2019 03 October

Cambodia Legal Update October 2019

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JOINT PRAKAS NO. 257 REGARDING THE USE OF ENTERPRISE-COMPANY NAMES ON LETTERS, FILES, SIGNAGE DISPLAYS OR PUBLIC ADVERTISEMENTS DATED 11 SEPTEMBER 2019 BY THE MINISTRY OF COMMERCE AND MINISTRY OF TOURISM (“JOINT PRAKAS”)

This Joint Prakas aims to regulate and maintain public order on the use of enterprise-company names on letters, files, signage displays or public advertisements in accordance with the registered name of the business in order to ensure the proper written form of an enterprise-company’s name and the proper use of the enterprise-company’s name on letters, files, signage displays or public advertisements displayed on Cambodian land, waters and airspace.

Moreover, registered enterprises-companies and merchants that​ have obtained business licenses must only use the name under which their business is registered on letters, files, signage displays or public advertisements in accordance with the following conditions:

  1. The name in Khmer is to be placed on the top row and must be double the size of the other languages.
  2. The translation of the name from one language to another is prohibited by law.

A working group will be established by the Ministry of Commerce and the Ministry of Tourism to monitor and advise on the use of names on letters, files, signage displays or public advertisements in accordance with applicable law.

Should you have any concerns or queries on the matters mentioned above, please feel free to contact our corporate and commercial team at cambodia@dfdl.com.

LABOUR

THE MINISTRY OF LABOUR AND VOCATIONAL TRAINING DETERMINES CERTAIN PROHIBITED TYPES OF OCCUPATIONS AND PROFESSIONS FOR FOREIGN NATIONALS

Following recent public announcements in relation to the restriction on certain occupations and jobs for foreign nationals in Cambodia, the Ministry of Labour and Vocational Training (“MLVT”) formally issued Prakas 360/19 Concerning Restrictions on Self-employed Foreign Nationals dated 28 August 2019 (“Prakas 360”).

Prakas 360 defines ‘self-employed’ as “a person who performs work or business on his/her own which is not related to wages or salary provided by employers or as stated under employment contracts.” With respect to this definition, the restrictions under Prakas 360 do not affect employees who receive wages or salary from employers or the state under an employment arrangement. Therefore, Prakas 360 only affects self-employed foreign nationals.

The following ten occupations/jobs are prohibited for self-employed foreign nationals:

  1. all kinds of commercial motor vehicle drivers such as: motorcycle drivers, motor-tricycle drivers, trailer-towing motorcycle drivers, four-wheel motor drivers, and passengers-goods transportation vehicle drivers;
  2. all types of mobile street vendors in public places;
  3. all kinds of massage in public places;
  4. haircutting, hairdressing or beauty care;
  5. shoe making, repair and polishing services;
  6. tailors;
  7. auto-mobile repair and mechanics;
  8. Khmer souvenir producers;
  9. Khmer musical instruments, arm bowls and Buddha statues producers; and
  10. cutting or polishing diamonds or precious stones.

The MLVT will not grant or renew work permits for foreign nationals who are in any of the jobs or occupations listed above.

Should you have any concerns or queries on the matters mentioned above, please feel free to contact our employment team at labor.kh@dfdl.com.

BANKING AND FINANCIAL INSTITUTIONS

BIS Launch Green Bond Fund for Central Banks, Press Release № B13.019.018P.R of the National Bank of Cambodia (“NBC”), dated 26 September 2019.

In an effort to promote environmental sustainability and contribute to mitigating financial risks from climate change, the NBC is among the first subscribers of the Green Bond Fund recently launched by the Bank for International Settlement (“BIS”) for investments by central banks. The NBC is also a member of the Advisory Committee to this initiative. The Green Bond Fund is an open-ended fund structured according to Swiss law and managed by BIS Asset Management. The NBC is a legal entity with full jurisdiction and capacity to enter into contracts as mandated by Article 2 of the Law on the Organization and Conduct of the National Bank of Cambodia dated 26 January 1996. Therefore, the NBC may subscribe or invest in the investment in the Green Bond Fund.

In the press release, the NBC indicates its strong support for reducing the pace of climate change to achieve equitable and sustainable growth. The NBC also “strongly encourage all financial institutions to put in place policies that promote green finance and support climate-friendly investments.” The NBC is silent on whether they will issue any regulation in relation to promote the green finance and climate-friendly investment.


The information provided here is for information purposes only and is not intended to constitute legal advice. Legal advice should be obtained from qualified legal counsel for all specific situation.


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