PHNOM PENH, CAMBODIA - MediaOutReach - 8 December 2020 - COVID-19 has highlighted the importance of environment, social andgovernance ("ESG") practices at companies across the world. But there was talkof change even before the outbreak of the pandemic. Last year, the BusinessRoundtable (a group representing 181 CEOs of America's largest corporations) outlinedthat companies must "support the communities in which they operate"^[1],upturning the longstanding focus on wealth maximization for shareholdersespoused by American economist Milton Friedman.

In 2020, times have changed.

This year, Prince Holding Group ("PHG"), one of the largestconglomerates in Cambodia, has realized this and blazed a trail for companiesin the Kingdom looking to follow ESG principles. Since April,  the Group has made several large-scaledonations to help in the fight against the pandemic and assist flood victims,and Neak Oknha Chen Zhi (陈志公爵), PHG chairman, has been the driving force behind the donations.For example, in early December, Chen Zhi and PHG donated US$3,000,000 to PrimeMinister Hun Sen to help Cambodia purchase 1 million COVID-19 vaccines.

The notion of "doing good" in business is not new, but in Cambodia,focus on ESG principles has only recently risen up the corporate agenda.According to the GRI Sustainability Disclosure Database, the total number ofsustainability reports in Cambodia have doubled since 2015, mostly in thefinancial services sector.^[2]More companies are expected to adhere to ESG principles thereby strengtheningthe competitiveness of the Cambodian economy, which will not only attractforeign investment but also improve the business environment.   

As a company with a strong foothold in Cambodia, Chen Zhi and PHG helpedin the fight against the coronavirus earlier in the year by donating US$500,000and by providing pandemic prevention supplies worth over US$600,000. InOctober, Chen Zhi and the Group also provided flood relief support -- thisincluded 100 tons of rice, 300 cartons of instant noodles and 1,000 cartons ofdrinking water, comprising a total value of US$75,000 -- for flood-hit victims inCambodia. Chen Zhi personally donated US$500,000 to help the victims. And, asmentioned earlier, PHG made a large cash donation in December to help Cambodiawith its COVID-19 response, which will help the government procure anddistribute vaccines to Cambodians for free.

Over the years, Prince Real EstateCharitable Foundation Organization, the Group's philanthropic arm, has alsolaunched more than 240 charitable events seeking to improve Cambodian livesthrough donations of funds and supplies worth over US$11 million, benefittingmore than 320,000 people.

"As a company invested in the future ofCambodia, Prince Holding Group will always help communities in their hour ofneed. Furthermore, the Group is constantly contributing to ESG initiatives to benefitCambodia and uphold the company's role as a responsible stakeholder in localaffairs," states Neak Oknha Chen Zhi, chairman of PHG.

The focus on sustainability in corporate activity has come at animportant time, as the civil society sector in Cambodia is undersupported. Last year, the Cooperation Committee for Cambodia, an umbrellabody for the local NGO sector, warned that its 208 members need to "lookat other funds from the private sector" in the next five years.^[3] InJuly, the Centre for Asian Philanthropy and Society (CAPS), a HongKong-headquartered think tank, noted that corporate funding, on average,accounted for just 5%^[4] ofthe budget of Cambodian social development organizations, a third of theproportion common elsewhere in Asia.

Going forward, CAPS also predicts that due to the pandemic, there isexpected to be a pullback in funding and support from foreign NGOs,historically the main supporters of their local counterparts acrossdeveloping countries. With the arrest of funding and support from foreign NGOs,private sector enterprises and governmental units therefore urgently need tofill the gap to ensure continuity of the good work done at developmentalprogrammes and be ready to offer funding for emergency programmes in thecountry.  

About Neak Oknha Chen Zhi

Neak Oknha Chen Zhi is the chairman of Prince Holding Group ("PHG").As chairman, Neak Oknha Chen Zhi has turned PHG into a leading conglomerate inCambodia that adheres to international standards, invests in the future of theKingdom and is committed to sustainable business practices.

Neak Oknha Chen Zhi has expanded the business operations of PHGto encompass various sectors, such as real estate development, banking,finance, aviation, tourism, logistics, technology, food and beverages, andlifestyle sectors.

As well as his business activities, Neak Oknha Chen Zhi engagesin helping communities and philanthropy work.

About Prince Holding Group Ltd.

Founded in 2015 in Cambodia, Prince Holding Group ("PHG") is one ofthe largest corporate conglomerates in Cambodia, with businesses spanningacross multiple industries, including real estate development, banking,finance, aviation, tourism, logistics, technology, food and beverages, andlifestyle sectors. PHG adheres to its mission of "Building a BetterLife", and the Group's philosophy espouses the values of  "Commitment, Responsibility, Respect,Generosity and Innovation".