Economic crisis: Opposition pushes the government to take action

18 Feb 2009
By Ky Soklim
Cambodge Soir Hebdo
Translated from French by Tola Ek
Click here to read the article in French

During a joint press conference, Sam Rainsy, SRP President, and Kem Sokha, HRP President, called on the government to take immediate action to fend off the drop of agricultural products price.

“Banks and creditors must not confiscate lands from farmers. They have a hard time paying back their debt because the price of agricultural products keeps on dropping due to the economic crisis,” Sam Rainsy told the reporters on Wednesday 18 Feb.

Kem Sokha expressed his concerns that social troubles could take place if the farmers lose their belonging.

According to a study performed by the Cambodia Institute for Development Studies, the world economic crisis could affect more than 1 million people in Cambodia in 2009.

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SRP/HRP debt moratorium to rescue bankrupt farmers

February 16, 2009

To :
Samdech Hun Sen
Prime Minister of Cambodia

Through : Samdech Heng Samrin, President of the National Assembly

Object : Request to the Government to take appropriate and urgent measures to rescue heavily indebted farmers who are currently victims of the sharp fall in agricultural prices so as to prevent their lands/properties from being seized by bankers and other creditors.

Considering :

• Article 96 of the Constitution of the Kingdom of Cambodia .
• The distressing economic situation resulting from the world financial crisis, which has caused market prices of agricultural products (such as paddy, corn, bean, cassava) to plummet by 30 to 80 percent over the last few months.
• The heavy indebtedness of hundreds of thousands of farmers who have extensively borrowed to buy oil and fertilizer and to face other expenditures to produce their crops.
• The desperate financial situation of those farmers who are unable to reimburse their debts in the present circumstances and who risk to see their lands/properties being seized since these lands have been given as collaterals to banks and other creditors.

In line with the above object and considerations, we would like to request the Government to take appropriate and urgent measures to prevent banks and other creditors from seizing farmers' lands/properties while our farmers are suffering from the present crisis. There must be a debt moratorium. In the meantime, interest rates and payments must be reduced pending negotiations for a comprehensive resolution of the debt problem.

Besides, the Government must quickly implement measures and mechanisms aimed at supporting and stabilizing agricultural prices, so as to protect and guarantee farmers' revenue and living conditions nationwide. In all countries in the world, responsible leaders must devise and implement sound economic policies. Among its national economic policies Cambodia must have a sound agricultural policy. In that agricultural policy, measures and mechanisms to support and reasonably stabilize agricultural prices are imperative [to ensure decent living conditions for farmers].

Sincerely,

[Signatures]

Sam Rainsy (SRP)
Kem Sokha (HRP)
Son Chhay (SRP)
Eng Chhai Eang (SRP)
Kouy Bun Roeun (SRP)
Ou Chanrith (HRP)