Credit activities of the Khmer community in coastal areas of Can Tho city during urbanisation

Abstract

Credit is one of the aspects reflecting dynamism in production, business, and daily life in urbanising environments. Among Khmer communities, it is further supported by preferential policies through national target programmes. This article employs a mixed-methods approach, focusing on two coastal communes undergoing urbanisation with significant Khmer populations in Can Tho city. The data include quantitative data from 120 randomly selected Khmer households and 12 in-depth interviews.

The study finds that: (i) borrowing sources are relatively diverse, including both interest-bearing loans and community-based support; (ii) loans are primarily used for building or renovating houses and investing in production; (iii) the most important lending source is the Policy Bank; and (iv) loans for purchasing land, constructing or repairing houses, and building clean water reservoirs have improved living conditions, whereas production loans have not yet yielded economic benefits. Overall, production activities of Khmer households in urbanising coastal areas still face numerous difficulties and challenges, with debt remaining one of the three main concerns.