PHNOM PENH, Jan. 24 (Xinhua) -- Cambodia's banking and financial institutions had reported a modest lending growth in 2025, said a National Bank of Cambodia (NBC)'s annual report obtained on Saturday.

Outstanding loans increased by 4.1 percent year-on-year to 63 billion U.S. dollars by the end of 2025, while customers deposits surged by 14.7 percent to 65.7 billion dollars, the report said.

Non-Performing Loan (NPL) at the banking system rose to 8.9 percent by the end of 2025, up from 7.4 percent in 2024, the report added.

The report said the current assets in the kingdom's banking and financial system increased to 98.7 billion dollars as of 2025, a year-on-year rise of 9.7 percent.

NBC Governor Chea Serey said that at a time when the economy was facing both external and domestic challenges, the banking system has continued to play a crucial role in supporting the kingdom's economic activities.

"The 4.1 percent credit growth in 2025 was higher than that of 2024," she said. "The lending growth last year was boosted by the growing need of capital from micro, small and medium enterprises for their business expansion."

The Southeast Asian country currently has 59 commercial banks, 89 microfinance institutions, seven specialized banks, and 89 rural credit institutions, with 30.6 million deposit accounts and 4.5 million credit accounts, the report said. ■