Vision

Key Figures
2010 2009 2008
Number of Borrowers 238,535 224,708 226,262
Operating Provinces 15 14 14
Operating Districts 100 91 75
Operating Villages 5,409 4,708 3,490
% of Woman Borrowers 84% 84% 83%
Total Staff 1,288 964 768
Total Assets
KHR 354,237Million
(US$ 87,401Thousand)
KHR 296,293 Million
(US$ 71,070 Thousand)
KHR 284,436 Million
(US$ 69,677 Thousand)
Loan Portfolio*
KHR 270,119 Million
(US$ 66,647 Thousand)
KHR 221,570 Million
(US$ 53,147 Thousand)
KHR 222,641 Million
(US$ 54,555 Thousand)
Equity plus Quasi
Equity**
KHR 90,284 Million
(US$22,275 Thousand)
KHR 71,256 Million
( US$ 17,092 Thousand)
KHR 59,687 Million
(US$ 14,626 Thousand)
Net Income / Average
Total Assets
Net Income / Net
Financial Income
Operational Self-
Sufficiency***
Financial Self-
Sufficiency ****
6.4% 4.4% 6.5%
31.1% 22.05% 31.6%
142% 125% 145%
136% 119% 139%
Net Financial
Income
KHR 64,372 Million
(US$15,883 Thousand)
KHR 62,005 Million
(US$ 14,873 Thousand)
KHR 46,032 Million
(US$ 11,279 Thousand)
Salary / Net
Financial Income
Borrowers per
Credit Agent
24.7% 21% 20%
398 511 540
Average Loans
Portfolio Per
Credit Agent
KHR 387.03 Million
(US$ 95 Thousand)
KHR 503.57 Million
(US$ 121Thousand)
KHR 410.30 Million
(US$ 101 Thousand)
Portfolio-at-Risk > 30
days*****
0.63% 3.71% 0.49%
Average Amount
Per Group Loan
KHR 0.78 Million
(US$ 0.19 Thousand)
KHR 0.76 Million
(US$ 0.18 Thousand)
KHR 0.65 Million
(US$ 0.16 Thousand)
Average Amount Per
Individual Loan
KHR 2.79 Million
(US$ 0.69 Thousand)
KHR 2.18 Million
(US$ 0.52 Thou
sand)
KHR 2.40 Million
( US$ 0.59 Thousand)
Exchange rate KHR 4,053 per US$ KHR 4,169 per US$ KHR 4,081 per US$
Note:
* Loan Portfolio: Gross loan outstanding.
** Equity plus Quasi Equity: Total equity includes subordinated debt.
*** Operational Self-Sufficiency: Measures how well an MFI covers its costs through operating revenues.
Formula: Financial Income/ (Financial expense+ Operational expense+ Loan loss provision)
**** Financial Self-Sufficiency: Measures how well an MFI can cover its cost, taking into account a number of adjustments to operating revenues and
expense. The purpose of most of these adjustments is to model how well the MFI could cover its costs if its operations were unsubsidized and it was
funding its expansion with commercial-cost liabilities.
Formula: Financial Income/ (Financial expense + Operational expense+ Loan loss provision + (Average Equity-Average Fixed Asset)*Inflation Rate
- ***** Portfolio-at-Risk > 30 days: (Portfolio at risk >30 days to 365 days (of overdue principle) + Restructure loan) / gross loan portfolio.
Microfinance Institution “Amret”

Table of Content
PAGE 01
Vision and Mission
PAGE 17
Risk Management
PAGE 02
Message from Chairman
PAGE 03
Shareholders
PAGE 04
Board of Directors
PAGE 07
Milestones
PAGE 20
Branch Network
PAGE 21
Organizational Chart, Staff,
and Staff Development
PAGE 24
Social & Environmental
Responsibility
PAGE 26
Our Clients
PAGE 08
Notes from GM
PAGE 28
Audited Financial Statements
PAGE 10
Management Team
PAGE 73
Ratio and Information Contained
PAGE 12
Business Management Review
PAGE 84
Contact Details
Microfinance Institution “Amret”

Vision and Mission
Vision
To be an outstanding financial institution that improves
the living standards of the population and contributes to
the economic and social development of Cambodia
Mission
To provide a wide range of financial services for low
income people as well as micro, small and medium
enterprises - while at the same time achieving a high level
of financial and social performance
1
Annual Report 2010
Microfinance Institution “Amret”

Message from Chairman
The year 2010 was very
satisfactory in many
respects for Amret. After
a 3.5% contraction of
its loan portfolio in
2009, the credit activity
rebounded in 2010.
In particular, individual
loans, which volume
grew by about 51%
over the year and now
account for about 43% of Amret’s Gross Loan Portfolio,
have met a very strong demand. In the meantime, the
quality of the loan portfolio improved very significantly
with PAR 30 settling back to pre-crisis levels. Deposit
collection, for which Amret had received a license from
the National Bank of Cambodia during the course of 2009,
also performed very well in 2010. As at 31 December
2010, Amret had been entrusted with the equivalent of
USD 15.2 million from 18,660 depositors. This success is a
great source of satisfaction, given the strategic importance
of saving collection, both to reduce the institution’s
dependency to external loans and to increase its outreach.
We are confident that Amret will do even better in the
future, especially in collecting savings in rural areas. The
combination of the performances registered on the credit
and deposit activities resulted in a significant improvement
of the profitability of the company. Amret posted a KHR
20.03 billion net profit in 2010, up from KHR 13.67 billion
in 2009. Such achievements were made possible by
the expansion of Amret’s branch network. Four additional
outlets were opened in 2010, two of which are located
in Battambang province, which became the 15 th province
covered by the network.
The governance of a microfinance institution such as
Amret requires an acute perception of the macro-economic
environment in which it operates. In 2010, the Cambodian
economy eventually resumed its expansion after suffering
harsh consequences of the international economic
downturn in 2009. According to the IMF, the economic
output grew by an estimated 4.7% in 2010 and is
expected to further expand by 6.8% in 2011. The shortage
of credit, which had hampered long-term investments in
2009, came to an end in 2010, as evidenced by a 10%
growth of the volume of domestic credit registered over
the year. The Cambodian informal and semi-formal
sector, which constitutes the core market of microfinance
institutions such as Amret, also recovered its dynamism
and the demand for credit consequently picked-up in the
second semester of 2010, during which the Cambodia
Microfinance Association registered a 24% increase of the
aggregated loan portfolio of its members. In this context
of strong growth, the risk of over indebtedness should
not be underestimated. Experience from other countries
where aggressive sale practices and insufficient credit
worthiness assessment have put the entire microfinance
sector in jeopardy must be born in mind. In order to
minimize these risks, Amret is collaborating with its peers
and the National Bank of Cambodia towards the inception
of a credit bureau, and hopes these efforts will materialize
in 2011.
In 2011, Amret will aim at consolidating its position
as a leading deposit taking microfinance institution in
Cambodia. This objective will be achieved by further
strengthening the credit methodology to maintain the
quality of the portfolio, and by intensifying efforts to attract
deposits, especially in rural areas. In terms of geographical
coverage, Amret intends to expand to more remote areas,
where competition is less intense and unmet demand
for financial services more abundant. These objectives
are fully consistent with Amret strategy, which consists
in becoming the leading provider of financial services to
the agricultural sector and to small and medium-scale
enterprises in rural areas.
Finally, I take the opportunity of this publication to
congratulate the management and the staff of Amret in
the name of the Board of Directors for their commitment
along the year which contributed to Amret very good
performances in 2010.
Dr. Claude FALGON,
Chairman
Microfinance Institution “Amret” Annual Report 2010 2

Shareholders
Advans S.A. SICAR is an investment company
(Société d’investissement en capital à risque)
registered in Luxembourg. Its objective is to invest
equity in microfinance institutions or microfinance
banks in developing or emerging countries.
Botta, which is a staff company, is registered as
a private limited company and under Cambodian
law; its registered office is in Phnom Penh,
Cambodia. The company was created to invest in
Amret only, and approved as a new shareholder
by current shareholders due to attracting a longterm
commitment from staff. Even if it is a small
percentage, it is a long-term investment.
FMO ( Nederlandse Financierings-Maatschappij voor
Ontwikkelingslanden N.V.) is the entrepreneurial
development bank of The Netherlands, created
by a deed of incorporation in 1970. Its registered
office is in The Hague, Netherlands. Its objective
is to contribute to the development of business in
developing countries in the interest of long term
and sustainable economic and social progress in
conformity with the intention of the governments of
such countries.
GRET (Groupe de Recherche et d’Echanges
Technologiques) is a non-profit private organization
based in France. Its objective is to contribute
to sustainable and fair development, and to the
alleviation of poverty and structural inequalities.
GRET supports social and economic development
projects in about 30 developing countries.
LFP (La Fayette Participations) is a private limited
company Incorporated under French law that was
created by the consultancy firm ‘HORUS Development
Finance’; its registered office is in Paris, France. Its
objective is to provide financial services to the poor
living in developing countries and wishes to become
active in Cambodia.
Oikocredit Ecumenical Development Co-operative
Society, U.A. incorporated under the laws of the
Kingdom of Netherlands is a co-operative society
founded in 1975; its registered office is in Amersfoot,
Netherlands. Its objective is to mobilize financial
credit and resources in order to further development
of the poor areas in the world, and to promote
economic growth together with social justice and
self-reliance.
Proparco (Société de Promotion et de Participation
pour la Coopération Economique) is incorporated
under French law; its registered office is in Paris,
France. Its objective is to promote the development
of private sectors and, in a general manner, of
a competitive productive sector in developing
countries, and to execute all activities of a financial
company.
The distribution of shares is as follows:
Shareholder Number of Shares Face Value
KHR 1,360,000/share
(KHR’000)
Share Capital (%)
Advans (previously
known as LFI) 2,661 3,618,960 31.80
Botta 181 246,160 2.16
FMO 1,056 1,436,160 12.62
GRET 1,623 2,207,280 19.39
LFP 340 462,400 4.06
Oikocredit 1,056 1,436,160 12.62
Proparco 1,450 1,972,000 17.32
Total 8,367 11,379,120 100%
3
Annual Report 2010
Microfinance Institution “Amret”

Board of Directors
Chairman: Dr. Claude FALGON, French, born in 1947.
Appointed to the Board in August 2001 and became Chairman on 22 February
2005. He obtained a PhD in economics at Michigan State University, USA,
a post-doctorate in Management Science, ICG Paris, France and an MSc in
Agriculture Economics, INA Paris, France. He served Horus-enterprises SA,
and Horus-Development Finance, consulting service in finance sector. He
represents Advans S.A. SICAR.
Mr. Steven DUCHATELLE, French, born in 1973.
Appointed to the board on 31 March 2008. He graduated from HEC School of
Management in Paris. Following this, he obtained, in 1997, a Master Degree
in General Management, in the field of Finance. From 1998 to 1999, he
worked for BNP China as an Assistant to the China Group Chief Operations
Officer. Then during 2000 and 2001, he used to be a consultant of financial
service practice for Mercer Management Consulting, Paris. After that, he
lived his work life as a consultant at Horus Development Finance for four
years, by 2001. He has become a Head of Investment Unit in the same
company since 2006.
Mr. Adriaan VAN DER POL, Netherlander, born in 1948.
Appointed to the Board on 31 March 2008. He obtained three degrees:
NOIB-Nijenrode, Breukelen, Netherlands in 1972, a Bachelor of Business
Administration (International Business) and a Master Degree of Business
Administration (Finance) from the University of Oregon, Eugene, Oregon
(USA). He has worked for ABN AMRO Bank, International Dept from 1975
and has been Country Manager for ABN AMRO Bank in Pakistan, Denmark
and lastly in Kenya till 2002. Since 2002, he is active as an international
banking consultant and holds several company directorships in the financial
sector.
Microfinance Institution “Amret” Annual Report 2010 4

Ms. Marjorie A. MARASIGAN, Filipino, born in 1964.
Appointed to the board on 01 December 2009. She obtained Bachelor Degree
of Science in Agriculture from Gregorio Araneta University Foundation, in
1986, and Master degree in Business Management from National College of
Business Administration of Quezon City, Philippines. She worked from1996
to 2000 as Micro credit/Micro enterprise Specialist for United Nations
Development Program, and was promoted to be the Project Manager/MFI
Specialist from 2000 to 2003. She worked as a MFI Capacity Building Specialist
from 2003 to 2005 for the same UNDP based in Vanuatu, South Pacific.
October 2005, she was employed by CARD MRI Development Institute Inc.
– Bay, Languna, Philippines, as a Training Manual Development Consultant.
Based in Australia, the Foundation for Development Cooperation sought her
consultation on microfinance for the months of June to July 2006. From July
to October 2008, she did the advisory for CREDIT MFI based in Cambodia.
Since November, 2008, she has been working for Oikocredit Philippines in
the role of Country Manager.
Mr. Emerson Mar, Cambodian, born in 1972
Appointed to the board on 17 December 2009. He obtained Bachelor of
Arts Degree, Political Science from Stony Brook University, New York in May
1995 .He received Master of Business Administration from Oswego State
University, New York in May 1999 and the Certificate of Business Project
Management from New York University in May 2005. From January 2000
to May 2002, he worked as revenue analyst for Central Park Conservancy,
New York. He worked as Contract Manager for Medical and Health Research
Association from July 2002 to July 2006. From 2006 to June 2007, he was
employed by East West Management Institute/USAID, Phnom Penh as
Consultant. He worked as Director of Policy, advocacy, Resource mobilization
for Khmer HIV/AIDS NGO Alliance from October 2008 to March 2009. Since
then, he has been working as Director of Training and Resource Mobilization
for Integrating Human to Quality, Cambodia.
Mr. CHEA Phalarin, Cambodian, born in 1967.
General Manager of Amret Co., Ltd. Appointed to the Board on 10 July 2000.
He obtained his BBA in 1991 at Economics Science Institute in Phnom Penh,
and his MBA in 2002 at National University of Management (NUM) & UTARA
University of Malaysia. He worked for the Cambodian government from
1991 to 1995 at the Ministry of Agriculture, since when he has worked for
Amret as a Credit officer, General Trainer. He became the General Manager
at the end of 1997.
5
Annual Report 2010
Microfinance Institution “Amret”

Resigned Directors in year 2010:
Mr. Patrice MOLLIE, French, born in 1943.
Appointed to the Board on 14 July 2009. He obtained three degrees: a
Diploma from Ecole Polytechnique, Paris (1964), a Diploma from Ecole
Nationale Supérieure de l’Aéronautique, Paris (1967) and a Master of
Sciences from Standford University, Califonia USA (1968). From 1995 to
2004, he was employed by Agence Française de Développement (AFD) to
be Finance Manager being responsible for ALM, Capital market funding,
Treasury, Accounting and Budget. Then from 2004 to 2007, he became
General Secretary of AFD and was responsible for Finances, Accounting,
Budget, Risk Management, Procurement and Information System. Nowadays,
he retired from AFD. He is also a member of the Proparco Investment
Committee and President of NGO “Prisoniers Sans Frontières”.
Mr. Patrice MOLLIE had resigned from a director of Amret effective
on 26 March 2010.
Mr. Christian BARON, French, born in 1961.
Appointed to the Board in February 2005. He obtained a DESS in Economics
University Paris I Sorbonne and a DESE of the Conservatoire National des
Arts et Métiers of Paris. He has been in charge of financial and non financial
services programs for small enterprises development for about 20 years.
He worked first for with the “Centre International de Développement et de
Recherche ”. He joined GRET headquarters seven years ago as a Program
Manager in the “Microfinance and Small Enterprise Department”.
Mr. Christian BARON had resigned from a director of Amret effective
on 30 September 2010
Microfinance Institution “Amret” Annual Report 2010 6

Milestones
Amret, as a leading microfinance institution in Cambodia, was formerly known as “EMT”.
Its historical background is as follows:
1991: GRET, a French NGO, sets up an experimental project to deliver microcredit to the
rural population of Cambodia. The first experimental phase (EXPE I) is launched, with
a single financial product known as Solidarity Credit (SC).
1995: Initialization of a second experimentation phase (EXPE II). Solidarity Credit is
modified under new procedures while an Individual Credit (IC) product is launched.
Meanwhile, GRET plans to transform the project into a microfinance institution.
1996: Conception of the name Ennatien Moulethan Tchonnebat (EMT).
1998 End of EXPE I. All activities transfer to EXPE II. As EMT becomes operationally
self-sufficient, a new organizational chart is designed that transfers management
responsibilities from technical assistants to local staff.
1999: EMT borrows from commercial banks for the first time.
2000: EMT becomes a private limited company, “Ennatien Moulethan Tchonnebat Ltd.”, with
a registered share capital of KHR 330 million from 2 shareholders of GRET and SIDI.
2001: EMT receives its MFI license from the National Bank of Cambodia.
2002: EMT legally admits two new shareholders, Proparco and La Fayette Participations and
considers investing in a new Management Information System (MIS).
EMT launches a Certificate Deposit (CD) product in two branches.
2003: EMT redesigns Individual Business Loans to meet market needs, and lowers the
interest rate from 4% to between 3.5% and 3.0%, according to loan amounts.
Conclusion of permanent expatriate technical support.
I&P joins EMT as a new shareholder
2004: EMT is renamed as “Amret” on June 14, 2004.
2005: Amret rolls out a new MIS “Microbanker Windows Version”.
Amret diversifies individual loans into (1) Business Loan, (2) Educational Loan, (3)
Home Improvement Loan and (4) Household Consumption Loan.
Amret introduces the front-office operations - the conventional banking operations
whereby the borrowing clients come to institutional branches.
2006: Advans S.A (Formely LFI) becomes a shareholder.
2007: Botta - the staff investment company- becomes a shareholder.
2008: SIDI and I & P exit, but three new shareholders come in: Proparco, FMO
and Oikocredit
2009: Amret obtained the license of deposit taking from public in January 2009
By end of the year, all branches of Amret are ready to collect savings from the public.
7
Annual Report 2010
Microfinance Institution “Amret”

Notes from GENERAL MANAGER
The impact of economic
crisis in 2009-
2010 had been passed
around 2 nd quarter
2010. From that
period, we noticed
that the economic
activities had been
recovered in the
country. Consistently
to the positive economic
growth, Microfinance had returned fast its role
to contribute the economic development. Practically,
the average loan portfolio growth in the sector
was 22% that made loan outstanding increased
from KHR 221,570 million equivalent to US$ 53.15
million in 2009 to KHR 270,119 million equivalent
to US$ 66.65 million in 2010 while saving collection
had shown a significant increase which was from
US$3 million in 2009 to US$15 million in 2010.
This shows that public is more confident on
Microfinance and gets to use bank and microfinance
services. At the meantime, we have a concern of
competition which is increasing rapidly as each
MFI increases a big growth rate and entrance of
7 new comers in year 2010 (totally, 25 licensed
MFIs by Dec 2010). However, with lesson learned
in year 2009 and 2010, MFI stakeholders have
paid attention to the negative impact which may
happen again so that we are committed to set up
Credit Bureau, which is estimated to function in
year 2011, and Microfinance Association reinforced
the Memorandum of Understanding (MoU) among
its members to avoid negative impact to the
sector, especially standing at a corner of the client
protection.
After the crisis, Amret started to grow mainly in
second semester of the year. Practically, we have
loan portfolio growth at 22% at the end of 2010
compared to loan outstanding by December 2009.
With a defensive strategy of prudential growth,
portfolio quality of Amret remarkably improved
which indicated by portfolio at risk (PAR) 30 days
evolved from 3.71% by end of year 2009 to 0.63%
by end of year 2010. The PAR improvement is due
to good quality of new loan disbursed since year
2009 and 2010, and it impacted from partly write
off 2.2%. Meanwhile, we still maintained a good
market share in term of number of loan clients of
238,535 which is 27.5% among the 25 licensed
MFIs and Acleda bank in our 15 operating provinces.
To be along with loan portfolio growth, we still
continued a prioritized strategy to mobilize saving.
After a roll out of saving service last year, the
saving amount has increased to US$ 15 million
that rose 500% comparing to saving amount by
the end of 2009. To fuel the long term saving and
to satisfy customers, Amret introduced and test
Inter-branch Money transfer in all branches and
furnished commercial staff with crossed selling
skills.
Standing in a recovered economic context, we
achieved a good level of profitability in which we
gained KHR 20,026 million, equivalent to US$ 4.94
million, an increase of 46.45% compared to 2009
(KHR 13,674 million around US$ 3.28 million), in
which RoAA is 6.4% and RoAE is 25.1%.
To finance our growth, we still face an issue to raise
funds in the local currency because most of microentrepreneurs
want to borrow loan in local currency
due to their cash flow is in the same currency. For
a solution, Amret still keeps a back-to-back system
with Central Bank (NBC) and Foreign Trade Bank
of Cambodia. Positively, we note that there are
more Foreign Financial institutions could lend us
directly loans in local currency such as Oikocredit,
Hivos Triodos Fonds and Triodos Doen, FMO and
Norfund. However, the supply of financial resource
in local currency still less than demands. Therefore,
the increasing move to lend in US Dollars is an
adapted strategy for growth; especially for loan in
big amount.
Microfinance Institution “Amret” Annual Report 2010 8

Furthermore, Amret had reformed our Organizational
Chart by establishing a new department,
called Credit Department that will responsible
to develop and to support Credit products and
technical support to commercial staff. Meanwhile,
we also reformed Management committees such
as ALCO, Risk Management committee, Credit Risk
committee under supervision of Board committee
which is called Risk Oversight committee to be
complied with New Prakas of Internal Control issued
by Central Bank. In the project of Core Banking
System, we had nearly completed 2 nd stage which is
software selection and we will start implementation
next year.
To maintain and improve creditability and transparency,
Amret was inspected by Central bank
regularly and was rate on Financial performance
by M-Cril, an Indian Rating Company recognized by
CGAP, in November 2010, and it was graded ,
specifying that it has “strong capacity to meet its
financial obligations, very good operations, stable
even if it could be affected by major internal and
external events”.
With the aforementioned achievement, transparency
and a prospective environment, Amret
will prudentially grow in the following years.
Accompanied by ambitious objectives, we are
challenging to mobilize savings, to diversify other
financial services in existing and new operating
areas, and maintaining good portfolio quality in the
following years. However, we are quite optimistic
that we will achieve and overcome those challenges
thanks to the adaptable strategies with our strong
team commitment of staff, managers and the Board
of Directors.
At last, we would like to sincerely thank all clients,
creditors, suppliers, donors, local authorities,
governmental institutions, staff and management,
the board of directors and other stakeholders who
have been supporting us so far to achieve the
outstanding goals.
Chea Phalarin,
General Manager
9
Annual Report 2010
Microfinance Institution “Amret”

management team
Mr. CHEA Phalarin
General Manager
Mr. Dos Dinn
Chief Operations Officer
Ms. Lim Sopha
Head of Finance
Mr. Phat Reatana
Head of Risk Management & Copliance
Mr. Tan Youhay
Head of Operations
Mr. Sreng Channy
Head of Information Technology
Mr. Julien Mahé
Head of Credit
Mr. Tieng Sreng
Head of Training
Mr. Nou Bunnarith
Head of Provincial Office
Microfinance Institution “Amret” Annual Report 2010 10

11
Annual Report 2010
Microfinance Institution “Amret”

Business Management Review
1- Political and Economic Environment
in 2010
In 2010, Cambodia’s economy has been recovering
following a difficult post-economic crisis period in
2009. Before the crisis, the country experienced to
enjoy its average annual economic growth of 10.2%
from 2005 to 2008 before slightly grow at the rate
of 0.1% in 2009 when Cambodia was strongly hit
by world financial crisis. Being highly reliant on
world economy, Cambodia’s economy has started
recovering in 2010 in line with global economic
recovery. The economic grew at the rate of 5.5% in
2010 due to rebound in agriculture, agro-industry,
garment, and tourism sector which are the main
pillars driving economic growth. Gross GDP is about
US$ 11,315 million and per capital income is US$
788 in 2010.
Inflation was at moderate and manageable level-
3.1% in December 2010 over December 2009. The
annual inflation is estimated to be about 4% in 2010.
The Riel exchange rate was remarkably fluctuated
within the year- sharply depreciated in the mid-year
to be 4,241 Riels per US$ and instantly appreciate
back to be 4,050 Riels per US$ at the end of the
year. The fall and rise of Riel’s value was mainly
resulted from seasonal fluctuation and instability
of US$’s value. Cambodia’s financial and banking
sector remains strong and healthy. Liquidity in
the banking sector has increased, due to increase
deposit faster than credit allocation for economic
activities. The sector’s development has supported
the economic growth in all areas of the Kingdom.
Agriculture grew continuously even during and
after the crisis. In 2010, the sector grew by
4.5% due to high priority given by the Royal
Government of Cambodia to grow the sector. The
rice export increased by around 45% in 2010 over
the corresponding period in 2009, benefited from
the recent rice production and export promotion
policy of the government. Manufacturing and agroindustry
sectors continue to grow. The garment
sector which was severely affected by the 2009
crisis grew by approximately 30% in 2010. Tourism
sector also has a high potential for growth. The
tourist arrivals in Cambodia increased by 16% to be
2.5 million tourists in 2010.
Along with the world economic recovery, Cambodia
economy is expected to further accelerate in
2011. The government, international development
agencies and research institutes forecast the
economic growth within the range from 6% to 7%.
The better economic performance in 2011 is driven
by an improvement of paddy sector, a significant
recovery of garment industry, a continued growth
momentum in the agro-industry, and enhanced
performance in the service sector.
Key Economic Indicator
Key Economic Indicator 2011f 2010e 2009 2008 2007
Growth and Consumer Prices
GDP Growth (% change, yoy) 6.0 5.5 0.1 6.7 10.2
Nominal GDP (US$ million) 12,538 11,315 10,391 10,286 8,754
GDP per Capita (US$) 861 788 739 739 593
Consumer Price Index (% change, yoy) 4.0 4.0 5.3 12.5 14.0
Trade and Investment
Export(US$ million) 5,689 4,947 4,196 4,708 4,088
Import(US$ million) 7,040 6,384 5,830 6,508 5,432
Foreign Direct Investment (US$ million) 666 553 511 795 866
Microfinance Institution “Amret” Annual Report 2010 12

Public Sector
Government Revenue (% of GDP) 13.0 12.1 11.5 12.6 11.5
Government Expenses (% of GDP) 17.8 17.6 17.8 15.1 14.4
Financial Market
Liquidity (US$ billion) 5.6 4.8 3.89 2.83 2.82
Credit to Private Sector (% change, yoy) NA 28 5 53 79
Deposit (% change, yoy) NA 27 32 2 77
Credit by MFI (% change, yoy) NA 43 8 73 74
Exchange Rate (KHR/US$, eop) 4,161 4,050 4,169 4,081 4,003
e= estimation
f= forecast
Source: NIS (2007-2009), EIC (2010-2011), National Bank of Cambodia (2007-2010), Cambodia Microfinance Association (2010)
2- Financial Sector Developments
The number of licensed MFIs has now reached 25,
up from 20 in 2009. By the end of 2010, total lending
and the number of clients from the kingdom’s 25
microfinance institutions increased dramatically by
40% and 21% respectively, compared to year end
2009.
In addition, the number of portfolios deemed at-risk
and non-performing loans of the industry decreased
to 1.07%, down from 2.85% in 2009.
Besides loan products, some MFIs are pushing
savings to finance their growth as the number of
Microfinance Taking Deposit is increasing. Since the
beginning of 2009, there have been five Microfinance
Institutions that have received a license for taking
deposits (two in 2009 and 3 in 2010), and a few
other MFIs are proposing to do so to National Bank
of Cambodia. Looking at the deposit side, from the
total deposit outstanding, 171 billion Riels ( US$ 42
million) had been collected from 240,153 depositors
by the end of 2010 which represents four times and
43% increase respectively from 2009.
The financial sector suffered a severe setback
during the height of the crisis in 2009. However, by
the middle of 2010 the business activity came back
strongly with a signal of an improving domestic
economy. Having somewhat recovered from the
crisis, the portfolio quality of MFIs had noticeably
become better, and an over liquidity situation is no
longer a challenge for those institutions as in 2009,
which was the time the interest rate of those MFIs
had been reduced to ease the disbursement and
attract good clients.
* Source: National Bank of Cambodia
3- Lending Performance
Amret has been delivering comprehensive credit
packages, including solidarity credit (joint-liability
group loan) and individual credit (business loan,
consumption loan and home improvement loan)
that are specifically tailored to the needs of people
around the country for a better and more secure
future.
Loan
During 2010, Amret disbursed a total of 263,309
loans for KHR 332,427 million (US$ 82.02 million)
up from 241,507 loans and KHR 265,398 million
(US$ 63.66 million) last year, or growth 9.03% and
28.84% respectively. The reasons behind this are
the commitment of our staff to achieve company
targets, the good economic condition of Cambodia
(recovery from the recession in mid 2010), and the
product features of the loan like repayment method,
place to receive and to repay loan, duration of the
loan and the simplicity of our service to clients.
13
Annual Report 2010
Microfinance Institution “Amret”

Borrower
In terms of borrowers, Amret achieved 6.15%
growth from last year. The main proportion of the
clients between Solidarity Credit (SC) and Individual
Credit is still dominated by SC clients and is around
82.52%, down from 84.30% last year. Amret is still
focusing on micro and small loans in rural and semiurban
areas.
December
2010
December
2009
December
2008
Change In
2010
(% Δ)
2010
Key Indicators
Total Number of Borrowers 238,535 224,706 226,262 13,829 6.15%
Number of Borrowers SC 196,884 189,442 183,293 7,442 3.92%
Total Number of IC Borrowers 41,651 35,267 42,969 6,384 18.08%
Number of Borrowers ICBO 27,658 22,766 28,681 4,892 21.47%
Number of Borrowers ICFO 13,322 12,404 14,281 918 7.38%
Number of Borrowers
Bio digester 671 94 577 613.83%
Borrower Portfolio:
December 2010
• Number of SC Borrowers 82.54%
• Number of ICBO Borrowers 11.59%
• Number of ICFO Borrowers 5.58%
• Number of Bio Digester Borrowers 0.28%
December 2009
• Number of SC Borrowers 84.34%
• Number of ICBO Borrowers 10.14%
• Number of ICFO Borrowers 5.52%
(Loan Portfolio)
All value amounts are in million US dollars
December
2010
December
2009
December
2008
Change In
2010
(% Δ)
2010
Key Indicators
Total Loan Portfolio 66.65 53.15 55.66 13.50 25.40%
Portfolio SC 37.92 34.67 29.91 3.25 9.37%
Loan Portfolio IC Total 28.71 18.47 25.75 10.24 55.44%
Loan Portfolio ICBO Total 14.58 9.27 12.62 5.51 57.28%
Microfinance Institution “Amret” Annual Report 2010 14

Loan Portfolio ICBO in Riel 5.57 6.27 12.61 -0.70 -11.16%
Loan Portfolio ICBO in US$ 9.01 3.00 0.01 6.01 200.30%
Loan Portfolio ICFO Total 13.78 9.20 13.13 4.58 49.78%
Loan Portfolio ICFO in Riel 1.03 1.15 2.95 -0.12 -10.43%
Loan Portfolio ICFO in US$ 12.75 8.00 10.00 4.75 59.38%
Loan Bio digester Total 0.37 0.05 0.32 640.00%
Loan Bio digester in Riel 0.16 0.00 0.16
Loan Bio digester in US$ 0.21 0.05 0.16 320.00%
Loan Portfolio
December 2010
• Loan Portfolio SC 56.91%
• Loan Portfolio ICBO 21.86%
• Loan Portfolio ICFO 20.67%
• Loan Portfolio Bio Digester 0.55%
17.44%
17.31%
65.24%
December 2009
• Loan Portfolio SC 65.24%
• Loan Portfolio ICBO 17.44%
• Loan Portfolio ICFO 17.31%
4- Saving Mobilization
Trend of deposit performance
Deposit products are continuously updated by
integrating with new branch structures to meet the
needs of target customers and provide effective
customer service and customer satisfaction.
With a full rollout of Happy Account (savings account),
Wealthy Account (Fixed Deposit Account), and Goal
Account (Contractual Savings Account) within 50
branches in Amret, the total deposit balance of KHR
61,560 million (US$ 15.188 million) at the end of
2010 had increased sharply by 503% compared to
the balance of KHR 12,209 million (US$ 2.93million)
at the end of 2009. Moreover, number of accounts
increased from 3,293 in year 2009 to 21,600 in
year 2010.
15
Annual Report 2010
Microfinance Institution “Amret”

5- Other Financial Products and Service
Bio-digester loan:
By 2009, Amret has cooperated with National
Bio-digester Program (NBP), is a joint program
between MAFF and Netherlands Development
Organization (SNV), to contribute in a sustainable
rural development program in order to reinforce
an establishment of permanent and clean energy
sources in the rural communities of Cambodia.
A household bio-digester loan is designed to
particularly target a specific group of household
who need loans for improving household condition
through a creation of substitution of conventional
fuel sources (fuel wood, charcoal, kerosene, battery
charging), creating additional production of organic
fertilizer for fish feed or agricultural production,
improving health and hygiene due to reduced
indoor air pollution and better waste management
of dung and human waste, and reducing workload
for women in 2-3 hours per day.
Domestic Transfer:
By July 2010, Inter-Branch Money Transfer started
its pilot test with 17 selected branches including 1
branch in Phnom Penh and another 16 branches in
the 4 provinces of Kampong Cham, Kampot, Prey
Veng, and Svay Rieng.
As a result by Dec 2010, Amret had a total of 690
transactions, and the amount to be transferred was
US$ 256,020.
In order to meet customer demand within the current
market, Inter-Branch Money Transfer services will
be rolled-out faster with all Amret branches by the
end of Feb 2011.
Transfer Performance in 2010 (Jul-Dec)
The target group of bio-digester loans are the low or
middle income households who are residing in the
villages, districts or provincial towns, and having at
least 2 adult cows or 6 pigs or be able to collect
excrement of animal 20Kg per day.
Bio-digester
Microfinance Institution “Amret” Annual Report 2010 16

Risk Management
1- Organization to Face Risk
v Risk Management and Compliance Department
At the end of year 2009, the Risk Management
and Compliance Department (RCD) was created
for responding to growth, new challenges and
risks. The goal of RCD is to minimize risks for
long-term business activities by strengthening
the Internal Control capacity and its implementation
to identify and anticipate potential
risks to avoid any unexpected loss.
To achieve this goal, many practical tools were
developed and followed-up by three Units,
namely, Operational Risk Unit, Credit Risk Unit,
and Com-pliance Unit.
Besides creating a new department, Amret has
two other main committees to play important
roles in minimizing business risks. Those
committees are the Risk Management Committee
and Asset Liability Committee.
v Risk Management Committee
The Risk Management Committee was established
in 2003. The Risk Management Committee
focuses on general risks such as Operations,
Information Technology, Personnel, Strategy,
Finance, Environment, and Communications.
1- One director from Board (Mr. Christian BARON)
as Chairperson
2- General Manager as Member
3- Chief Operations Officer Member
4- All Heads of Departments as Members
The committee met two times during the year 2010
– in June and December, to identify any risks and
prepare action plans to reduce them. Significant
risks are highlighted to the Board of Directors
depending on their likelihood and impact to Amret
by the chairman of this committee.
The Risk Management Committee concluded
that, as a result of the risk mitigation strategies
implemented by management and BoD, the level of
risks was kept low and controlled.
v ALCO Committee
As financial risk become more and more important,
the Asset and Liability Management Committee was
set up in 2008. The purpose of Amret’s ALCO is to
monitor and advise on balance sheet management
to optimize return whilst ensuring that appropriate
levels of liquidity are maintained and that the
institution is not exposed to undue levels of interest
rate and capital risk.
The committee comprises of the following members:
1. Board Member (Mr. Steven Duchatelle)
Chairman
2. Board Member (Mrs. Marjorie Marasigan)
Member
3. General Manager Member
4. Chief Operations Officer Member
5. Head of Finance Member
6. Head of Risk Management and Compliance
Member
7. Head of Internal Audit Observer
8. Deputy Head of Finance Member
9. Treasury Manager Member
10. Economic Analyst Observer
11. Secretary to ALCO, Asset and Liability
Management Officer Secretary
The Committee meets every month at management
level, excluding two board members, and chaired
by the General Manager, and four times a year at
Board level.
v Audit Committee
The mission of the Audit Committee is to ensure the
effectiveness and efficiency of internal audit tasks
and the internal control system, and ensure the
adequacy of reporting and decision tools.
The committee comprises of:
q Board director, Mr. Adriaan Van der Pol
as Chairperson,
q Board director, Mr. Christian Baron
as Deputy Chairperson,
q General Manager as observer, and
q Head of Internal Audit as reporter
17
Annual Report 2010
Microfinance Institution “Amret”

The Audit Committee meets quarterly a year. The
Internal Audit Department reports to the committee
on finding issues for the year and provides
recommendations for improvement. The Audit
Committee approved an internal audit plan for
2011 in December 2010.
2- Credit Risk
Portfolio at Risk (PAR>30) takes into account the
value of all loans outstanding that have one or
more installments of principal or interest past due
more than 30 days. This item includes the entire
unpaid principal balance, including both past due
and future installments.
The overall performance of the portfolio quality is
improving in 2010. PAR has decreased from 3.71%
in December 2009 to 0.63% in December 2010.
The non-performing loan rate is improving in all
provincial offices where it had deteriorated in 2009.
The major reasons behind the good quality of the
portfolio are both internal and external factors.
The increase in employment, business activities
and income generation during 2010 economic
recovery has been a favorable factor concerning
the repayment capacity of the clients. At the same
time, to improve portfolio quality, management
has strengthened training methodology to new
credit agents, and improved loan assessment
methodology and credit policy in Amret as a whole.
One bad loan recovery unit and a committee were
set up to deal with delinquency problems.
Evolution of Portfolio at Risk (PAR) in US$’000
PAR December 2010 December 2009 December 2008
Total PAR (>30 days) 423 2,040 270
In percentage 0.63% 3.70% 0.49%
Solidarity Credit 247 730 20
In percentage 0.65% 2.01% 0.07%
Individual Credit 176 1,310 250
In percentage 0.61% 6.79% 0.98%
Evolution of Write-Off in US$’000
Write-off December 2010 December 2009 December 2008
Total Loan Portfolio 66,647 53.147 54.555
Total Write-Off 1,453 292.34 11.51
3- Financial Risk
Amret has large exposure of liability in US$ and
uses back-to-back mechanisms to hedge the
foreign exchange risk. Amret intends to decrease
the currency mismatch through development of
deposits in local currency, increasing its borrowing
capacity in local currency as well as increasing
lending in US$ for large loans.
In terms of liquidity, the prudent stance on loan
disbursement has led Amret to engage in active
liquidity management to avoid possible overliquidity.
In line with deposit growth, Amret is
strictly taking action on liquidity management by
establishing a back-up fund facility and liquidity
contingency plan.
Microfinance Institution “Amret” Annual Report 2010 18

4- Compliance Risk
Amret has recently made some major changes in
both its organization and structure to support the
growth and maintain the momentum.
The Risk Management Department created a
Compliance Unit to be in charge of anti-money
laundering and combating the financing of
terrorist activities. It is responsible for ensuring all
Amret’s Operations activities comply with internal
policies and procedures, and national regulations.
Moreover, it is also responsible for conducting a
regular compliance check on prudential ratios and
covenants of donors, creditors and shareholders.
5- Rating
Amret had contracted with several Rating Agencies
for doing credit ratings that were implemented by
Microfinanza from Italy and M-Cril from India. This
assignment was done in the fourth quarter of the
years 2008, 2009, and 2010.
Amret obtained rating grade A for the years 2007
and 2008 rated by Microfinanza, meaning that the
company has a strong capacity to meet its financial
obligations, has very good operations, and is stable
even if it were to be affected by major internal or
external events.
In year 2009 and 2010, Amret contracted with
M-Cril for Credit Rating and obtained the same grade
for both years, α−, meaning that the company is
reasonably safe and has good systems.
In conclusion, Amret has obtained the same grade
for the financial rating for the last four years, 2007-
2010
Moreover, in year 2010, Amret also contracted
with M-Cril for Social Rating and obtained grade
β, meaning that the Amret has a good level of
outreach, client friendly products, and respected
brand name.
19
Annual Report 2010
Microfinance Institution “Amret”

anch Network
Amret is operating in 15 provinces with 50 branches
across the country including Phnom Penh, the
capital of Cambodia. In 2010, Amret opened 4 new
branches: Chamkar Leu (Kampong Cham), Steung
Meanchey (Phnom Penh), Mongreusei (Battambang)
and Battambang (Battambang).
Branch network and operating areas
December
2010
December
2009
December
2008
Number of Operating Provinces* 15 14 14
Number of Operating Districts 100 91 75
Number of Provincial Offices** 9 7 7
Number of Branches 50 46 43
Number Of Village Associations (VA) 3,818 3,724 2,955
Microfinance Institution “Amret” Annual Report 2010 20

Organizational Chart, Staff, and Staff Development
21Organizational Chart
General Assembly
Board of Directors
Annual Report 2010
Risk Oversight
Committee
General Direction
Asset & Liability
Management Committee
Credit Risk
Committee
Operatationl Risk
Committee
Business Division
Operations
Department
Financial Audit Unit
Operational Audit
Unit
IT Audit Unit
Training
Department
Credit Department
CBS Training Unit
Finanacial Service
Relationship Unit
Branches
Credit Product
Training Unit
Financial Service
Development Unit
Audit Committee
Internal Audit
Department
Finance Department
Recruitment &
Selection Unit
Development Unit
Administration
Unit
Procurement Unit
Credit Risk Unit
Compliance Unit
IT
Department
Accounting Unit
Treasury Unit
Risk Management &
Compliance Department
Operational Risk
Unit
Software
Development Unit
Network
Administration Unit
Computer
Maintenance Unit
Customer
Service Unit
Human Resources
and Administration
Department
Financial Service
Department
Marketing
Department
Marketing Unit
Benefit and
Compensation Unit
Branch Set-Up Unit
Budget and Financial
Projection Unit
Financial Services
Training Unit
Market
Research Unit
Bad Loan
Recovery Unit
Planning Unit
Microfinance Institution “Amret”

Amret Staff
The number of Amret staff gradually grew to 1,288
staff members in 2010 from 964 in 2009.
At the end of 2010, there are 358 female staff
members, or 27.8 percent of the total staff.
Capacity Development
Since capacity development plays an important role
in strengthening staff to ensure working quality
in Amret, the Training Secretariat has organized
training for newly recruited staff on Amret’s basic
products and financial services. Amret also provides
training to existing staff ranging from the Generalized
Credit Agent to Provincial Manager on inception
training, coaching, refresher training and promotional
training programs.
Besides internal training within the company, each
staff member is also given an opportunity to attend
a short course or degree program. There were 94
training courses conducted during the year for
many staff. The training courses are related to
financial management, retail banking, management,
leadership, practical auditing and so on.
The staff turnover in 2010 is stable and recorded
at an acceptable rate of 8.4 percent, while it was
8 per cent in 2009 and 11.7 percent in 2008.
To be competitive with the labor market, the existing
human resource policies and procedures has been
improved such as Performance Appraisal, Incentive
Package, and Key Performance Indicators (KPIs)
Amret also sends some managers and staff on
study tours to learn best practices of microfinance
and banking from other well-experienced countries.
In order to strengthen relationships with other
institutions, Amret has also its own International
Visiting Program (IVP) to share experiences with
other international visitors from various institutions.
As result, in 2010, there were several groups from
Laos, Germany, Japan, and Vietnam.
Microfinance Institution “Amret” Annual Report 2010 22

23
Annual Report 2010
Microfinance Institution “Amret”

social & Environmental Responsibility
In line with our vision, Amret contributes to respect
for the Social and Environmental welfare both
internally and externally; hence, leading to sustainable
private sector development which stimulates the
sustainable economic growth of the country.
Amret is committed to providing healthy and
sustainable financial services, while enhancing the
environmental and social ethics toward our clients,
staff and community.
v Amret has developed the Social and Environmental
policy which is to offer a guideline that
Amret can implement to minimize the negative
impacts on the society and environment.
v Loan for Bio-digester is another program serving
the reduction of deforestation, natural resource
degradation and greenhouse gas emissions -
methane (CH4), causing the global warming.
On top of that the waste from the process biodigester
energy can be used to fertilize soil that
helps the farmer households’ economy as well.
In 2010, Amret disbursed a total of 671 loans
for Bio-digester for a total of US$ 359,257 with
226 females who led and used renewal energy
to reduce GHG emission.
v We conduct courses for raising awareness of
social and environmental concepts for all
newly recruited and existing staff, both at
headquarters and branches, aimed at upgrading
their knowledge of society and environment
risk/impact. The courses include useful topics
such as usage of paper and water, energy
consumption, waste management, health and
safety working practices, Social Performance
Management (SPM), and E&S aspects which
are relevant to MFI’s activities.
Social ethics is another issue of concern in addition
to the environment. Amret enforces social ethical
practice within our organization from the management
to the staff level. To maintain this practice, Amret
rigorously adopts key principles such as:
v
v
v
v
Amret has a corporate culture, Anti-Money
Laundering (AML) policy and Human Resource
Management policies including Internal Rule,
Disciplinary & Grievance Policy, Leave Policy,
Salary Policy, Incentive Policy, Provident Fund
Policy, Performance Appraisal Policy, Insurance
Policy, Recruitment Policy, Internship Policy,
and Sexual Harassment Policy to ensure all
staff are treated fairly, and to enforce a common
relationship among staff as well as toward clients
and the community as a whole.
Amret pays attention to health and safety of all
staff. We have a full time nurse to provide
first aid and medical treatment and to coordinate
insurance claims for employees. All departments
and branches are equipped with fire-fighting
equipment and a fire hose. We trained our staff
both in Head Office and branches to know how
to use and to keep fire-fighting equipment
safely.
Amret has Shop Stewards elected by employees
solely responsible for presenting to the employer
and labor inspectors all complaints, criticisms
and grievances; making sure that the provisions
relating to health and safety of work are
enforced; and suggesting measures that would
be beneficial to contributing towards protecting
and improving health, safety and working
conditions.
Rejecting discrimination against skin color,
religion, sex, and political allegiances, and only
focusing on their competence and morals,
Amret provides equal opportunities to staff and
public to apply for new and high positions in
Amret. On top of that Amret is promoting
gender equality by setting a target number of
female staff to be selected per year to be in
balance with male staff number.
Microfinance Institution “Amret” Annual Report 2010 24

v As part of social responsibility toward
communities, we participated in charity
programs such as offering financing and gifts
in kind to national events such as the
Water Festival, Red Cross, Krousar Thmei, PSE
organization, and cooperation with SIPAR, a
French NGO that has set up and developed
programs in the field of education in Cambodia
for 20 years, focusing on literacy and library
services for both the formal and non-formal
education sector. Amret provided 41 group
and 15 individual internships for thesis
research, and supported 64 volunteers (45
female and 19 male) who were students
from various domestic universities and academic
institutions as well as international organizations
to learn and to get real practical experience
from the institution.
v
Amret has always been responsive to changing
market demand and has prioritized the needs
of clients while refining existing products or
developing new products. In responding to
this, Amret regularly conducts some survey
projects such as client satisfaction surveys and
exit surveys to follow up the evolution of client
need as well as to identify complaints from
clients, and to find out the reason why clients
left Amret. As part of our social responsibility
toward clients, we have diversified more
products to respond to clients’ needs; in practice,
we offer saving, money transfer and money
exchange for existing clients. We joined a
World Bank project to offer financial services to
SME Agriculture.
25
Annual Report 2010
Microfinance Institution “Amret”

Our Clients
Trying hard will achieve results one day. It is a
saying that emerges from one family in Svay
Village, Rokar Commune, Kandal Steung District,
Kandal Province. Mrs. Sao Laiy, 51 years old and
her husband Mr. Moun Sokha, 52 years old, are
parents of 5 children, 2 boys and 3 girls. Their
main occupation is farming, and they have a few
small irregular substitution business activities. With
support from Amret for years, her family’s living
standard has strongly improved.
In 1993, her family joined a liability group from
Amret to access a micro-loan of KHR 200,000 in
order to buy fertilizer for farming. By having a clear
business plan, her family seems to be successful
with the business and she continued onto the
second cycle of the loan of KHR 500,000 in order
to buy fertilizer for a hectare of farm land, and to
buy a machine for offering battery charging service
to generate more income. With this fruitful process,
she started to increase the loan amount up to KHR
1,000,000 in the third cycle to start up their new
business by purchasing equipment such as tables,
chairs, utensils and so on, for offering hiring service.
Currently she is borrowing an individual loan of US$
500. Furthermore, she stated that she can save
approximately KHR 10 million per annum.
As result of their clear business plan, industry,
and high commitment, as well as the support from
Amret, the family has become the outstanding
farmer and small entrepreneur in the village.
Currently, her family owns three machines (one for
battery charging and another two for hiring service),
a truck, a motorbike, and a new appropriate house.
Her oldest son and daughter have been married,
the third daughter is running her own business as a
tailor, the fourth and the youngest children are sent
to high school, grade 11 and grade 9. She added
that she planned for her children to have access
to schooling in order to gain higher education,
Bachelor or Master Degree.
Microfinance Institution “Amret” Annual Report 2010 26

27
Annual Report 2010
Microfinance Institution “Amret”

Audited Financial Statements
and Auditor’s Report
As at 31 December 2010
29. Report of the Board of Directors
32. Report of the Independent Auditors
34. Balance Sheet
35. Income Statement
36. Statement of Changes in Equity
37. Statement of Cash Flows
38. Notes to the Financial Statements
Microfinance Institution “Amret” Annual Report 2010 28

REPORT OF THE BOARD OF DIRECTORS
The Board of Directors of Amret Co., Ltd. (“the
Company” or “Amret”) is pleased to present its
report and the Company’s financial statements as
at and for the year ended 31 December 2010.
THE COMPANY
Amret was initially established in 1991 as an
experimental project by the French NGO Groupe de
Recherche et d’ Echanges Technologiques (“GRET”).
All assets, liabilities and reserves of the Project
were transferred to Amret on 1 July 2000.
The Company has become a licensed micro-finance
institution (“MFI”) after being duly registered with
the Ministry of Commerce as a private limited liability
company under registration number Co. 820/00E
dated 10 July 2000. In 2001, Amret received its first
MFI license from the National Bank of Cambodia.
On 27 April 2007, the National Bank of Cambodia
(“NBC”) renewed its license to conduct microfinance
business for an indefinite period following
NBC Prakas B7-06-209 dated 13 September 2006.
On 22 January 2009, NBC also granted Amret the
license to become a micro-finance deposit-taking
institution.
RESULTS OF OPERATIONS AND DIVIDENDS
The net profit for the year ended 31 December 2010
was KHR20,025 million (2009: KHR13,675 million).
On 21 June 2010, the Board of Directors declared
dividends amounting to KHR2,051 million representing
15% of 2009 net profit of KHR13,675
million.
RESERVES AND PROVISIONS
There were no material movements to or from
reserves and provisions during the year other than
those disclosed in the financial statements.
BAD AND DOUBTFUL LOANS
Before the financial statements of the Company
were drawn up, the directors took reasonable steps
to ascertain that action had been taken in relation
to the writing off of bad loans and the making of
provisions for bad and doubtful loans, and satisfied
themselves that all known bad loans had been
written off and that adequate provisions had been
made for bad and doubtful loans.
At the date of this report, the directors are not
aware of any circumstances which would render
the amount written off for bad loans or the amount
of the provision for bad and doubtful loans in the
financial statements of the Company inadequate to
any material extent.
CURRENT ASSETS
Before the financial statements of the Company
were drawn up, the directors took reasonable steps
to ascertain that any current assets, other than
loans, which were unlikely to be realized in the
ordinary course of business at their value as shown
in the accounting records of the Company, have
been written down to an amount which they might
be expected to realize.
At the date of this report, the directors are not
aware of any circumstances which would render
the values attributed to the current assets in the
financial statements of the Company misleading in
any material respect.
VALUATION METHODS
At the date of this report, the directors are not aware
of any circumstances that have arisen which would
render adherence to the existing method of valuation
of assets and liabilities in the financial statements
of the Company misleading or inappropriate in any
material respect.
CONTINGENT AND OTHER LIABILITIES
At the date of this report, there is:
v no charge on the assets of the Company which
has arisen since the end of the financial year
which secures the liabilities of any other person;
and
29
Annual Report 2010
Microfinance Institution “Amret”

v no contingent liability in respect of the Company
that has arisen since the end of the financial
year other than in the ordinary course of microfinance
business.
No contingent or other liabilities of the Company
have become enforceable, or is likely to become
enforceable within the period of twelve months after
the end of the financial period which, in the opinion
of the directors, will or may have a material effect
on the ability of the Company to meet its obligations
as and when they become due.
CHANGE OF CIRCUMSTANCES
At the date of this report, the Board of Directors is
not aware of any circumstances, not otherwise dealt
with in this report or the financial statements of the
Company, which would render any amount stated in
the financial statements misleading.
ITEMS OF UNUSUAL NATURE
The results of the operations of the Company for
the financial period were not, in the opinion of the
Board of Directors, substantially affected by any
item, transaction or event of a material and unusual
nature.
There has not arisen in the interval between the end
of the financial period and the date of this report
any item, transaction or event of a material and
unusual nature likely, in the opinion of the Board of
Directors, to affect substantially the results of the
operations of the Company for the current financial
period in which this report is made.
EVENTS SINCE THE BALANCE SHEET DATE
No significant events occurred after the balance
sheet date requiring disclosure or adjustment other
than those already disclosed in the accompanying
notes to the financial statements.
THE BOARD OF DIRECTORS
The members of the Board of Directors during the
year and at the date of this report are:
Dr. Claude Falgon Chairman; Director of Advans
S.A., SICAR
Mr. Chea Phalarin Director and General Manager of
the Company
Mr. Steven Duchatelle Director; Head of Investment
Unit in Horus Development Finance
Mr. Adriaan Van Der Pol Director; Managing Director
for Financial Service, Banking and Financial Institutions
and SR Consultant
Ms. Marjorie Marasigan Director; Country Manager
of Oikocredit Philippines
Mr. Emerson Mar Director; Director of Training and
Resource Mobilization of Integrating Human to
Quality, appointed on 26 February 2010
Mr. Christian Baron Director; Program Manager of
the “Microfinance and Small Enterprise Development”
of Groupe de Recherche et d’ Echanges Technologiques
in France, resigned effective 30 September 2010
Mr. Patrice Mollie Director; Consultant, Representative
for Proparco, resigned effective 26 March 2010
AUDITORS
The auditors, Ernst & Young (Cambodia) Ltd., have
expressed their willingness to accept reappointment
as auditors.
DIRECTORS’ INTERESTS
No members held any interest in the equity of the
Company. No arrangements existed to which the
Company is a party with the object of enabling the
members to obtain an interest in the Company or in
any body corporate.
DIRECTORS’ BENEFITS
During and at the end of year, no arrangement
existed, to which the Company was a party, whose
object was to enable the directors of the Company
to acquire benefits by means of the acquisition of
shares in or debentures of the Company or any
other body corporate.
Microfinance Institution “Amret” Annual Report 2010 30

No director of the Company has received or become
entitled to receive any benefit (other than a benefit
included in the aggregate amount of emoluments
received or due and receivable by the directors as
disclosed in the financial statements) by reason of a
contract made by the Company or with a firm which
the director is a member, or with a Company which
the director has a material financial interest other
than those disclosed in the financial statements.
STATEMENT OF THE BOARD OF DIRECTORS’
RESPONSIBILITY IN RESPECT OF THE FINANCIAL
STATEMENTS
The Board of Directors is responsible for ensuring
that the financial statements give a true and fair
view of the financial position of the Company as at
31 December 2010, and of its financial performance
and its cash flows for the year then ended. The Board
of Directors oversees preparation of the financial
statements by Management who is required to:
v adopt appropriate accounting policies which are
supported by reasonable and prudent judgments
and estimates and then apply them consistently;
Management is responsible for ensuring that proper
accounting records are kept which disclose, with
reasonable accuracy at any time, the financial
position of the Company and to ensure that the
accounting records comply with the registered
accounting system. It is also responsible for
safeguarding the assets of the Company and hence
for taking reasonable steps for the prevention and
detection of fraud and other irregularities.
The Board of Directors confirms that the Company
has complied with these requirements in preparing
the financial statements.
APPROVAL OF THE FINANCIAL STATEMENTS
We hereby approve the accompanying financial
statements which give a true and fair view of the
financial position of the Company as at 31 December
2010, and of its financial performance and its cash
flows for the year then ended, in accordance with
Cambodian Accounting Standards and relevant
regulations and guidelines issued by NBC.
On behalf of the Board of Directors
v comply with Cambodian Accounting Standards,
and relevant regulations and guidelines issued
by NBC or, if there has been any departure in
the interests of fair presentation, ensure this
has been appropriately disclosed, explained
and quantified in the financial statements;
v maintain adequate accounting records and an
effective system of internal controls;
v prepare the financial statements on a going
concern basis unless it is inappropriate to assume
that the Company will continue operations in
the foreseeable future; and
Mr. Chea Phalarin
General Manager
Phnom Penh, Kingdom of Cambodia
23 March 2011
v set overall policies for the Company, ratify all
decisions and actions by the Board of Directors
that have a material effect on the operations
and performance of the Company, and ensure
they have been properly reflected in the
financial statements.
31
Annual Report 2010
Microfinance Institution “Amret”

INDEPENDENT AUDITORS’ REPORT
Reference: 14444013-60777058
To: The Shareholders and the Board of
Directors of Amret Co., Ltd.
We have audited the accompanying financial
statements of Amret Co., Ltd. (“the Company”),
which comprise the balance sheet as at 31 December
2010, the income statement, statement of changes
in equity and statement of cash flows for the year
then ended, and a summary of significant accounting
policies and other explanatory information.
Management’s responsibility for the
financial statements
The Company’s management is responsible for
the preparation and fair presentation of these
financial statements in accordance with Cambodian
Accounting Standards and relevant regulations and
guidelines issued by the National Bank of Cambodia,
and for such internal control as management
determines is necessary to enable the preparation
of financial statements that are free from material
misstatement, whether due to fraud or error.
Auditors’ responsibility
Our responsibility is to express an opinion on
these financial statements based on our audit. We
conducted our audit in accordance with Cambodian
International Standards on Auditing. Those standards
require that we comply with ethical requirements
and plan and perform the audit to obtain reasonable
assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain
audit evidence about the amounts and disclosures
in the financial statements. The procedures selected
depend on the auditors’ judgment, including the
assessment of the risks of material misstatement
of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditors
consider internal control relevant to the Company’s
preparation and fair presentation of the financial
statements in order to design audit procedures
that are appropriate in the circumstances, but not
for the purpose of expressing an opinion on the
effectiveness of the Company’s internal control. An
audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness
of accounting estimates made by the management,
as well as evaluating the overall presentation of the
financial statements.
We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for
our audit opinion.
Opinion
In our opinion, the financial statements give a true
and fair view of the financial position of the Company
as at 31 December 2010, and of its financial
performance and cash flows for the year then
ended in accordance with Cambodian Accounting
Standards and relevant regulations and guidelines
issued by the National Bank of Cambodia.
Maria Cristina M. Calimbas
Partner
Ernst & Young (Cambodia) Ltd.
Certified Public Accountants
Registered Auditors
23 March 2011
Microfinance Institution “Amret” Annual Report 2010 32

33
Annual Report 2010
Microfinance Institution “Amret”

BALANCE SHEET
as at 31 December 2010
Assets
Notes
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Cash on hand 3 9,430,111 2,326,699 8,222,550 1,972,308
Balances with NBC 4 35,093,438 8,658,633 40,689,743 9,760,073
Balances with other banks 5 23,656,410 5,836,765 5,695,045 1,366,046
Placements with a bank 6 7,092,750 1,750,000 18,856,495 4,523,025
Loans and advances - net 7 268,404,155 66,223,576 213,359,202 51,177,549
Other assets 8 7,051,012 1,739,702 6,350,222 1,523,199
Deferred tax assets - net 25(IV) 787,203 194,227 879,162 210,881
Intangible assets 9 39,238 9,681 42,314 10,150
Property and equipment 10 2,682,224 661,787 2,198,129 527,256
Total assets 354,236,541 87,401,070 296,292,862 71,070,487
Liabilities and shareholders’
equity
Liabilities
Deposits from customers 11 61,559,853 15,188,713 12,208,997 2,928,519
Bank overdraft 12 7,825,257 1,930,732 - -
Borrowings 13 176,529,581 43,555,288 197,853,999 47,458,383
Income tax liability 25 4,367,253 1,077,536 3,211,519 770,333
Other liabilities 14 8,699,385 2,146,406 7,773,831 1,864,676
Subordinated debt 16 4,032,971 995,058 4,032,971 967,371
Provision for retirement
benefits 17 4,970,726 1,226,431 3,988,391 956,678
Total liabilities 267,985,026 66,120,164 229,069,708 54,945,960
Liabilities and shareholders’
Share capital 18 11,379,120 2,807,580 10,242,500 2,456,824
Share premium 18 5,535,835 1,365,861 5,618,423 1,347,667
Retained earnings 62,102,950 15,322,712 45,846,830 10,997,081
Statutory reserve 18 2,285,868 563,994 2,285,868 548,301
Currency risk reserve 18 1,892,982 467,057 1,653,068 396,514
Legal reserve 18 1,137,912 280,758 1,024,250 245,682
Capital strengthening
reserve 18 1,916,848 472,944 552,215 132,458
Total shareholders’ equity 86,251,515 21,280,906 67,223,154 16,124,527
Total liabilities and
shareholders’ equity 354,236,541 87,401,070 296,292,862 71,070,487
Microfinance Institution “Amret” Annual Report 2010 34

INCOME STATEMENT
for the year ended 31 December 2010
Operating income
Notes
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Interest income 19 83,654,633 20,640,176 83,948,312 20,136,319
Interest expense 20 (19,282,332) (4,757,546) (21,942,876) (5,263,343)
Net interest income 64,372,301 15,882,630 62,005,436 14,872,976
Fees and commission
income 21 157,259 38,801 37,028 8,882
Fees and commission
expense 22 (4,698,260) (1,159,206) (5,174,882) (1,241,277)
Net fees and commission
income (4,541,001) (1,120,405) (5,137,854) (1,232,395)
Other operating income 23 1,087,247 268,258 376,953 90,418
Total operating income 60,918,547 15,030,483 57,244,535 13,730,999
Operating and other
expenses 24 (35,781,873) (8,828,490) (32,586,050) (7,816,275)
Operating profit 25,136,674 6,201,993 24,658,485 5,914,724
Grant income 14 353,985 87,339 546,779 131,153
Allowance for losses on
loans and advances 7(a) (93,294) (23,019) (7,998,289) (1,918,515)
Profit before tax 25,397,365 6,266,313 17,206,975 4,127,362
Income tax expense 25 (5,371,829) (1,325,396) (3,532,264) (847,269)
Net profit for the year 20,025,536 4,940,917 13,674,711 3,280,093
35
Annual Report 2010
Microfinance Institution “Amret”

STATEMENT OF CHANGES IN EQUITY
for the year ended 31 December 2010
Share
capital
Share
premium
Statutory
reserves
Currency
risk reserve
Legal
reserve
Capital
strengthening
reserve
Retained
earnings Total
KHR’000 KHR’000 KHR’000 KHR’000 KHR’000 KHR’000 KHR’000 KHR’000
As at 1 January 2010 10,242,500 5,618,423 2,285,868 1,653,068 1,024,250 552,215 45,846,830 67,223,154
Issuance of share capital
(Note 18) 216,250 837,782 - - - - - 1,054,032
Transfer from share
premium to share
capital (Note 18) 920,370 (920,370) - - - - - -
Transfers to currency
risk, legal and capital
strengthening reserves - - - 239,914 113,662 1,364,633 (1,718,209) -
Dividends (Note 15) - - - - - - (2,051,207) (2,051,207)
Net profit - - - - - - 20,025,536 20,025,536
As at 31 December 2010 11,379,120 5,535,835 2,285,868 1,892,982 1,137,912 1,916,848 62,102,950 86,251,515
US$ equivalent (Note 2.3.1) 2,807,580 1,365,861 563,994 467,057 280,758 472,944 15,322,712 21,280,906
As at 1 January 2009 10,242,500 5,618,423 2,285,868 1,441,028 817,047 - 35,249,147 55,654,013
Transfers to currency
risk, legal and capital
strengthening reserves - - - 212,040 207,203 552,215 (971,458) -
Dividends (Note 15) - - - - - - (2,105,570) (2,105,570)
Net profit - - - - - - 13,674,711 13,674,711
As at 31 December 2009 10,242,500 5,618,423 2,285,868 1,653,068 1,024,250 552,215 45,846,830 67,223,154
US$ equivalent (Note 2.3.1) 2,456,824 1,347,667 548,301 396,514 245,682 132,458 10,997,081 16,124,527
Microfinance Institution “Amret” Annual Report 2010 36

STATEMENT OF CASH FLOWS
for the year ended 31 December 2010
Notes
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Net cash generated from
operating activities 26 34,222,864 8,443,834 29,933,858 7,180,104
Investing activities
Purchase of property and
equipment 10 (1,862,231) (459,470) (1,674,304) (401,608)
Proceeds from disposal of
property and equipment 39,999 9,869 2,600 624
Net cash used in
investing activities (1,822,232) (449,601) (1,671,704) (400,984)
Financing activities
Proceeds from borrowings 104,009,556 25,662,363 106,362,401 25,512,689
Repayment of borrowings (125,333,973) (30,923,753) (119,140,474) (28,577,710)
Proceeds from shares
issued 18 1,054,032 260,062 - -
Dividends paid 15 (2,051,207) (506,096) (2,105,570) (505,054)
Net cash used in
financing activities (22,321,592) (5,507,424) (14,883,643) (3,570,075)
Net increase in cash and
cash equivalents 10,079,040 2,486,809 13,378,511 3,209,045
Cash and cash equivalents
at beginning of year 3 28,266,338 6,780,124 14,887,827 3,648,083
Net exchange difference - 194,053 - (77,004)
Cash and cash
equivalents
at end of year 3 38,345,378 9,460,986 28,266,338 6,780,124
37
Annual Report 2010
Microfinance Institution “Amret”

NOTES TO THE FINANCIAL STATEMENTS
as at and for the year ended 31 December 2010
1. CORPORATE INFORMATION
Mr. Steven Duchatelle
Director
Amret Co., Ltd. (“the Company” or “Amret”), a licensed
micro-finance institution (“MFI”), was incorporated
and registered in the Kingdom of Cambodia.
Establishment and operations
Amret was initially established in 1991 as an
experimental project by the French NGO Groupe de
Recherche et d’ Echanges Technologiques (“GRET”).
All assets, liabilities and reserves of the experimental
project were transferred to Amret on 1 July 2000.
The Company has become a licensed MFI after
being duly registered with the Ministry of Commerce
as a private limited liability company under registration
number Co. 820/00E dated 10 July 2000.
In 2001, Amret received its first MFI license from
the National Bank of Cambodia (“NBC”). On 27 April
2007, NBC renewed the license of the Company to
conduct micro-finance business for an indefinite
period following NBC Prakas B7-06-209 dated 13
September 2006. On 22 January 2009, NBC also
granted Amret the license to become a microfinance
deposit-taking institution.
The Company’s main activities are to provide microfinance
services to the economically active low
income population of Cambodia through its head
office in Phnom Penh and its various branches in
the Kingdom of Cambodia.
Paid-up capital
The actual paid-up capital of the Company as at 31
December 2010 is KHR’000 16,914,955.
Board of Directors
The members of the Board of Directors (“BOD”)
during the year and at the date of this report, except
mentioned otherwise, are:
Dr. Claude Falgon
Chairman
Mr. Chea Phalarin
Director and
General Manager
Mr. Adriaan Van Der Pol Director
Ms. Marjorie Marasigan Director
Mr. Emerson Mar
Director, appointed
on 26 February 2010
Mr. Christian Baron Director, resigned
effective
30 September 2010
Mr. Patrice Mollie
Director, resigned
effective
26 March 2010
Location
The head office of the Company is located at No.
35BA – 35BB – 35BC, E0 – E4, Street 169, Sangkat
Vealvong, Khan 7 Makara, Phnom Penh, Kingdom of
Cambodia.
Employees
As at 31 December 2010, the Company has a total
of 1,288 employees (2009: 964 employees).
2. SIGNIFICANT ACCOUNTING POLICIES
2.1 Basis of preparation
The financial statements of the Company have been
prepared on the historical cost basis. The financial
statements are presented in Khmer Riel (“KHR”);
and all values are rounded to the nearest KHR
thousand, except when otherwise indicated.
The Company maintains its records in KHR.
Transactions in currencies other than KHR are
translated into KHR at the exchange rate ruling at
the date of the transaction. Monetary assets and
liabilities denominated in currencies other than KHR
at the balance sheet date are translated into KHR at
the rates of exchange ruling at that date. Exchange
differences arising on translation are recognized in
the income statement.
Microfinance Institution “Amret” Annual Report 2010 38

2.1.1 Presentation of financial statements
The financial statements of the Company have been
prepared in accordance with Cambodian Accounting
Standards and relevant regulations and guidelines
of NBC.
The accompanying financial statements, including
their utilization, are not designed for those who
are not informed about the Kingdom of Cambodia’s
accounting principles, procedures and practices
and furthermore are not intended to present the
financial position and results of operations and cash
flows in accordance with accounting principles and
practices generally accepted in countries other than
the Kingdom of Cambodia.
The accounting policies set out below have been
consistently applied by the Company during the
year.
2.2 Significant accounting judgments
and estimates
In applying the Company’s accounting policies,
management has used its judgment and made
estimates in determining the amounts recognized
in the financial statements, as follows:
2.2.1 Impairment losses on loans and
advances to customers
When preparing the financial statements, the
quality of loans and advances is reviewed and
assessed to determine their classification and level
of impairment losses (see Note 2.3.10.1).
2.2.2 Retirement benefits
Retirement benefits liability is determined under
a defined benefit plan. The obligation is measured
based on the service costs to reporting date (see
Note 2.3.14).
2.3 Summary of significant accounting
Policies
2.3.1 Foreign currency translation
The Company’s functional and presentation currency
is KHR.
The translation of KHR into United States dollar
(“US$”) is solely for management’s use only and is
based on the closing exchange rate of KHR4,053 per
US$1 ruling at the reporting date (2009: KHR4,169:
US$1), as announced by NBC. Such translation
should not be construed as a representation that
the KHR amounts represent, or have been or could
be, converted into US$ at that or any other rate.
2.3.2 Financial instruments – initial
recognition and subsequent
measurement
2.3.2.1 Initial recognition of financial
instruments
The classification of financial instruments at initial
recognition depends on the purpose for which
the financial instruments were acquired and
their characteristics. All financial instruments are
measured initially at their fair value plus, in the
case of financial assets and financial liabilities not
at fair value through profit and loss, any directly
attributable incremental costs of acquisition or
issue.
2.3.2.2 Financial assets
The Company’s financial assets include cash and
short-term deposits, balances with NBC and other
banks, loans and advances to customers and other
receivables.
2.3.2.3 Loans and advances
“Loans and advances” are financial assets with fixed
or determinable payments and fixed maturities
that are not quoted in active market. They are
not entered into with the intention of immediate
or short-term resale and are not classified as
“financial investments held-for-trading”, designated
as “Financial investments - available-for-sale” or
“financial assets designated at fair value through
profit and loss”. After initial measurement, loans and
advances to customers are subsequently measured
at the amount of principal less any amounts written
off and provisions for losses on loans.
2.3.2.4 Financial liabilities
The Company’s financial liabilities include deposits
from customers, borrowings, debts and certain
other payables.
2.3.3 Financial instruments - derecognition
2.3.3.1 Financial assets
A financial asset (or, where applicable a part of a
group of similar financial assets) is derecognized
where:
39
Annual Report 2010
Microfinance Institution “Amret”

v the rights to receive cash flows from the assets
have expired; or
v the Company has transferred its rights to
receive cash flows from the assets or has
assumed an obligation to pay received cash
flows in full without material delay to a third
party under a “pass-through” arrangement; and
either (a) the Company has transferred
substantially all the risks and rewards of the
assets, or (b) the Company has neither
transferred nor retained substantially all the
risks and rewards of the assets, but has
transferred control of the asset.
2.3.3.2 Financial liabilities
A financial liability is derecognized when the
obligation under the liability is discharged or
cancelled or expires. When an existing financial
liability is replaced by another form by the same
lender on substantially different terms, or the terms
of an existing liability are substantially modified,
such an exchange or modification is treated as
a derecognition of the original liability and the
recognition of a new liability, and the difference in
the respective carrying amounts is recognized in
the income statement.
2.3.4 Determination of fair value
For financial instruments of the Company that
are not listed in an active market, the fair value
is determined by using appropriate valuation
techniques. Valuation techniques include net
present value techniques, market observable price
list, and other relevant valuation models.
2.3.5 Impairment of financial assets
The Company assesses at each balance sheet
date whether there is any objective evidence that
a financial asset or a group of financial assets is
impaired. A financial asset or a group of financial
assets (except loans and advances to customers,
see Note 2.3.10) is deemed to be impaired if, and
only if, there is objective evidence of impairment
as a result of one or more events that has occurred
after the initial recognition of the asset (an incurred
“loss event”) and that loss event (or events) has an
impact on the estimated future cash flows of the
financial assets or the group of financial assets that
can be reliably estimated.
2.3.6 Offsetting financial instruments
Financial assets and financial liabilities are offset
and the net amount reported in the balance sheet
if, and only if, there is a currently enforceable legal
right to offset the recognized amounts and there is
an intention to settle on a net basis, or to realize
the asset and settle the liability simultaneously.
This is not generally the case with master netting
agreements, and the related assets and liabilities
are presented gross in the balance sheet.
2.3.7 Operating leases
Payments made under operating leases are
recognized in the income statement on a straightline
basis over the term of the lease.
2.3.8 Cash and cash equivalents
For cash flow statement purposes, cash and cash
equivalents consist of cash and bank balances,
demand deposits and short- term highly liquid
investments with maturities of three months or less
when purchased, and that are readily convertible
to known amounts of cash and subject to an
insignificant risk of changes in value.
2.3.9 Balances and placements with banks
Balances and placements with banks are carried at cost.
2.3.10 Loans and advances
Loans and advances to customers are stated in the
balance sheet as the amount of principal less any
amounts written off and provisions for losses on
loans.
Loans are written off when there is no realistic
prospect of recovery. Any recovery of loans and
advances previously provided for decreases the
amount of the allowance for losses on loans and
advances charged to the income statement.
Loans classified as substandard, doubtful or loss are
considered as non-performing.
Loan classifications and provisions for losses on loans.
The Company follows the mandatory credit classification
and provisioning as required by NBC Prakas
No. B7-02-186 dated 13 September 2002. The
Prakas requires licensed micro- finance institutions
Microfinance Institution “Amret” Annual Report 2010 40

to classify their loan portfolio into four classes based
on number of days past due of principal and/or
interest repayment. The mandatory level of specific
provisioning is provided depending on the loan
classification, regardless of the assets (except cash)
pledged as collateral, as follows:
Classification number of days past due rate of provision
CLoans (less than one year)
v Standard Nil to less than 30 days 0%
v Substandard 30 days or more but less than 60 days 10%
v Doubtful 60 days or more but less than 90 days 30%
v Loss 90 days or more 100%
Loans (more than one year)
v Standard Nil to less than 30 days 0%
v Substandard 30 days or more but less than 180 days 10%
v Doubtful 180 days or more but less than 360 days 30%
v Loss 360 days or more 100%
Additionally, the Company also makes a general risk
provision by providing for any difference between
100% of the portfolio at risk (past due loans for
30 days or more) and the mandatory specific
level of provisioning as required by NBC above.
Management believes that this more reasonably
reflect the provision necessary to absorb risks
relating to problems in the macroeconomic
environment, natural disasters, and widespread
deterioration in rural household income, which
would render customers incapable of reimbursing
their outstanding loans.
2.3.11 Property and equipment and
intangible assets
Property and equipment, and intangible assets,
are stated at cost excluding day-to-day servicing,
less accumulated depreciation/amortization and
provision for impairment in value, if any. Changes
in the expected useful life are accounted for by
changing the depreciation period or method, as
appropriate and treated as a change in accounting
estimate.
Depreciation and amortization
Depreciation of property and equipment and
amortization of intangible assets are calculated as
follows:
Straight-line basis:
Intangible assets 10%
Declining balance basis:
Office improvements 20%
Office equipment 25%
Information technology (“IT”) equipment 50%
Furniture and fittings 25%
Motor vehicles 25%
An item of property and equipment and intangible
assets is derecognized upon disposal or when no
future benefits are expected from its use. Any gain
or loss on de-recognition of the asset (calculated as
the difference between the net disposal proceeds
and the carrying amount of the asset) is recognized
in the income statement in the period the asset is
derecognized.
2.3.12 Deposits from customers
Deposits from customers are stated at placement value.
2.3.13 Borrowings and subordinated debt
Borrowings and subordinated debt are carried at cost.
2.3.14 Retirement benefits
The Company provides for retirement benefits
which are conditional on the employee remaining
in the service of the Company up to retirement age
and the completion of a minimum service period as
follows:
41
Annual Report 2010
Microfinance Institution “Amret”

Number of working years
year
Percentage (%) of December salary of the preceding
Within 5 years 100
After 5 years but not more than 10 years 120
More than 10 years 130
This retirement benefit will be fully paid to the employee upon retirement age, or if employee resigns
before retirement age, they are entitled to the following portion of retirement benefits:
Number of working years
Percentage (%) of total retirement benefits provided for the employee
Within 3 years -
After 3 years but not more than 6 years 25
After 6 years but not more than 12 years 50
More than 12 years 75
No separate fund is maintained i.e. there is no
separate interest-bearing bank account or any
other asset for the fund. The Company adjusts the
past service obligation at an estimated inflation
rate determined by management. This adjustment
is done at December of each year of service. The
liability recognized in the balance sheet in respect
of this defined benefit plan will be paid to employee
upon termination of employment with the Company.
2.3.15 Recognition of income or expense
Revenue is recognized to the extent that it is
probable that the economic benefits will flow to the
Company and the revenue can be reliably measured.
The following specific recognition criteria must also
be met before revenue is recognized:
2.3.15.1 Interest income and expense
Interest income from loans and advances to
customers, and balances with NBC and other banks
are recognized on an accrual basis, except for
loans and advances to customers that have been
classified as substandard, doubtful or loss. Interest
accruing to these loans shall instead be credited to
an interest in suspense account.
Interest expense on borrowings and deposits of
customers are recognized on an accrual basis.
2.3.15.2 Fee and commission income
The Company earns fee and commission income
from a diverse range of services it provides to its
customers, mainly from loan and deposits processing.
Fee and commission income is recognized on a cash
basis.
2.3.15.3 Grants
Grants received to subsidize the Company’s
operating expenses are released to the income
statement on a systematic and rational basis,
matching the related costs which they are intended
to compensate.
Grants received for the purchase of property and
equipment are amortized to the income statement
over the useful life of the assets. The unamortized
grants are shown as deferred grant income.
2.3.16 Corporate income tax
Current tax
Current tax assets and liabilities for the current
and prior periods are measured at the amounts
expected to be recovered from or paid to the
taxation authorities. The tax rates and tax laws
used to compute the amount are those that are
enacted at the balance sheet date.
Deferred tax
Deferred tax is provided using the balance sheet
liability method on temporary differences at the
balance sheet date between the tax base of assets
and liabilities and their carrying amount for financial
reporting purposes.
Deferred tax liabilities are recognized for all taxable
temporary differences, except where the deferred
tax liability arises from the initial recognition of an
asset or liability in a transaction which at the time of
the transaction affects neither the accounting profit
nor taxable profit or loss.
Microfinance Institution “Amret” Annual Report 2010 42

Deferred tax assets are recognized for all deductible
temporary differences to the extent that it is
probable that future taxable profits will be available
against which these differences can be utilized,
except where the deferred tax arises from the initial
recognition of an asset or liability in a transaction
which at the time of the transaction affects neither
the accounting profit nor taxable profit or loss.
The carrying amount of deferred tax assets is
reviewed at each balance sheet date and reduced to
the extent that it is no longer probable that sufficient
taxable profits will be available to allow all or part of
the assets to be recovered. Unrecognized deferred
income tax assets are re-assessed at each balance
sheet date and are recognized to the extent that it
has become probable that future taxable profit will
allow the deferred tax assets to be recovered.
2.3.17 Provisions
Provisions are recognized when the Company has
a present obligation (legal or constructive) as a
result of a past event, and it is probable that an
outflow of resources embodying economic benefits
will be required to settle the obligation and a
reliable estimate can be made on the amount of the
obligation.
2.3.18 Dividends
Dividend are recognized as a liability and deducted
from equity when they are approved by the
Company’s shareholders. Interim dividends are
deducted from equity when they are declared and
no longer at the discretion of the Company.
3. CASH ON HAND
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Cash on hand in
foreign currencies
(“FC”) 4,963,158 1,224,564 4,150,809 995,637
Cash on hand in KHR 4,466,953 1,102,135 4,071,741 976,671
9,430,111 2,326,699 8,222,550 1,972,308
For cash flow statement purposes, cash and cash equivalents comprise:
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Cash on hand 9,430,111 2,326,699 8,222,550 1,972,308
Balances with NBC:
Current accounts 5,258,857 1,297,522 14,348,743 3,441,771
Balances with
other banks:
Current accounts 23,654,979 5,836,412 5,687,514 1,364,239
Term deposits (less
than three months
maturity) 1,431 353 7,531 1,806
38,345,378 9,460,986 28,266,338 6,780,124
43
Annual Report 2010
Microfinance Institution “Amret”

4. BALANCES WITH NBC
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Current accounts
in KHR 3,533,776 871,891 1,328,724 318,716
in FC 1,725,081 425,631 13,020,019 3,123,056
Term deposits in FC
(over three months’
maturity) 24,318,000 6,000,000 24,597,100 5,900,000
Reserve deposits 4,378,669 1,080,353 719,650 172,619
Statutory deposit 1,137,912 280,758 1,024,250 245,682
35,093,438 8,658,633 40,689,743 9,760,073
Term deposit
The term deposit of US$6 million, equivalent to KHR
24.32 billion, is pledged for borrowings at NBC, as
disclosed in Note 13 (a) ii.
Reserve deposits
The Company is required to maintain certain cash
reserves with NBC in the form of compulsory
deposits, computed at a minimum of 8% of customer
deposits according to NBC Prakas No. B7-07-163
dated 13 December 2007.
Interest rates
Annual interest rates on balances with NBC are
summarized as follows:
2010 2009
Current accounts Nil Nil
Term deposit 0.19 - 0.37% 0.23 - 1.31%
Statutory deposit 3% 3%
Reserve deposits Nil Nil
On 14 January 2011, the Company deposited
US$147,000 to cover for the remaining reserve
deposits requirement as at 31 December 2010.
Statutory deposit
Under NBC Prakas No. B7-07-163 dated 13 December
2007, licensed micro-finance institutions are required
to maintain a statutory deposit of 10% of registered
capital. This deposit is not available for use in the
Company’s day-to-day operations but it is refundable
when the Company voluntarily ceases to operate the
business in Cambodia.
Microfinance Institution “Amret” Annual Report 2010 44

5. BALANCES WITH OTHER BANKS
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Current accounts with
local banks in FC 20,256,126 4,997,810 3,338,334 800,752
Current accounts with
local banks in KHR
3,398,853 838,602 2,349,180 563,487
Savings accounts with
local banks in KHR 1,431 353 5,315 1,275
Savings accounts with
local banks in FC - - 2,216 532
23,656,410 5,836,765 5,695,045 1,366,046
Savings accounts earn annual interest rates ranging from 0.50% to 0.75% in 2010 and 1.10% to 2.00% in
2009.
6. PLACEMENTS WITH A BANK
This account represents term deposit with Foreign Trade Bank (“FTB”) which earns an annual interest of
5% in 2010 and 2009.
7. LOANS AND ADVANCES - NET
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Solidarity loans 153,701,705 37,922,947 144,547,037 34,671,873
Individual loans 116,378,998 28,714,285 77,020,083 18,474,474
Staff loans 37,997 9,375 2,740 657
Gross loans and advances 270,118,700 66,646,607 221,569,860 53,147,004
Provisions for losses on loans
and advances:
Specific (1,176,016) (290,159) (3,818,136) (915,840)
General (538,529) (132,872) (4,392,522) (1,053,615)
(1,714,545) (423,031) (8,210,658) (1,969,455)
Net loans and advances 268,404,155 66,223,576 213,359,202 51,177,549
45
Annual Report 2010
Microfinance Institution “Amret”

Further analyses of loans and advances are as follows:
(a) Provisions for losses on loans and advances:
Specific provision
2010
KHR’000
2009
KHR’000
At 1 January 3,818,136 136,106
Movements during the year:
Charges 93,294 4,937,083
Transfer of amount from general provision 3,853,993 -
Amount written off (5,934,534) (1,218,790)
Recovery (654,873) (27,336)
Exchange difference - (8,927)
At 31 December 1,176,016 3,818,136
General provision
At 1 January 4,392,522 1,335,029
Movements during the year:
Transfer of amount from specific provision (3,853,993) -
Charges - 3,061,206
Exchange difference - (3,713)
At 31 December 538,529 4,392,522
Total provisions for losses on loans as at 31 December 1,714,545 8,210,658
US$ equivalent (Note 2.3.1) 423,031 1,969,455
Microfinance Institution “Amret” Annual Report 2010 46

(b)
Grading of the loan portfolio and the related specific provision for losses on loans and advances as
at 31 December 2010:
Principal
KHR’000
2010 2009
Provision
KHR’000
Principal
KHR’000
Provision
KHR’000
Standard loans:
Secured 115,704,857 - 71,744,610 -
Unsecured 152,699,298 - 141,614,593 -
Substandard loans:
Secured 195,587 19,559 2,085,797 208,580
Unsecured 29,544 2,954 295,675 29,567
Doubtful loans:
Secured 445,694 133,708 2,872,097 861,629
Unsecured 34,180 10,255 341,039 102,312
Loss loans:
Secured 70,857 70,857 320,317 320,317
Unsecured 938,683 938,683 2,295,732 2,295,731
Total 270,118,700 1,176,016 221,569,860 3,818,136
US$ equivalent (Note 2.3.1) 66,646,607 290,159 53,147,004 915,840
See Note 29.1 on Credit risk for analysis of quality of loans.
(c)
Analysis of loan portfolio by industry sector:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Non-financial institutions:
Agriculture, forestry
and fishing 163,699,276 40,389,656 138,535,701 33,229,960
Trade and commerce 43,252,795 10,671,797 36,622,235 8,784,417
Construction 15,904,094 3,924,030 11,853,175 2,843,170
Services 12,729,900 3,140,859 9,133,156 2,190,731
Transportation 12,305,312 3,036,100 8,773,564 2,104,477
Manufacturing 7,176,908 1,770,764 7,348,397 1,762,628
Personal essentials:
Household/family 12,711,700 3,136,368 8,566,955 2,054,918
Staff loans 37,997 9,375 2,740 657
Other lending 2,300,718 567,658 733,937 176,046
270,118,700 66,646,607 221,569,860 53,147,004
47
Annual Report 2010
Microfinance Institution “Amret”

(d)
(e)
(f)
For analysis of loan portfolio by maturity, see Note 31 on Liquidity analysis.
For analysis of loan portfolio by currency, see Note 32 on Foreign exchange risk.
Analysis of loan portfolio by residency, relationship, exposure, location and interest rates are as follows:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Residence status:
Residents 270,118,700 66,646,607 221,569,860 53,147,004
Non-residents - - - -
270,118,700 66,646,607 221,569,860 53,147,004
Relationship:
Related parties - - - -
Non-related parties 270,118,700 66,646,607 221,569,860 53,147,004
270,118,700 66,646,607 221,569,860 53,147,004
Exposure:
Large - - - -
Non-large 270,118,700 66,646,607 221,569,860 53,147,004
270,118,700 66,646,607 221,569,860 53,147,004
Provincial offices:
Kandal 49,836,295 12,296,150 41,883,628 10,046,445
Prey Veng 43,314,665 10,687,063 56,436,838 13,537,260
Takeo 42,004,230 10,363,738 33,038,169 7,924,723
Kampot 41,318,838 10,194,631 33,008,950 7,917,714
Kampong Cham 36,554,073 9,019,016 20,195,909 4,844,305
Kampong Speu 28,779,194 7,100,714 30,148,528 7,231,597
Svay Rieng 21,800,130 5,378,764 - -
Siem Reap 6,255,837 1,543,508 6,857,838 1,644,960
Battambang 255,438 63,023 - -
270,118,700 66,646,607 221,569,860 53,147,004
Annual interest rates:
Loans in KHR 30.00 - 42.00% 30.00 - 42.00%
Loans in US$ 21.60 - 37.20% 21.60 - 42.00%
Biogas loans 14.40% 14.40%
Staff loans 14.40% 14.40%
Microfinance Institution “Amret” Annual Report 2010 48

8. OTHER ASSETS
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Accrued interest receivable 5,066,191 1,249,985 4,473,901 1,073,135
Prepaid expenses 899,355 221,899 854,746 205,024
Advances to staff 427,054 105,367 438,159 105,099
Accounts receivable 125,846 31,050 16,274 3,904
Deposits 62,905 15,521 114,536 27,473
Others 469,661 115,880 452,606 108,564
7,051,012 1,739,702 6,350,222 1,523,199
9. INTANGIBLE ASSETS
Intangible assets comprise software cost and license fee, with details as follows:
2010
KHR’000
2009
KHR’000
Cost
As at 1 January 321,349 321,349
Addition 3,344 -
Disposal - -
As at 31 December 324,693 321,349
Accumulated amortization
As at 1 January 279,035 251,638
Charges 6,420 27,397
Disposal - -
As at 31 December 285,455 279,035
Net book value as at 31 December 39,238 42,314
US$ equivalent (Note 2.3.1) 9,681 10,150
49
Annual Report 2010
Microfinance Institution “Amret”

10. PROPERTY AND EQUIPMENT
Office
improvements
KHR’000
Office
equipment
KHR’000
IT equipment
KHR’000
Furniture
and fittingst
KHR’000
Motor vehicles
KHR’000
Total
KHR’000
Cost
As at 1 January 2010 699,558 599,032 1,784,201 310,493 2,009,933 5,403,217
Additions 273,309 194,362 448,777 70,624 871,817 1,858,889
Disposals - (14,243) (57,295) - (135,511) (207,049)
Reclassification - 394,038 (394,038) - - -
As at 31 December 2010 972,867 1,173,189 1,781,645 381,117 2,746,239 7,055,057
Accumulated depreciation
As at 1 January 2010 281,320 215,918 1,218,161 186,504 1,303,185 3,205,088
Charges 188,463 186,624 452,650 56,661 488,382 1,372,780
Disposals - (13,619) (55,905) - (135,511) (205,035)
Reclassification - 275,294 (275,294) - - -
As at 31 December 2010 469,783 664,217 1,339,612 243,165 1,656,056 4,372,833
Net book value
As at 31 December 2010 503,084 508,972 442,033 137,952 1,090,183 2,682,224
As at 31 December 2009 418,238 383,114 566,040 123,989 706,748 2,198,129
US$ equivalent (Note 2.3.1)
As at 31 December 2010 124,126 125,579 109,063 34,037 268,982 661,787
As at 31 December 2009 100,321 91,896 135,773 29,741 169,525 527,256
Microfinance Institution “Amret” Annual Report 2010 50

51
Annual Report 2010
Microfinance Institution “Amret”

11. DEPOSITS FROM CUSTOMERS
Savings deposits:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
in KHR 1,711,104 422,182 710,539 170,434
in FC 5,692,059 1,404,406 1,535,477 368,308
Term deposits:
in KHR 7,911,000 1,951,887 1,602,694 384,431
in FC 46,245,690 11,410,238 8,360,287 2,005,346
61,559,853 15,188,713 12,208,997 2,928,519
Further analyses of deposits above are as follows:
(a)
(b)
(c)
For analysis of deposits portfolio by maturity, see Note 31 on Liquidity risk.
For analysis of deposits portfolio by currency, see Note 32 on Foreign exchange risk.
Annual interest rates for deposits denominated in KHR and US$ are as follows:
2010 2009
KHR US$ KHR US$
Savings deposits:
Liquid savings/happy accounts 4 - 5% 3.5 - 4.5% 4 - 5% 3.5 - 4.5%
Term deposits/wealthy accounts:
Within 1 month 6% 5% 6% 5%
After 1 month but not more than 3 months 6.5 - 7% 5.5 - 6% 7% 6%
After 3 months but not more than 6 months 7.5 - 8.5% 6.5 - 7% 8.5% 7%
After 6 months but not more than 12 months 8.5 - 9.5% 7 - 8% 9.5% 8%
After 12 months but not more than 36 months 8.5 - 10% 7.5 - 8.5% 10% 8.5%
Term deposits/goal accounts:
After 3 months but not more than 5 months 6 - 6.5% 5 - 5.5% 6 - 6.5% 5 - 5.5%
After 6 months but not more than 8 months 6.5 - 7.5% 5.5 - 6.5% 6.5 - 7.5% 5.5 - 6.5%
After 9 months but not more than 11 months 7 - 8% 6 - 7% 7 - 8% 6 - 7%
After 12 months but not more than 36 months 7.5 - 8.5% 6.5 - 7.5% 7.5 - 8.5% 6.5 - 7.5%
12. BANK OVERDRAFT
This account represents an overdraft facility maintained with FTB and bears annual interest of 10%.
Microfinance Institution “Amret” Annual Report 2010 52

13. BORROWINGS
2010 2009
Note
KHR’000 US$
equivalent
(Note 2.3.1)
KHR’000 US$
equivalent
(Note 2.3.1)
Instituto De Credito Oficial i 38,989,537 9,619,920 15,777,580 3,784,500
NBC ii 24,000,000 5,921,539 23,500,000 5,636,843
Global Microfinance Facility iii 20,265,000 5,000,000 20,845,000 5,000,000
Triodos Investment Management iv 16,026,500 3,954,231 20,284,500 4,865,555
Proparco v 14,861,000 3,666,667 16,676,000 4,000,000
Microfinance Loan Obligations S.A vi 12,159,000 3,000,000 12,507,000 3,000,000
Nederlandse Financierings-Maatschappij Voor Ontwikkelingslanden.N.V. (“FMO”) vii 11,076,167 2,732,832 16,436,000 3,942,432
Norwegian Investment Fund for Developing Countries viii 8,252,000 2,036,023 12,378,000 2,969,057
BlueOrchard ix 8,106,000 2,000,000 8,338,000 2,000,000
The OPEC Fund for International Development x 6,980,157 1,722,220 18,760,492 4,499,998
Oikocredit xi 6,734,017 1,661,490 5,268,034 1,263,621
PlaNet Finance xii 4,053,000 1,000,000 6,253,500 1,500,000
Alterfin xiii 4,053,000 1,000,000 4,169,000 1,000,000
Solidarité internationale pour le développement et l'investissement xiv 614,075 151,511 1,842,226 441,887
GRET xv 360,128 88,855 1,082,967 259,767
FTB - - 9,900,000 2,374,670
Investisseur et Partenaire pour le Développement - - 3,001,900 720,053
Global commercial Microfinance Consortium Ltd. - - 833,800 200,000
176,529,581 43,555,288 197,853,999 47,458,383
53
Annual Report 2010
Microfinance Institution “Amret”

13. BORROWINGS (continued)
(a)
i
ii
iii
Details of borrowings are as follows:
Terms and conditions
Credit limit is Euro (“EUR”) 7,300,000. In 2010, the Company made additional borrowing amounting
to US$4,598,220 equivalent to EUR3,300,000. Total borrowings will be repaid in full in March
2021. No collateral has been pledged to secure this borrowing.
Credit limit is KHR’000 24,000,000. This borrowing is guaranteed by the Company’s term
deposit at NBC amounting to US$6,000,000 equivalent to KHR’000 24,318,000. This borrowing
will be repaid in full in 2010 and 2011, respectively.
Credit limit is US$5,000,000. This borrowing will be repaid in full in June 2013. No collateral has
been pledged to secure this borrowing.
iv Credit limits are KHR’000 14,000,000 and US$500,000. Borrowings of KHR’000 6,000,000,
KHR’000 2,000,000, KHR’000 6,000,000 and US$500,000 will be repaid in full in April 2011, July
2011, January 2012 and January 2012 respectively. No collateral has been pledged to secure
these borrowings.
v
vi
Credit limit is US$4,000,000. Borrowing of US$3,666,667 will be repaid in full in March 2016. No
collateral has been pledged to secure this borrowing.
Credit limit is US$3,000,000. Outstanding borrowings amounting to US$1,000,000, US$1,500,000
and US$500,000 will be repaid in full in April 2011, October 2012 and December 2012, respectively.
No collateral has been pledged to secure this borrowing.
vii Credit limits are KHR’000 22,159,000 and US$500,000. Borrowings of KHR’000 4,059,667,
KHR’000 4,490,000 and US$500,000 will be repaid in full in October 2011, April 2012 and April
2017, respectively. No collateral has been pledged to secure these borrowings.
viii
ix
x
xi
xii
xiii
xiv
xv
(b)
(c)
(d)
Credit limit is KHR’000 12,378,000. Borrowing will be repaid in full in July 2012. No collateral has
been pledged to secure this borrowing.
Credit limit is US$2,000,000 which is equivalent to KHR’000 8,106,000. This borrowing will be
repaid in full in May 2012. No collateral has been pledged to secure this borrowing.
Credit limits are US$4,000,000 and US$1,500,000. Borrowings of US$1,555,556 and US$166,664
will be repaid in full in April 2011 and March 2014. No collateral has been pledged to secure these
borrowings.
Credit limits are EUR2,000,000 and US$1,000,000. These borrowings will be repaid in full in
October 2011 and December 2013, respectively. No collateral has been pledged to secure this
borrowing.
Credit limit is US$1,000,000 which is equivalent to KHR’000 4,053,000. Borrowing will be repaid
in full in January 2012. No collateral has been pledged to secure this borrowing.
Credit limit is US$1,000,000 which is equivalent to KHR’000 4,053,000. This borrowing will be
repaid in full in March 2012 respectively. No collateral has been pledged to secure these borrowings.
Credit limit is KHR’000 2,456,302. This borrowing will be repaid in full in April 2011. No collateral
has been pledged to secure this borrowing.
Credit limit is US$500,000 which is equivalent to KHR’000 2,026,500. This borrowing will be
repaid in full in April 2011. No collateral has been pledged to secure this borrowing.
For analysis by maturity, see Note 31 on Liquidity risk
For analysis by currency, see Note 32 on Foreign exchange risk.
Annual interest rates on borrowings during the year are summarized as follows:
2010 2009
Borrowings in KHR 10.51 - 16.57% 6 - 12.92%
Borrowings in US$ 4.16 - 9.97% 4.54 - 9.01%
Microfinance Institution “Amret” Annual Report 2010 54

14. OTHER LIABILITIES
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Accrued interest expense 3,655,911 902,026 2,464,474 591,143
Accrued bonus/incentives 1,954,014 482,115 2,009,078 481,909
Accrued commissions for
Credit Committee 1,865,940 460,385 1,976,370 474,063
Accrued other operating
expenses 680,179 167,821 708,890 170,039
Withholding tax payable 225,551 55,650 327,626 78,586
Payable to staff association 164,084 40,485 129,288 31,012
Deferred grant income 153,706 37,924 158,105 37,924
8,699,385 2,146,406 7,773,831 1,864,676
Deferred grant income
Deferred grant income represents the unamortized part of the grant subsidies received from donors for the
Company’s management information system, with the following movements:
FMO
KHR’000
AFD
KHR’000
Total
KHR’000
At 1 January 2010 158,105 - 158,105
Additions - 11,364 11,364
Released to income statement - (11,410) (11,410)
Exchange difference (4,399) 46 (4,353)
At 31 December 2010 153,706 - 153,706
US$ equivalent (Note 2.3.1) 37,924 - 37,924
55
Annual Report 2010
Microfinance Institution “Amret”

Grant Income
Total grant income recognized during the year
amounted to KHR’000 353,985. This amount consists
of KHR’000 11,410 released from deferred income
tax to the income statements, and another grant
income received during the year from FMO
amounting to KHR’000 342,575 which was directly
recognized to the income statements.
15. DIVIDENDS PAID
On 21 June 2010, the Board of Directors declared
dividend amounting to KHR’000 2,051,207 which
represent 15% of net income in 2009. The dividend
was fully paid in August 2010 to existing shareholders
as at 31 December 2009. Dividend per share
amounts to KHR250,330.
On 3 June 2009, the Board of Directors declared
dividend amounting to KHR’000 2,105,570 which
represents 15% of net income in 2008. The dividend
was paid in August 2009 to existing shareholders as
at 31 December 2008. Dividend per share amounts
to KHR256,965.
16. SUBORDINATED DEBT
The subordinated debt resulted from the transfer
of the credit fund, liabilities and reserves as at 30
June 2000 granted by Agence Française pour le
Dévéloppement (“AFD”) to the Company. The terms
and conditions of the subordinated debt agreement
dated 27 December 2000 between the Ministry of
Economy and Finance (“MoEF”) and the Company
are as follows:
i. The subordinated debt will not be repayable
to the MoEF unless Amret ceases to provide
credit to the rural population of Cambodia
or unless it decides to repay all or part of
the debt; and
ii. The debt is considered as “Tier II Capital” in
the context of Prakas No. B7-00-006 issued
by the National Bank of Cambodia, and shall
be included in computing the Company’s
capital adequacy ratio.
The Company pays an annual management fee of
0.5% of the subordinated debt on a pro-rata basis.
17. PROVISION FOR RETIREMENT BENEFITS
The movement in provision for retirement benefits is shown below.
2010
KHR’000
2009
KHR’000
As at 1 January 3,988,391 1,823,211
Additions 1,080,577 2,183,540
Payments (98,242) (18,360)
As at 31 December 4,970,726 3,988,391
US$ equivalent (Note 2.3.1) 1,226,431 956,678
18. PAID-UP CAPITAL AND RESERVES
Ordinary shares issued and fully paid
On 5 November and 1 December 2009, the Board of Directors and shareholders, respectively, approved the
issuance of 173 additional shares for a total cash consideration amounting to KHR’000 1,054,032. The new
shares were issued on 26 February 2010
On the same dates, the Board of Directors and shareholders, respectively, also approved the increase in
par value from KHR’000 1,250 to KHR’000 1,360. The number of shares did not change while total shares
amount increased by KHR’000 920,370, which is a transfer from share premium.
Microfinance Institution “Amret” Annual Report 2010 56

Number
of shares
Par
value
KHR’000
Total shares
amount
KHR’000
At 1 January 2010 8,194 1,250 10,242,500
Issuance of 173 shares at par value on
26 February 2010
173 1,250 216,250
8,367 1,250 10,458,750
Transfer from share premium to share capital - - 920,370
Share capital at 31 December 2010 8,367 1,360 11,379,120
Share capital at 31 December 2009 8,194 1,250 10,242,500
US$ equivalent (Note 2.3.1)
At 31 December 2010 2,807,580
At 31 December 2009 2,456,824
Share premium
KHR’000
At 1 January 2010 5,618,423
Issuance of 173 shares at par value on 26 February 2010 837,782
Transfer to share capital (920,370)
Share premium at 31 December 2010 5,535,835
Share premium at 31 December 2009 5,618,423
US$ equivalent (Note 2.3.1)
At 31 December 2010 1,365,861
At 31 December 2009 1,347,667
Nature and purpose of reserves
Statutory reserve
The statutory reserve was established on 1 July 2000 in accordance with the Memorandum and Articles of
Incorporation of the Company. This reserve is declared non-distributable.
Currency risk reserve
The currency risk reserve was established to cover the currency risk exposure of the Company originating
from its operations. The reserve is calculated based on the rate of 2% of net open position between total
assets and total liabilities denominated in US$.
Legal reserve
The legal reserve, as stated in the memorandum and articles of association, is maintained by allocating 5%
of the Company’s annual net profit after deduction of prior years’ losses. This allocation shall cease when the
total legal reserve reached 10% of the Company’s registered capital.
57
Annual Report 2010
Microfinance Institution “Amret”

Capital strengthening reserve
The capital strengthening reserve is maintained in accordance with the borrowing agreement with Instituto
De Credito Oficial of the Kingdom of Spain. During the life of the borrowed funds, the Company, as a
borrower, shall establish and keep a reserve fund for capital strengthening. The reserve is calculated at the
rate of 3.5% of the outstanding borrowing as at the end of each financial year.
19. INTEREST INCOME
Interest income from lending:
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Solidarity loans 56,148,792 13,853,637 53,626,345 12,863,119
Individual loans 26,748,479 6,599,674 28,703,083 6,884,884
82,897,271 20,453,311 82,329,428 19,748,003
Interest income from deposits 757,362 186,865 1,618,884 388,316
83,654,633 20,640,176 83,948,312 20,136,319
20. INTEREST EXPENSE
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Interest expense on
borrowings
16,917,408 4,174,047 21,603,667 5,181,978
Interest expense on deposits 2,344,759 578,524 319,044 76,528
Interest and fees on
subordinated debts 20,165 4,975 20,165 4,837
19,282,332 4,757,546 21,942,876 5,263,343
21. FEES AND COMMISSION INCOME
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Loan commitment fees 152,143 37,539 36,813 8,830
Other fees and commission 5,116 1,262 215 52
157,259 38,801 37,028 8,882
Microfinance Institution “Amret” Annual Report 2010 58

22. FEES AND COMMISSION EXPENSE
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Village association committee
commission
4,140,627 1,021,620 4,067,286 975,602
Commission on borrowings 557,633 137,586 1,107,596 265,675
4,698,260 1,159,206 5,174,882 1,241,277
Village association committee is receiving commission fee in accordance with interest income collected
from solidarity credit at the following rates:
2010 2009
Village association committee
after 22 January 2007
Village association committee
prior to 22 January 2007
5.88% of interest income at
village bank
5.88% - 11.76% of interest
income at village bank
5.88% of interest income at
village bank
5.88% - 11.76% of interest
income at village bank
23. OTHER OPERATING INCOME
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Recoveries from previously
written-off loans and advances
853,729 210,641 74,664 17,909
Penalty income 171,704 42,366 281,397 67,497
Gain on disposal of property
and equipment
37,337 9,212 - -
Others 24,477 6,039 20,892 5,012
1,087,247 268,258 376,953 90,418
59
Annual Report 2010
Microfinance Institution “Amret”

24. OPERATING AND OTHER EXPENSES
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Salaries and other staff costs 20,519,156 5,062,708 18,432,345 4,421,287
Rental and utilities 2,256,480 556,743 1,721,241 412,867
Business trip expenses 2,093,095 516,431 1,903,016 456,468
Motor vehicle and running costs 2,087,397 515,025 1,607,076 385,482
Depreciation and amortization charges 1,378,552 340,131 1,454,557 348,898
Trainings and staff development 1,369,543 337,908 1,270,656 304,787
Office supplies 1,138,045 280,791 873,892 209,617
Marketing and advertising costs 999,688 246,654 625,569 150,053
Security 756,386 186,624 515,985 123,767
Professional and other related costs 563,023 138,915 686,455 164,657
Printing 516,004 127,314 519,855 124,695
Communication 453,505 111,894 361,716 86,763
Insurance 425,676 105,027 243,747 58,467
Business and public relation 340,130 83,921 146,300 35,092
Repair and maintenances 317,707 78,388 349,070 83,730
Board of Directors’ mission 247,329 61,024 548,951 131,675
Bank charges 221,195 54,576 186,497 44,734
License and patent fees 70,124 17,302 89,154 21,385
Net foreign exchange (gain) loss (1,046,830) (258,286) 251,402 60,303
Others 1,075,668 265,400 798,566 191,548
35,781,873 8,828,490 32,586,050 7,816,275
25. INCOME TAX
(i) The components of income tax expense are as follows:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Corporate income tax (“CIT”)
expense in accordance with
statutory tax regulations:
Current 5,279,870 1,302,707 4,116,782 987,475
Deferred 91,959 22,689 (584,518) (140,206)
5,371,829 1,325,396 3,532,264 847,269
Microfinance Institution “Amret” Annual Report 2010 60

(ii) Reconciliation of the total income tax expense:
In accordance with Cambodian tax regulations, current CIT is calculated at the higher of the taxable income
for the period multiplied by the tax rate of 20% at the reporting date and 1% of turnover.
Reconciliation between the tax expense and the accounting profit multiplied by statutory income tax rate
follows:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Accounting profit before income tax 25,397,365 6,266,313 17,206,975 4,127,362
At statutory income tax rate of 20% 5,079,472 1,253,262 3,441,394 825,492
Tax effect of non-deductible expenses 292,357 72,134 90,870 21,777
Income tax expense 5,371,829 1,325,396 3,532,264 847,269
The Company has made prepayment of Tax on Profit (“ToP”) of KHR’000 933,956 for the year ended 31
December 2010 which will be deducted from the current CIT.
The Company’s tax returns are subject to periodic examination by the General Department of Taxation.
Because the application of tax laws and regulations to many types of transactions is susceptible to varying
interpretations, amounts reported in the financial statements could be changed at a later date upon final
determination by the General Department of Taxation.
(iii) The movements of income tax liability are as follows:
2010 2009
As at 1 January 3,211,519 3,245,038
Current CIT 5,279,870 4,116,782
Payment of income tax (4,124,136) (4,150,301)
As at 31 December 4,367,253 3,211,519
US$ equivalent (Note 2.3.1) 1,077,536 770,333
61
Annual Report 2010
Microfinance Institution “Amret”

(iv) Deferred tax assets - net
Deferred tax assets on:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Provision for retirement benefits 974,497 240,438 794,006 190,455
Accelerated tax depreciation 22,072 5,446 34,875 8,365
Net unrealized foreign exchange losses - - 50,281 12,061
Deferred tax liability on:
996,569 245,884 879,162 210,881
Net unrealized foreign exchange gain (209,366) (51,657) - -
787,203 194,227 879,162 210,881
26. NET CASH USED IN OPERATING ACTIVITIES
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Operating activities
Profit before tax 25,397,365 6,266,313 17,206,975 4,127,362
Adjustments to reconcile profit before
tax to net cash flows
Non-cash:
Depreciation and amortization 1,378,552 340,131 1,454,557 348,898
Provision for non-performing
loans - net
(Gain) loss on disposal of
property and equipment
93,294 23,019
(37,337) (9,212)
7,998,289 1,918,515
7,525 1,805
Provision for retirement benefits 1,080,577 266,612 2,183,540 523,756
Working capital adjustments:
Statutory deposits with NBC (3,772,681) (930,837) (1,045,580) (250,799)
Placements with other banks
(maturity over 3 months) 12,042,845 2,971,341 (4,071,945) (976,720)
Loans and advances to customers (55,138,247) (13,604,305) (187,710) (45,025)
Other assets (700,790) (172,906) (460,411) (110,437)
Customer deposits and other
amounts due to customers 49,350,856 12,176,377 9,615,352 2,306,393
Other liabilities 8,750,808 2,159,091 1,401,927 336,275
38,445,242 9,485,624 34,102,519 8,180,023
Retirement benefits paid (98,242) (24,239) (18,360) (4,404)
Income tax paid (4,124,136) (1,017,551) (4,150,301) (995,515)
Net cash generated from
operating activities 34,222,864 8,443,834 29,933,858 7,180,104
Microfinance Institution “Amret” Annual Report 2010 62

27. COMMITMENTS
The Company leases office premises under operating lease arrangements. The minimum lease
commitments under the operating lease agreements are as follows:
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Within one year 1,436,209 354,357 1,034,437 248,126
After one year but not more
than five years 1,343,882 331,577 1,662,764 398,840
More than five years 330,996 81,667 - -
3,111,087 767,601 2,697,201 646,966
28. RELATED PARTY TRANSACTIONS
AND BALANCES
Related party transactions include all transactions
undertaken with other parties to which the Company
is related. Related parties, as defined in Article
49 and 50 of the Law on Banking and Financial
Institutions, include the following:
(a) any person holding directly or indirectly at
least ten percent (10%) of capital or voting
rights;
(c) any individual who participates in the
administration, direction, management or
internal control; and
(d) the external auditors.
Significant transactions with related parties during
the year, which were made at normal terms and
conditions, and the resulting outstanding balances
as at year end were as follows:
(b) any company of which the Company directly
or indirectly holds at least ten percent (10%)
of the capital or voting rights;
(i) Transactions with key management personnel of the Company:
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Board of Directors’ mission 247,329 61,024 548,951 131,675
(ii) Transactions with other related parties:
KHR’000
Interest
expense
2010 31 December 2009
KHR’000
Outstanding
balance
KHR’000
Interest
expense
KHR’000
Outstanding
balance
FMO 1,772,594 11,076,167 2,767,243 16,436,000
Proparco 1,396,517 14,861,000 1,494,709 16,676,000
Oikocredit 771,105 6,734,017 963,615 5,268,034
GRET 46,972 360,128 78,155 1,082,967
3,987,188 33,031,312 5,303,722 39,463,001
63
Annual Report 2010
Microfinance Institution “Amret”

29. FINANCIAL RISK MANAGEMENT
The Company’s activities are exposed to a variety
of financial risks: credit risk, market risk (including
currency risk, interest rate risk and price risk), and
liquidity risk. Taking risk is core to the financial
business, and operational risks are an inevitable
consequence of being in business.
In the absence of the derivates market in Cambodia,
the Company does not use derivative financial
instruments such as foreign exchange contract and
interest rate swaps to manage its risk exposure.
The Company intends to comply with NBC’s
regulations for financial risk management purposes.
All major financial risks have been identified,
monitored and reviewed by the Board of Directors
and the management. The Asset and Liability
Management Committee has been established to
formulate broad parameters of acceptable risk for
the Company and monitor the activities against
these parameters.
The Company holds the following financial assets and liabilities:
Financial assets
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Cash on hand 9,430,111 2,326,699 8,222,550 1,972,308
Balances with NBC 35,093,438 8,658,633 40,689,743 9,760,073
Balances with other banks 23,656,410 5,836,765 5,695,045 1,366,046
Placements with banks 7,092,750 1,750,000 18,856,495 4,523,025
Loans and advances - net 268,404,155 66,223,576 213,359,202 51,177,549
Other assets:
Accrued interest receivable 5,066,191 1,249,985 4,473,901 1,073,135
Advances to staff 427,054 105,367 438,159 105,099
Accounts receivable 125,846 31,050 16,274 3,904
Deposits 62,905 15,521 114,536 27,473
Total financial assets 349,358,860 86,197,596 291,865,905 70,008,612
Financial liabilities
Deposits from customers 61,559,853 15,188,713 12,208,997 2,928,519
Bank overdraft 7,825,257 1,930,732 - -
Borrowings 176,529,581 43,555,288 197,853,999 47,458,383
Subordinated debt 4,032,971 995,058 4,032,971 967,371
Other liabilities:
Accrued interest payable 3,655,911 902,026 2,464,474 591,143
Accrued commissions for
credit committee
1,865,940 460,385 1,976,370 474,063
Accrued bonus/incentives 1,954,014 482,115 2,009,078 481,909
Payable to staff association 164,084 40,485 129,288 31,012
Accrued other operating expenses 116,212 28,673 187,522 44,980
Total financial liabilities 257,703,823 63,583,475 220,862,699 52,977,380
Net financial assets 91,655,037 22,614,121 71,003,206 17,031,232
Microfinance Institution “Amret” Annual Report 2010 64

29.1 Credit risk
The Company takes on exposure to credit risk,
which is the risk that a counterparty will cause a
financial loss to the Company by failing to discharge
an obligation. Credit risk is the most important
risk for the Company’s business. Credit exposure
arises principally in lending activities that lead to
loans and advances. The credit risk management
is carried out by the Company’s Risk Management
Committee.
(a) Credit risk measurement
The Company assesses the probability of
default of individual counterparties in
accordance with its credit policy, procedures
and practices. Risk Management Committee
is responsible for determining the risk
rating policies.
(b) Risk limit control and mitigation policies
The Company operates and provides loans
and advances to individuals or enterprises
within the Kingdom of Cambodia. The
Company manages, limits, and controls
the concentration of credit risk whenever
it is identified. Large exposure is defined
by NBC as overall credit exposure to any
single beneficiary which exceeds 2% for
individual loan and 3% for group loan of
the Company’s net worth under the conditions
of Prakas No. B7-07-163 of NBC.
The Company employs a range of policies and
practices to mitigate credit risk. The most traditional
of these is the taking of security in the form of
collateral for loans and advances to customers, which
is a common practice. The Company implements
guidelines on the acceptability of specific classes
of collateral or credit risk mitigation. The principal
collateral types to secure for loans and advances to
customers are:
v Mortgages over residential properties
(land, building and other properties);
v Charges over business assets such as land
and buildings; and
v Cash in the form of margin deposits for
bio-digester products.
(c) Impairment and provisioning policies
The Company is required to follow the
mandatory credit classification and provisioning
in accordance with the relevant
Prakas, as disclosed in Note 2.3.10.1.
(d) Loans and advances
Loans and advances are summarized as follows:
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Loans and advances neither
past due nor impaired (i) 267,659,497 66,039,846 212,021,180 50,856,604
Loans and advances past due
but not impaired (ii) 744,658 183,730 1,338,022 320,945
Loans and advances
individually impaired (iii) 1,714,545 423,031 8,210,658 1,969,455
Gross loans and advances 270,118,700 66,646,607 221,569,860 53,147,004
Less: Provisions for losses on
loans and advances (1,714,545) (423,031) (8,210,658) (1,969,455)
Net loans and advances 268,404,155 66,223,576 213,359,202 51,177,549
65
Annual Report 2010
Microfinance Institution “Amret”

For purposes of loan provisioning, expected recovery
from collateral (except cash) is not taken into
consideration as required by the relevant Prakas.
The account provisions for losses on loans and
advances comprises specific provision for the
individual loans and general provisions for losses
on loans on a collective basis, as disclosed in Note 7.
(i) Loans and advances neither past due or impaired
Loans and advances not past due are not
considered impaired, unless other information
is available to indicate the contrary.
(ii) Loans and advances past due but not impaired
Loans and advances less than 30 days past due
are not considered impaired, unless other
information is available to indicate the contrary.
2010 2009
KHR’000
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Past due up to 30 days 744,658 183,730 1,338,024 320,946
(iii) Loans and advances individually impaired
In accordance with NBC Prakas No. B7-02-186 dated 13 September 2002 on the classification and
provisioning for bad and doubtful debts, loans and advances past due more than 30 days are considered
impaired and a minimum level of specific provision for impairment is made depending on the classification
concerned, unless other information is available to indicate the contrary.
KHR’000
2010 2009
US$
equivalent
(Note 2.3.1)
KHR’000
US$
equivalent
(Note 2.3.1)
Not past due - - - -
Past due up to 30 days - - - -
Past due for 31 days up to 60 days 58,739 14,493 732,641 175,736
Past due for 61 days up to 90 days 75,169 18,547 746,826 179,138
Past due for 91 days up to 180 days 301,902 74,489 2,037,534 488,735
Past due for 181 days up to 360 days 1,278,735 315,502 4,693,657 1,125,846
Past due over 360 days - -
1,714,545 423,031 8,210,658 1,969,455
29.2 Market risk
The Company takes on exposure to market risk,
which is the risk that the fair value or future cash
flow of a financial instrument will fluctuate because
of changes in market prices. Market risk arises from
open positions in interest rates, currency and equity
products, all of which are exposed to general and
specific market movements and changes in the level
of volatility of market rates or prices such as
interest rates, credit spreads, foreign exchange
rates and equity prices.
Microfinance Institution “Amret” Annual Report 2010 66

In the absence of derivatives market, the Company
does not use derivative financial instruments
such as foreign exchange contract and interest rate
swaps to hedge its risk exposure.
(i) Foreign exchange risk
Foreign exchange risk is the risk that the
fair value of future cash flows of a financial
instrument will fluctuate because of changes
in foreign exchange rates. The Company’s
exposure to the risk of changes in foreign
exchange rates arises from future commercial
transactions and recognized assets and
liabilities denominated in a currency that is
not the Company’s functional currency.
The Company operates in the Kingdom
of Cambodia and transacts in US$ aside
from KHR, thus, is exposed to currency risk.
The table in Note 32 summarizes the
Company’s exposure to foreign currency
exchange rate risk as at 31 December 2010.
(ii) Interest rate risk
Cash flow interest rate risk is the risk that
the future cash flows of a financial instrument
will fluctuate because of changes in market
interest rates. Fair value interest rate risk
is the risk that the value of a financial
instrument will fluctuate because of changes
in market interest rates. The management
of the Company at this stage does not have
a policy to set limits on the level of mismatch
of interest rate risks; however, the management
regularly monitors the mismatch.
At time of re-pricing of interest rate on
assets or liabilities, a change in market price
may increase or decrease the interest margin.
The table in Note 30 summarizes the
Company’s exposure to interest rate risks.
It includes the Company’s financial instruments
at carrying amounts, categorized
by the earlier of contractual repricing or
maturity dates.
29.3 liquidity risk
Liquidity risk is the risk that the Company is unable
to meet its payment obligations associated with its
financial liabilities when they fall due and to replace
funds when they are withdrawn. The consequence
of this may be the failure to meet obligations to
repay depositors and fulfill commitments to lend.
The Company’s management monitors balance sheet
liquidity and manages the concentration and profile
of debt maturities. Monitoring and reporting take
the form of the daily cash position and projection
for the next day, week and month respectively, as
these are key periods for liquidity management.
Management monitors the movements of the main
depositors and projection of their withdrawals.
The table in Note 31 is an analysis of the assets
and liabilities of the Company by relevant maturity
based on the remaining period at the balance sheet
date to the contractual or estimated maturity dates.
29.4 Fair value of financial assets
and liabilities
Fair value represents the amount at which an
asset could be exchanged or a liability settled on an
arms-length basis. As verifiable market prices are
not available, market prices are not available for
a significant proportion of the Company’s financial
assets and liabilities. Fair values, therefore, have
been based on management assumptions according
to the profile of the asset and liability base. In the
opinion of the management, the carrying amounts
of the financial assets and liabilities included in
the balance sheet are a reasonable estimation of
their fair values. In making this assessment, the
management assumes that loans and advances are
mainly held to maturity with fair values equal to the
book value of loans adjusted for provision for loan
losses, if any.
67
Annual Report 2010
Microfinance Institution “Amret”

30. INTEREST RATE RISK
Up to
1 month
KHR’000
>1-3
months
KHR’000
>3-6
months
KHR’000
>6-12
months
KHR’000
>1- 5
years
KHR’000
Over
5 years
KHR’000
Non-interest
earning
KHR’000
Total
KHR’000
Weighted
average
interest %
At 31 December 2010
Financial assets
Cash on hand - - - - - - 9,430,111 9,430,111 -
Balances with NBC 14,378,107 14,185,500 1,013,250 - - 1,137,912 4,378,669 35,093,438 0.22%
Balances with other banks 23,656,410 - - - - - - 23,656,410 0.14%
Placements with a bank - - 4,053,000 3,039,750 - - - 7,092,750 9.15%
Loans and advances - net 6,816,143 34,231,742 47,899,029 94,685,095 84,772,146 - - 268,404,155 30.75%
Other assets
Accrued interest
receivable
- - - - - - 5,066,191 5,066,191
Advances to staff - - - - - - 427,054 427,054
Accounts receivable - - - - - - 125,846 125,846
Deposits - - - - - - 62,905 62,905
Total financial assets 44,850,660 48,417,242 52,965,279 97,724,845 84,772,146 1,137,912 19,490,776 349,358,860
Microfinance Institution “Amret” Annual Report 2010 68

30. INTEREST RATE RISK (continued)
Up to
1 month
KHR’000
>1-3
months
KHR’000
>3-6
months
KHR’000
>6-12
months
KHR’000
>1- 5
years
KHR’000
Over
5 years
KHR’000
Non-interest
earning
KHR’000
Total
KHR’000
Weighted
average
interest %
At 31 December 2010
Financial liabilities
Deposits from customers 16,287,231 11,838,958 11,861,585 17,658,086 3,913,993 - - 61,559,853 3.81%
Bank overdraft 7,825,257 - - - - - - 7,825,257 10%
Borrowings 3,237,743 30,673,320 13,116,470 17,351,340 71,050,234 41,100,474 - 176,529,581 9.58%
Subordinated debt - - - - - 4,032,971 - 4,032,971 0.50%
Other liabilities
Accrued interest payable - - - - - - 3,655,911 3,655,911
Accrued commission for
credit committee
- - - - - - 1,865,940 1,865,940
Accrued bonus/incentive - - - - - - 1,954,014 1,954,014
Payable to staff association - - - - - - 164,084 164,084
Accrued other operating
expenses
- - - - - - 116,212 116,212
Total financial liabilities 27,350,231 42,512,278 24,978,055 35,009,426 74,964,227 45,133,445 7,756,161 257,703,823
Interest sensitivity gap 17,500,429 5,904,964 27,987,224 62,715,419 9,807,919 (43,995,533) 11,734,615 91,655,037
US$ equivalent (Note 2.3.1) 4,317,895 1,456,937 6,905,311 15,473,827 2,419,916 (10,855,054) 2,895,289 22,614,121
At 31 December 2009
Total financial assets 45,496,727 43,688,166 64,288,121 87,956,989 35,426,582 1,024,250 13,985,070 291,865,905
Total financial liabilities 13,325,712 16,534,070 21,754,585 25,471,257 113,030,802 23,979,541 6,766,732 220,862,699
Interest sensitivity gap 32,171,015 27,154,096 42,533,536 62,485,732 (77,604,220) (22,955,291) 7,218,338 71,003,206
US$ equivalent
(Note 2.3.1) 7,716,722 6,513,336 10,202,335 14,988,182 (18,614,589) (5,506,186) 1,731,432 17,031,232
69
Annual Report 2010
Microfinance Institution “Amret”

31. LIQUIDITY RISK
Up to
1 month
KHR’000
>1-3
months
KHR’000
>3-6
months
KHR’000
>6-12
months
KHR’000
>1- 5
years
KHR’000
Over 5
years
KHR’000
No fixed
term
KHR’000
Total
KHR’000
At 31 December 2010
Financial assets
Cash on hand 9,430,111 - - - - - - 9,430,111
Balances with NBC 14,378,107 14,185,500 1,013,250 - - - 5,516,581 35,093,438
Balances with other banks 23,656,410 - - - - - - 23,656,410
Placements with a bank - - 4,053,000 3,039,750 - - - 7,092,750
Loans and advances - net 6,816,143 34,231,742 47,899,029 94,685,095 84,772,146 - - 268,404,155
Other assets:
Accrued interest receivable - - - - - - 5,066,191 5,066,191
Advances to staff - - - - - - 427,054 427,054
Accounts receivable - - - - - - 125,846 125,846
Deposits - - - - - - 62,905 62,905
Total financial assets 54,280,771 48,417,242 52,965,279 97,724,845 84,772,146 - 11,198,577 349,358,860
Microfinance Institution “Amret” Annual Report 2010 70

31. LIQUIDITY RISK (continued)
Up to
1 month
KHR’000
>1-3
months
KHR’000
>3-6
months
KHR’000
>6-12
months
KHR’000
>1- 5
years
KHR’000
Over 5
years
KHR’000
No fixed
term
KHR’000
Total
KHR’000
Financial liabilities
Deposits from customers 16,287,231 11,838,958 11,861,585 17,658,086 3,913,993 - - 61,559,853
Bank overdraft 7,825,257 - - - - - - 7,825,257
Borrowings 3,237,743 30,673,320 13,116,470 17,351,340 71,050,234 41,100,474 - 176,529,581
Subordinated debt - - - - - 4,032,971 - 4,032,971
Other liabilities
Accrued interest payable - - - - - - 3,655,911 3,655,911
Accrued commission for
credit committee
- - - - - - 1,865,940 1,865,940
Accrued bonus/incentive - - - - - - 1,954,014 1,954,014
Payable to staff association - - - - - - 164,084 164,084
Accrued other operating
expenses
- - - - - - 116,212 116,212
Total financial liabilities 27,350,231 42,512,278 24,978,055 35,009,426 74,964,227 45,133,445 7,756,161 257,703,823
Net liquidity surplus (gap) 26,930,540 5,904,964 27,987,224 62,715,419 9,807,919 (45,133,445) 3,442,416 91,655,037
US$ equivalent (Note 2.3.1) 6,644,594 1,456,937 6,905,311 15,473,827 2,419,916 (11,135,812) 849,348 22,614,121
At 31 December 2009
Total financial assets 53,719,277 43,688,166 64,288,121 87,956,989 35,426,582 - 6,786,770 291,865,905
Total financial liabilities 13,325,712 16,534,070 21,754,585 25,471,257 113,030,802 23,979,541 6,766,732 220,862,699
Net liquidity surplus (gap) 40,393,565 27,154,096 42,533,536 62,485,732 (77,604,220) (23,979,541) 20,038 71,003,206
US$ equivalent (Note 2.3.1) 9,689,030 6,513,336 10,202,335 14,988,182 (18,614,589) (5,751,869) 4,807 17,031,232
71
Annual Report 2010
Microfinance Institution “Amret”

32. FOREIGN EXCHANGE RISK
KHR’000 US$ Total
in KHR’000
equivalent
KHR’000
At 31 December 2010
Financial assets
Cash on hand 4,466,953 4,963,158 9,430,111
Balances with NBC 5,490,665 29,602,773 35,093,438
Balances with banks 3,400,284 20,256,126 23,656,410
Placements with a bank - 7,092,750 7,092,750
Loans and advances to customers 179,156,336 89,247,819 268,404,155
Other assets
Accrued interest receivable 3,578,706 1,487,485 5,066,191
Advances to staff 427,054 - 427,054
Accounts receivable - 125,846 125,846
Deposits 757 62,148 62,905
Total financial assets 196,520,755 152,838,105 349,358,860
Financial liabilities
Deposits from customers 9,622,104 51,937,749 61,559,853
Bank overdraft 7,825,257 - 7,825,257
Borrowings 62,649,759 113,879,822 176,529,581
Subordinated debt 4,032,971 - 4,032,971
Other liabilities
Accrued interest payable 984,378 2,671,533 3,655,911
Accrued commission for credit committee 1,865,940 - 1,865,940
Accrued bonus/incentive 1,954,014 - 1,954,014
Payable to staff association 164,084 - 164,084
Accrued other operating expenses - 116,212 116,212
Total financial liabilities 89,098,507 168,605,316 257,703,823
Net balance sheet position 107,422,248 (15,767,211) 91,655,037
US$ equivalent (Note 2.3.1) 26,504,379 (3,890,258) 22,614,121
At 31 December 2009
Total financial assets 182,071,262 109,794,643 291,865,905
Total financial liabilities 99,111,747 121,750,952 220,862,699
Net balance sheet position 82,959,515 5 (11,956,309) 71,003,206
US$ equivalent (Note 2.3.1) 19,899,140 (2,867,908) 17,031,232
Microfinance Institution “Amret” Annual Report 2010 72

FOR USE BY THE NATIONAL BANK
OF CAMBODIA ONLY
Supplementary financial information and other
disclosures required by the National Bank of
Cambodia
Ratio and information contained in this section have been
extracted from the data and information contained in
the audited financial statements as at and for
the year ended 31 December 2010.
74. Statement by management
75. Limitation
75. Net worth
76. Liquidity ratio
76. Solvency ratio
77. Reserve requirement
78. Loan classification and allowance for losses on loans
and advances
82. Net open position in foreign currency
84. Other information and prudential regulations required
by the Cambodian Law on Banking and Financial
Institutions
73
Annual Report 2010
Microfinance Institution “Amret”

STATEMENT BY MANAGEMENT
We, the undersigned, being General Manager of Amret Co., Ltd. (“the Company”), do hereby state that in our
opinion, the accompanying supplementary financial information consisting of the disclosure requirements set
by the relevant Prakas of the National Bank of Cambodia (“NBC”), is properly drawn up so as to reflect fairly
the required financial information of the Company as at 31 December 2010. Information and data contained
herein are the responsibility of the management of the Company.
Mr. Chea Phalarin
General Manager
Phnom Penh, Kingdom of Cambodia
23 March 2011
Microfinance Institution “Amret” Annual Report 2010 74

SUPPLEMENTARY FINANCIAL INFORMATION & OTHER DISCLOSURES REQUIRED BY THE NBC
as at and for the year ended 31 December 20
LIMITATION
This supplementary financial information is prepared
by the management of Amret Co., Ltd. (“the
Company”) solely for the use of NBC. It is not to be
used for any other purpose without written consent
of the directors or management of the Company.
The computations in the supplementary financial
information as defined in the relevant Prakas and
applicable notices set out in the respective schedules
below form an integral part of, and should be read
in conjunction, with the supplementary financial
information
For the purpose of this supplementary financial
information, unless otherwise stated, Khmer Riel
(KHR) is the reporting currency. The translation of
KHR amounts into United States dollar (“US$”) is
included solely for presentation purposes and has
been made using the prescribed official exchange
rate of US$1 to KHR4,053 published by the NBC on
31 December 2010. This translation should not be
construed as a representation that the US$ amounts
have been, could have been, or could in the future
be, converted into US$ at this or any other rate of
exchange.
NET WORTH
In accordance with NBC Prakas No. B7-07-132
dated 27 August 2007, the Company’s net worth
value should at least equal its paid-up capital.
The Company’s net worth is calculated as follows:
KHR’000
2010 2009
US$
equivalent
KHR’000
US$
equivalent
Section A
Capital 11,379,120 2,807,580 10,242,500 2,456,824
Reserves other than revaluation
reserves
7,233,610 1,784,753 5,515,401 1,322,955
Share premiums 5,535,835 1,365,861 5,618,423 1,347,667
Retained earnings 62,102,950 15,322,712 45,846,830 10,997,081
86,251,515 21,280,906 67,223,154 16,124,527
Section B
Section C - Base net worth (A - B) 86,251,515 21,280,906 67,223,154 16,124,527
Section D
Subordinated debt approved by the
NBC up to 100% of base net worth
4,032,971 995,058 4,032,971 967,371
4,032,971 995,058 4,032,971 967,371
Section E - - - -
Net worth (C + D - E) 90,284,486 22,275,964 71,256,125 17,091,898
75
Annual Report 2010
Microfinance Institution “Amret”

LIQUIDITY RATIO
In accordance with NBC Prakas No. B7-07-163
dated 13 December 2007, addendum to Prakas No.
B7-02-48 dated 25 February 2002, the Company is
required to maintain a liquidity ratio which should
be at least 50%
The Company’s liquidity ratio is calculated as follows:
2010 2009
KHR’000
US$
equivalent
KHR’000
US$
equivalent
Numerator
Cash on hand 9,430,111 2,326,699 8,222,550 1,972,308
Deposits with NBC (excluding
statutory deposits) 5,258,860 1,297,523 14,348,743 3,441,771
Deposits with banks 23,654,979 5,836,412 5,687,514 1,364,239
Portion of loans outstanding maturing
in less than one month 6,816,143 1,681,753 9,193,214 2,205,136
Less: amount owed to NBC and Bank (2,063,000) (509,006) (5,063,500) (1,214,560)
43,097,093 10,633,381 32,388,521 7,768,894
Denominator
Voluntary saving deposits at 25%,
excluding compulsory savings 15,389,963 3,797,178 3,052,250 732,130
Liquidity ratio - numerator /
denominator 280% 280% 1061% 1061%
SOLVENCY RATIO
In accordance with NBC Prakas No. B7-07-133
dated 27 August 2007, the Company shall observe
a solvency ratio, which is the ratio of their net worth
to their aggregate credit risk exposures, of not less
than 15%.
The Company’s solvency ratio is calculated as follows:
Numerator
Weighting KHR’000 US$
equivalent
2010 2009
KHR’000
US$
equivalent
Net worth 90,284,486 22,275,965 71,256,125 17,091,898
Denominator
Other assets 100% 309,712,992 76,415,738 247,380,569 59,338,107
Total risk - weighted assets 309,712,992 76,415,738 247,380,569 59,338,107
Solvency ratio -
numerator/ denominator 29.15% 29.15% 28.80% 28.80%
Microfinance Institution “Amret” Annual Report 2010 76

RESERVE REQUIREMENT
In accordance with NBC Prakas No. B7-07-163 dated
13 December 2007, the Company shall deposit the
reserve requirement at least 8% of customers’
deposits.
In accordance with NBC Prakas B7-02-45 dated
25 February 2002, the reserve requirement of the
Company is calculated as follows:
2010
2009
KHR’000 US$ KHR’000 US$
Demand deposits
Saving deposits 7,403,163 1,826,588 2,246,016 538,742
Term deposits 54,156,690 13,362,125 9,962,981 2,389,777
Other deposits - - - -
Total deposits 61,559,853 15,188,713 12,208,997 2,928,519
Compulsory deposits
Program 1 - - - -
Program 2 - - - -
Program 3 - - - -
Total compulsory
savings
- - - -
Total saving deposits
mobilized 61,559,853 15,188,713 12,208,997 2,928,519
Reserve requirement at 8% 4,924,788 1,215,097 976,720 234,282
Reserve requirement
maintained with the NBC 4,378,669 1,080,353 719,650 172,619
Shortfall (546,119) (134,744) (257,070) (61,663)
According to Article 3 of the aforementioned Prakas,
the Company is allowed to replenish its reserve
requirement shortfall within 14 days after each
month end. As at 14 January 2011, the Company’s
reserve requirement maintained with the NBC was
KHR’000 4,974,462 (equivalent to US$1,227,353)
which meets the said requirement.
77
Annual Report 2010
Microfinance Institution “Amret”

LOAN CLASSIFICATION AND ALLOWANCE FOR
LOSSES ON LOANS AND ADVANCES
According to NBC Prakas No. B7-02-186 dated
13 September 2002, the Company shall classify
their loan portfolio and their off-balance sheet
commitments into four classes defined as standard,
substandard, doubtful and loss. The mandatory
level of specific allowance for losses on loans
and advances is provided depending on the loan
classification.
The loan classification and allowance for losses on loans and advances are as follows:
Allowance
per NBC
Allowance
per
Company
Difference
As at 31 December 2010 KHR’000 % KHR’000 KHR’000 KHR’000
A
Loans with maturity of
less than one year:
Standard 169,564,462 0% - - -
Substandard, past due
more than 30 days
Doubtful, past due more
than 60 days
Loss, past due more than
90 days
33,241 10% 3,324 3,324 -
37,703 30% 11,311 11,311 -
989,938 100% 989,938 989,938 -
170,625,344 1,004,573 1,004,573 -
B
Loans with maturity of
over one year:
Standard 98,839,693 0% - - -
Substandard, past due
more than 90 days
Doubtful, past due more
than 180 days
Loss, past due more than
360 days
191,890 10% 19,189 19,189 -
442,171 30% 132,652 132,652 -
19,602 100% 19,602 19,602 -
99,493,356 171,443 171,443 -
C Total ( A +B ) 270,118,700 1,176,016 1,176,016 -
D
Allowances:
Specific 1,176,016
General 538,529
1,714,545
E Total ( C - D) 268,404,155
Microfinance Institution “Amret” Annual Report 2010 78

Allowance
per NBC
Allowance
per
Company
Difference
As at 31 December 2010 US$ % US$ US$ US$
A
Loans with maturity of
less than one year:
Standard 41,836,778 0% - - -
Substandard, past due
more than 30 days
Doubtful, past due more
than 60 days
Loss, past due more than
90 days
8,202 10% 820 820 -
9,302 30% 2,791 2,791 -
244,248 100% 244,248 244,248 -
42,098,530 247,859 247,859 -
B
Loans with maturity of
over one year:
Standard 24,386,799 0% - - -
Substandard, past due
more than 90 days
Doubtful, past due more
than 180 days
Loss, past due more than
360 days
47,345 10% 4,735 4,735 -
109,097 30% 32,729 32,729 -
4,836 100% 4,836 4,836 -
24,548,077 42,300 42,300 -
C Total ( A +B ) 66,646,607 290,159 290,159 -
D
Allowances:
Specific 290,159
General 132,872
423,031
E Total ( C - D) 66,223,576
79
Annual Report 2010
Microfinance Institution “Amret”

Allowance
per NBC
Allowance
per
Company
Difference
As at 31 December 2009 KHR’000 % KHR’000 KHR’000 KHR’000
A
Loans with maturity of
less than one year:
Standard 153,732,978 0% - - -
Substandard, past due
more than 30 days
Doubtful, past due more
than 60 days
Loss, past due more than
90 days
299,981 10% 29,998 29,998 -
351,574 30% 105,472 105,472 -
2,525,036 100% 2,525,036 2,525,036 -
156,909,569 2,660,506 2,660,506 -
B
Loans with maturity of
over one year:
Standard 59,626,226 0% - - -
Substandard, past due
more than 90 days
Doubtful, past due more
than 180 days
Loss, past due more than
360 days
2,081,490 10% 208,149 208,149 -
2,861,563 30% 858,469 858,469 -
91,012 100% 91,012 91,012 -
64,660,291 1,157,630 1,157,630 -
C Total ( A +B ) 221,569,860 3,818,136 3,818,136 -
D
Allowances:
Specific 3,818,136
General 4,392,522
8,210,658
E Total ( C - D) 213,359,202
Microfinance Institution “Amret” Annual Report 2010 80

Allowance
per NBC
Allowance
per
Company
Difference
As at 31 December 2009 US$ % US$ US$ US$
A
B
Loans with maturity of
less than one year:
Standard 36,875,265 0% - - -
Substandard, past due
more than 30 days 71,955 10% 7,196 7,196
-
Doubtful, past due more
than 60 days 84,331 30% 25,300 25,300
-
Loss, past due more than
90 days 605,669 100% 605,669 605,669
-
37,637,220 638,165 638,165 -
Loans with maturity of
over one year:
Standard 14,302,285 0% - - -
Substandard, past due
more than 90 days 499,278 10% 49,928 49,928
-
Doubtful, past due more
than 180 days 686,391 30% 205,917 205,917
-
Loss, past due more than
360 days 21,830 100% 21,830 21,830
-
15,509,784 277,675 277,675 -
C Total ( A + B ) 53,147,004 915,840 915,840 -
D
Allowances:
Specific 915,840
General 1,053,615
1,969,455
E Total ( C - D ) 51,177,549
81
Annual Report 2010
Microfinance Institution “Amret”

NET OPEN POSITION IN FOREIGN CURRENCY
In accordance with NBC Prakas No. B7-07-134
dated 27 August 2007, the Company shall at all
times maintain their net open position in foreign
currencies in either any foreign currency or overall
net open position in all foreign currencies, whether
long or short, not exceeding 20% of the Company’s
net worth.
As at 31 December
2010
Assets
Liabilities and
off balance
sheet items
Net open
position (+)
Long / (-)
Short
Net open
position /
Net worth Limit Excess
KHR’000 KHR’000 KHR’000 KHR’000 % %
USD 152,838,105 168,605,316 (15,767,211) -17.46% +/-20% None
KHR 196,520,755 89,098,507 107,422,248
Total 349,358,860 257,703,823 91,655,037
US$ equivalent 86,197,597 63,583,475 22,614,122
OTHER INFORMATION AND PRUDENTIAL REGULATIONS REQUIRED BY THE CAMBODIAN
LAW ON BANKING AND FINANCIAL INSTITUTIONS
(i) Minimum capital
(Prakas No. B7-00-06 dated 11 January 2000)
The paid-up capital of the Company at the
balance sheet date is KHR11,379 million
(equivalent to approximately US$2.81 million)
which meets the current minimum capital
requirement of KHR10,000 million.
(ii) Net worth
(Prakas No. B7-00-39 dated 9 February 2000)
According to NBC Prakas No. B7-07-132 dated
27 August 2007, the Company should maintain
their net worth, at least, equal to the minimum
capital of KHR10,000 million. According to the
net worth calculation as at 31 December 2010,
the Company has a surplus of KHR80,284 million.
(iii) Large exposures
(Prakas No. B7-07-163 dated 13 December 2007)
(a) The Company can only collect saving and
fixed deposits; the amount of deposits
from an individual customer shall not exceed
3% of the Company’s net worth.
(b) The Company cannot lend to an individual
borrower at a rate exceeding 2%, nor to a
group of related borrowers at a rate
exceeding 3% of the Company’s net worth.
As at 31 December 2010, the Company has neither
large exposure of deposits nor loans exceeding the
said maximum ceiling limits.
Microfinance Institution “Amret” Annual Report 2010 82

83
Annual Report 2010
Microfinance Institution “Amret”

contact details
Where you can find us
head office
#35BA, Street 169, Sangkat Veal Vong,
Khan 7 Makara, Phnom Penh City
P.O.Box 411, Postal Codes: 12253
Tel: 023 880 942
Fax: 023 881 342
Call Center: 023 999 033
E-mail: info@amret.com.kh
Website: www.amret.com.kh
1 Kandal Provincial Office
#35BA, Street Tchecoslovaquie (169),
Sangkat Veal Vong, Khan 7 Makara,
Phnom Penh City
Tel: 012 924 123
E-mail: ka@amret.com.kh
1-1 Bak Touk Branch
#​​35BA, Street Tchecoslovaquie (169), Sangkat
Veal Vong, Khan 7 Makara, Phnom Penh City,
Cambodia.
Tel: 077 829 693
E-mail: ppbt@amret.com.kh
1-2 Steung Meanchey Branch
# 511, St Monireth, Sangkat Steung Meanchey,
Khan Meanchey, Phnom Penh City
Tel: 077 355 328 / 012 201 796
E-mail: ppmc@amret.com.kh
1-3 Kien Svay Branch
Toul Tnaot Village, Koki Commune,
Kien Svay District, Kandal Province
Tel: 012 557 963 / 012 209 939
E-mail: kaks@amret.com.kh
1-4 Ponhea Leu Branch
Badoeng Village, Ksem Ksan Commune,
Odong District, Kampong Speu Province
Tel: 012 924 230 / 077 959 670
E-mail: kapl@amret.com.kh
1-5 Preak Tamak Branch
Preak Tamak Village, Preak Tamak Commune,
Khsach Kandal District, Kandal Province
Tel: 012 924 251 / 077 959 673
E-mail: kapm@amret.com.kh
1-6 Koh Thom Branch
Svay Kroam Village, Praek Thmey Commune,
Koh Thom District, Kandal Province
Tel: 012 924 154 / 077 959 669
E-mail: kakt@amret.com.kh
1-7 Pea Reang Branch
Kampong Popil Village, Kampong Popil
Commune, Pea Reang District,
Prey Veng Province
Tel: 012 924 209 / 077 959 671
E-mail: pvpr@amret.com.kh
1-8 Kandal Steung Branch
Svay Ming Village, Barkou Commune,
Kandal Steung District, Kadal Province
Tel: 012 557 954 / 077 959 674
E-mail: kast@amret.com.kh
1-9 Khsach Kandal Branch
Praek Takov Village, Praek Takov Commune,
Khsach Kandal District, Kandal Province
Tel: 012 924 256 / 077 959 667
E-mail: kakk@amret.com.kh
1-10 S’ang Branch
Praek Run Village, Praek Koy Commune,
S’ang District, Kandal Province
Tel: 012 404 683 / 077 959 972
E-mail: kasa@amret.com.kh
2 Kampong Cham and Kampong Thom
Provincial Office
#​99, Street Toul Sbov, Village 3,
Sangkat Veal Vong, Krong Kampong Cham,
Kampong Cham Province.
Tel: 012 634 048
E-mail: km@amret.com.kh
2-1 Kampong Siem Branch
#99, Street Toul Sbov, Village 3,
Sangkat Veal Vong, Kampong Cham Krong,
Kampong Cham Province.
Tel: 012 924 651 / 077 959 677
E-mail: kmki@amret.com.kh
2-2 Prey Chhor Branch
Prey Tateung Village, Chrey Vien Commune,
Prey Chhor District, Kampong Cham Province
Tel: 012 404 687 / 077 959 678
E-mail: kmpc@amret.com.kh
2-3 Ponheakrek Branch
Pour Rorng Village, Koang Kang Commune,
Ponheakrek District, Kampong Cham Province.
Tel: 012 924 523 / 077 959 679
E-mail: kmpk@amret.com.kh
2-4 Tboung Khmum Branch
Chueng Lang Village, Sangkat Sourng,
Krong Sourng, Kampong Cham Province
Tel: 012 924 658 / 077 959 680
E-mail: kmtk@amret.com.kh
2-5 Kang Meas Branch
Thlok Chrov Village, Khchau Commune,
Kang Meas District, Kampong Cham Province
Tel: 012 924 501 / 077 959 676
E-mail: kmke@amret.com.kh
2-6 Baray Branch
Thmey Village, Treal Commune, Baray District,
Kampong Thom Province
Tel: 012 409 612 / 077 959 675
E-mail: ktbr@amret.com.kh
Microfinance Institution “Amret” Annual Report 2010 84

2-7 Kroch Chhmar Branch
Kroch Chhmar Kroam Village, Kroch Chhmar
Commune, Kroch Chhmar District,
Kampong Cham Province
Tel: 077 730 086 / 012 206 395
E-mail: kmkc@amret.com.kh
2-8 Chamkar Leu Branch
Thnal Bek Keut Village, Svay Teab Commune,
Chamkar Leu District, Kampong Cham Province
Tel: 077 993 075 / 077 990 944
E-mail: kmcl@amret.com.kh
3 Kampot, Kep, Sihanouk Ville, and
Koh Kong Provincial Office
#24, Sovann Sakor Village, Sangkat Kampong
Kandal, Krong Kampot, Kampot Province
Tel: 012 634 044
E-mail: kp@amret.com.kh
3-1 Kampot Branch
#24, Sovann Sakor Village, Sangkat Kampong
Kandal, Krong Kampot, Kampot Province
Tel: 012 609 114 / 077 959 684
E-mail: kpkp@amret.com.kh
3-2 Angkor Chey Branch
Pral Village, Tany Commune, Angkor Chey
District, Kampot Province
Tel: 012 433 126 / 077 959 681
E-mail: kpac@amret.com.kh
3-3 Chhouk Branch
Chrey Village, Satpong Commune,
Chhouk District, Kampot Province
Tel: 012 404 681 / 077 959 683
E-mail: kpch@amret.com.kh
3-4 Kampong Trach Branch
Kampong Trach1 Village, Kampong Trach
Khang Koeut Commune, Kampong Trach
District, Kamport Province
Tel: 012 446 301 / 077 959 685
E-mail: kpkt@amret.com.kh
3-5 Banteay Meas Branch
Prey Krala Village, Touk Meas Commune,
Banteay Meas District, Kampot Province
Tel: 012 446 275 / 077 959 682
E-mail: kpbm@amret.com.kh
3-6 Prey Nup Branch
Boeng Veng Village, Veal Rinh Commune,
Prey Nop District, Sihanouk Province
Tel: 012 433 196 / 077 959 686
E-mail: snpn@amret.com.kh
4 Kampong Speu and Kampong Chhnang
Provincial Office
Peanicheakkam Village, Sangkat Roka Thom,
Krong Chbar Mon, Kampong Speu Province
Tel: 012 634 049
E-mail: ks@amret.com.kh
4-1 Samrong Tong Branch
Peanicheakkam Village, Sangkat Roka Thom,
Krong Chbar Mon, Kampong Speu Province
Tel: 012 605 130 / 077 959 692
E-mail: ksst@amret.com.kh
4-2 Kampong Chhnang Branch
Ti Prambei Village, Sangkat Khsam, Krong
Kampong Chhnang, Kampong Chhnang Province
Tel: 012 924 296 / 077 959 688
E-mail: kckc@amret.com.kh
4-3 Kampong Tralach Branch
Soben Village, Peany Commune, Kampong
Tralach District, Kampong Chhnang Province
Tel: 012 446 273 / 077 959 690
E-mail: kckt@amret.com.kh
4-4 Kong Pisei Branch
Tramkhnar Village, Snormkrorper Commune,
Kong Pisei District, Kampong Speu Province
Tel: 012 446 207 / 077 959 689
E-mail: kskp@amret.com.kh
4-5 Odong Branch
Odong Village, Veang Chas Commune,
Odong District, Kampong Speu Province
Tel: 012 446 205 / 077 959 691
E-mail: ksod@amret.com.kh
5 Takeo Provincial Office
Lori Village, Sangkat Roka Knong,
Krong Daun Keo, Takeo Province
Tel: 012 634 047
E-mail: ta@amret.com.kh
5-1 Daun Keo Branch
Lori Village, Sangkat Roka Knong,
Krong Daun Keo, Takeo Province
Tel: 012 924 484 / 077 959 662
E-mail: tadk@amret.com.kh
5-2 Prey Kabbas Branch
Lvea Tnaot Village, Prey Lvea Commune,
Prey Kabbas District, Takeo Province
Tel: 012 427 612 / 077 959 664
E-mail: tapk@amret.com.kh
5-3 Kirivong Branch
Kampong Village, Preah Bat Choan Chum
Commune, Kirivong District, Takeo Province.
Tel: 012 924 481 / 077 959 663
E-mail: tatk@amret.com.kh
5-4 Tram Kak Branch
Ang Ta Saom Village, Ang Ta Som Commune,
Tram Kak District, Takeo Province
Tel: 012 609 159 / 077 959 665
E-mail: tatk@amret.com.kh
5-5 Bati Branch
Barcham Village, Chambak Commune,
Bati District, Takeo Province
Tel: 012 425 362 / 077 959 661
E-mail: tabt@amret.com.kh
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Annual Report 2010
Microfinance Institution “Amret”

6 Prey Veng Provincial Office
Phum 2, Sangkat Kampong Leav,
Krong Prey Veng, Prey Veng Province
Tel: 012 634 046
E-mail: pv@amret.com.kh
6-1 Prey Veng Branch
Phum 2, Sangkat Kampong Leav,
Krong Prey Veng, Prey Veng Province
Tel: 012 614 402 / 077 959 698
E-mail: pvkl@amret.com.kh
6-2 Preah Sdach Branch
Prey Meas Village, Angkor Reach Communce,
Preah Sdach District, Prey Veng Province.
Tel: 077 959 702 / 012 924 097
E-mail: pvps@amret.com.kh
6-3 Ba Phnum Branch
Chheu Kach Village, Chheu Kach Communce,
Ba Phnum District, Prey Veng Province
Tel: 012 446 305 / 077 959 693
E-mail: pvbp@amret.com.kh
6-4 Kanhchriech Branch
Prongeuy Muoy Village, Thma Pun Commune,
Kanhchriech District, Prey Veng province.
Tel: 012 433 219 / 077 959 694
E-mail: pvkc@amret.com.kh
6-5 Peam Chor Branch
Prekdach Village, Prekdach Communce,
Leuk Dek District, Kandal Province
Tel: 012 448 691 / 077 959 701
E-mail: pvpc@amret.com.kh
7 Svay Rieng Provincial Office
Mepleung Village, Sangkat Svay Rieng,
Krong Svay Rieng, Svay Rieng Province
Tel: 012 201 797
E-mail: sr@amret.com.kh
7-1 Svay Rieng Branch
Mepleung Village, Sangkat Svay Rieng,
Krong Svay Rieng, Svay Rieng Province
Tel: 077 738 343 / 077 459 174
E-mail: srsr@amret.com.kh
7-2 Kampong Trabaek Branch
Prasat Village, Prasat Communce, Kampong
Trabaek District, Prey Veng Province
Tel: 077 959 699 / 012 433 194
E-mail: pvkt@amret.com.kh
7-3 Svay Chrum Branch
Svay Kngou Village, Svay Chrum Communce,
Svay Chrum District, Svay Rieng Province
Tel: 012 923 758 / 077 959 703
E-mail: srsc@amret.com.kh
7-4 Me Sang Branch
Vaing Village, Chi Phoch Communce,
Me Sang District, Prey Veng Province
Tel: 012 425 380 / 077 959 700
E-mail: pvms@amret.com.kh
8 Siem Reap Provincial Office
Banteay Chas Village, Sangkat Sla Kram,
Krong Siem Reap, Siem Reap Province
Tel: 012 614 420
E-mail: sp@amret.com.kh
8-1 Siem Reap Branch
Banteay Chas Village, Sangkat Sla Kram,
Krong Siem Reap, Siem Reap Province.
Tel: 077 959 651 / 012 924 861
E-mail: spsr@amret.com.kh
8-2 Stoung Branch
Leap Tong Village, Kampong Chen Tboung
Commune, Stoung District, Kampong Thom
Province
Tel: 077 959 653 / 012 932 980
E-mail: ktst@amret.com.kh
8-3 Sourt Nikom Branch
#10, St. 6A, Dom Dek Thmey Village,
Dom Dek Commune, Sourt Nikom District,
Siem Reap Province
Tel: 077 959 652 / 012 932 980
E-mail: spsn@amret.com.kh
8-4 Chi Kraeng Branch
Kampong Kdei 1 Village, Kampong Kdei
Commune, Chi Kraeng District,
Siem Reap Province
Tel: 077 959 650 / 012 924 809
E-mail: spck@amret.com.kh
9 Battambang Provincial Office
# 833, St. National Road 05, Sangkat Svay Por,
Krong Battambang, Battambang Province
Tel: 077 355 369
E-mail: bb@amret.com.kh
9-1 Battambang Branch
#833, St. National Road 05, Sangkat Svay Por,
Krong Battambang, Battambang Province
Tel: 077 355 370 / 077 355 373
E-mail: bbbb@amret.com.kh
9-2 Mong Resey Branch
Group05, Mong Village, Mong Commnue,
Mong Resey District, Batthambong Province
Tel: 077​355 338 / 077 355 339
E-mail: bbmr@amret.com.kh
Microfinance Institution “Amret” Annual Report 2010 86

Microfinance Institution “Amret”

Microfinance Institution “Amret”