Cambodia’s Digital Currency: Initial Steps Towards a Central Bank Digital Currency (CBDC)

As a developing country, the Royal Government of Cambodia (RGC) focuses greatly on economic diversification, digital economy, and financial sector development. However, as interconnectivity and interoperability are considered barriers to improving the digital economy and financial sector, Bakong was developed as a digital tool to help enhance monetary settlement between financial institutions. This article explains the key characteristics and benefits of Bakong in the context of Cambodia.