A Guide to Transferring Funds into Cambodia

Transferring money into Cambodia is generally a smooth and uncomplicated process. However, it’s important to follow the country’s financial regulations and work with licensed institutions to ensure compliance and avoid delays. 

In this guide, realestate.com.kh will outline everything you need to know about foreign exchange rules, investment-related transfers, and best practices when moving money into Cambodia.

Foreign Exchange Regulations in Cambodia

Cambodia maintains an open and investor-friendly approach to foreign currency movements. There are no limits on sending money back to your home country, whether it is your original investment or your earnings, as long as you use approved banks like those licensed by the National Bank of Cambodia (NBC).

(the current or the old building of the National Bank of Cambodia- NBC)

According to Cambodia’s Law on Foreign Exchange (1997), Cambodia does not impose controls on foreign exchange operations conducted through authorized intermediaries. This includes:

• Buying and selling of foreign currencies
• International payments and settlements
• Capital flows between residents and non-residents
• Transfers in both foreign and local currencies

 

The official currency is the Cambodian Riel (KHR), but the US Dollar (USD) is widely used in business transactions and daily commerce. This dual-currency system allows for flexibility in transferring and using foreign funds.

Authorized intermediaries (typically commercial banks) are required to report all foreign exchange activities to the NBC. Residents are also allowed to hold and use foreign currencies freely within Cambodia, both in cash and in bank accounts.

Cambodia does not limit the movement of capital, but money sent abroad may be subject to withholding taxes, especially for business payments. For example, a 14% withholding tax usually applies to payments like branch profits, dividends to non-residents, interest, royalties, and service fees related to Cambodian sources. Individuals and companies should check with tax experts or their banks to understand any taxes or fees that might apply to their transfers. 

Additional reading: Property Tax in Cambodia: What You Need To Know

Transferring funds for investment purposes

When transferring money related to investment or the liquidation of assets, the transaction must be done through an authorized financial institution. Banks are required to report any single transfer equal to or exceeding USD 100,000 to the National Bank of Cambodia.

This requirement applies to both inbound and outbound capital movements and helps ensure transparency and regulatory oversight for large-scale transactions.

Money transfer rights for investors

Cambodia’s Amended Law on Investment (2003) provides several protections for foreign investors, particularly for businesses recognized as Qualified Investment Projects (QIPs).

QIPs have the legal right to transfer foreign currency abroad for purposes including:

• Paying for imported goods and services
• Paying back international loans (both the main amount and interest)
• Paying royalties and management fees
• Sending profits and dividends
• Sending back invested money if the project closes or is sold

These transactions must be processed through authorized banks, and investors are advised to maintain proper records and documentation to avoid any compliance issues.

Further reading: Common Payment Methods for Buying Properties in Cambodia

What to remember when transferring Money to Cambodia

Before transferring funds into Cambodia, keep these points in mind:

• Always use a licensed financial institution to handle the transfer
• Communicate with your receiving bank in advance to understand what documents are required
• Know that large transfers over USD 100,000 must be reported
• Keep in mind there may be taxes, especially for business or investment money
• If you are a QIP investor, you have special benefits for sending money out, so make sure your business is registered to use these benefits

Further reading: 50 Must-Know FAQs for Real Estate Investors in Cambodia

Need help transferring funds safely and smoothly when buying property in Cambodia? Our team at realestate.com.kh is here to guide you every step of the way.

Contact us today for expert assistance with your payment transfers and make your property purchase hassle-free!

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📧 info@realestate.com.kh

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