Background
On 27 March 2023 in Phnom Penh, the National Social Security Fund (NSSF) of Cambodia signed a memorandum of understanding (MoU) with GRET concerning the implementation of the project “Advanced Social Security Schemes for the Self-employed” (A4S). The MoU was signed under the chairmanship of H.E. Dr. Heng Sophannarith, Deputy Director General of NSSF, representing H.E. Ouk Samvithya, Delegate of the Royal Government in charge as Director General of NSSF, and Ms. Keo Socheata, representative of GRET in Cambodia.
The cooperation builds on recent trilateral collaboration among NSSF, the French Development Agency (AFD), and GRET on a project to strengthen adaptive social insurance. The new MoU focuses specifically on social security coverage for self-employed workers and persons currently outside the social insurance system in Phnom Penh.
Scope of Application
The MoU covers joint activities between NSSF and GRET to prepare, develop, implement, evaluate, and disseminate the A4S project. The geographic focus is Phnom Penh, and the target groups are self-employed persons and other individuals who are not yet covered by social insurance schemes.
The cooperation aims to examine options for expanding the scope of social security schemes, particularly social health protection and income stability measures, to these target groups.
Key Provisions or Decisions
Under the MoU, NSSF and GRET agreed to:
- Jointly organize and develop the A4S project framework for self-employed persons.
- Implement project activities to study the expansion of social security schemes to self-employed workers and uninsured persons in Phnom Penh.
- Conduct evaluation of project implementation and outcomes.
- Disseminate information and project results related to the A4S initiative.
The parties expect the cooperation to strengthen NSSF’s capacity to expand the potential and effectiveness of social security scheme implementation with a view toward sustainable development, particularly in extending social security protection to self-employed persons for health risk protection and income stability.
Implications for Investors, Businesses, or Compliance
The MoU signals NSSF’s intention to develop and test approaches for extending social security coverage beyond formal employment, with a focus on self-employed workers and currently uninsured individuals. While the MoU itself does not establish binding compliance obligations for businesses, it may inform future design and expansion of social security schemes affecting self-employed persons and other non-traditional workers in Phnom Penh and potentially beyond.
Stakeholders engaged with self-employed or informal workers may wish to monitor the A4S project for potential evolution of coverage mechanisms, contribution arrangements, and benefit structures within Cambodia’s social security system.
Official Source
The information is based on an official announcement by the National Social Security Fund published on its verified Facebook page on 27 March 2023.
