s domestic market. It has also been integrated with international payment platforms, starting with a pilot integration with Malaysia’s Maybank. This allows for cross-border payments, a step toward seamless regional financial integration. Additionally, the platform has been integrated with Thailand’s PromptPay and plans are in place to extend partnerships to other ASEAN countries.
Countries currently integrated with Bakong:
- Malaysia
- Thailand (PromptPay)
- Laos
- Vietnam
- Singapore (part of the ASEAN financial inclusion efforts)
- South Korea (Kookmin Bank, JB Financial Group and Woori Bank in Seoul)
- India
According to a joint press release, Malaysian travellers can now seamlessly pay Cambodian merchants by scanning KHQR using native mobile payment applications of participating financial institutions.
Meanwhile, Cambodian travellers to Malaysia can continue to make payments using the Bakong application by scanning the DuitNow QR code.
NBC and BNM collaborated closely with local partners to enable the bilateral QR payment linkage. These partners included Maybank as the sponsoring and settlement bank, Payments Network Malaysia (PayNet) and participating financial institutions from both nations.
Countries in the pipeline for integration:
- Philippines
- Japan (possible future integration due to Soramitsu partnership)
Top 10 Opportunities of Bakong in Fintech, E-commerce, and Online Entrepreneurship
- Financial Inclusion Bakong allows users who previously had no access to traditional banking services to participate in the digital economy. This enhances financial inclusion in a country where many citizens lack formal bank accounts.
- Low-Cost Cross-Border Payments One of the major opportunities of Bakong is its potential to streamline cross-border payments at a lower cost. This is particularly important for Cambodian migrant workers in countries like Malaysia and Thailand who send remittances home.
- Enhanced Security Built on blockchain technology, Bakong provides a high level of security for transactions. This reduces the risk of fraud and enhances trust in the system, making it attractive for fintech startups and e-commerce platforms.
- Simplified Digital Wallets By integrating multiple banks and institutions, Bakong simplifies the use of digital wallets. Entrepreneurs can easily integrate the Bakong system into their businesses, enabling seamless transactions for customers.
- Support for E-commerce Growth As the e-commerce sector grows in Cambodia, Bakong’s integration of QR payments allows customers to shop online using secure and instant payments. This drives growth for online businesses by offering a new, convenient payment method.
- Reduced Transaction Costs Bakong’s blockchain-based system allows for lower transaction fees compared to traditional banking systems. This is beneficial for small online businesses and entrepreneurs who deal with high transaction volumes.
- Opportunities in Digital Lending The ability to monitor real-time transactions provides an opportunity for fintech companies to offer digital lending services through Bakong. This could be a boon for small businesses seeking fast access to credit.
- Data Analytics for Business By tapping into Bakong’s transaction data, businesses can analyze consumer behavior and trends. This helps e-commerce and fintech companies develop more targeted marketing and service offerings.
- Government Integration and Smart City Initiatives Bakong could potentially be integrated with government payment systems, enabling digital payments for taxes, licenses, and public services. This aligns with Cambodia’s smart city ambitions, where technology drives efficiency in public administration.
- Cryptocurrency and Digital Asset Integration As blockchain forms the backbone of Bakong, there is potential for integrating cryptocurrencies and other digital assets into the system. This could create a new avenue for fintech entrepreneurs exploring the digital asset space.
Conclusion
Bakong is rapidly transforming Cambodia’s digital landscape, opening up new opportunities for fintech, e-commerce, and entrepreneurs. Its potential for financial inclusion and cross-border trade makes it a critical tool for the nation’s economic growth. As the system expands to more countries, businesses and individuals alike will benefit from lower costs and greater efficiency in financial transactions.
What do you think about the potential of Bakong? Share your thoughts and experiences below!
Sources:
