មូលនិធិអភិវឌ្ឍន៍ជំនាញ

Skills Development Fund

មូលនិធិអភិវឌ្ឍន៍ជំនាញ

Skills Development Fund

  1. FAQs

SDF information

SDF is a newly-adopted policy instrument envisioned to become the most trusted financing platform for demand-driven and sustainable skills development.
The SDF project was established on March 12th, 2018, ​and opened the first call for proposals in July 2018. 
In line with Cambodia Industrial Development Policy 2015-2025 to respond to the shortage of skilled labor, which is an obstacle to achieving the vision of transforming Cambodia into a high-middle-income country by 2030, the Royal Government of Cambodia (RGC) has established SDF to trigger pragmatic private participation in financing and developing demand-driven skill training. SDF offers co-financing in training projects which are joint by the private sector and the training providers to meet the real needs of the industry.
More than just providing training funds, SDF can further connect to SDF networks from Private companies, Associations, Development Partners, Public sectors, Training providers, and Non-governmental organizations. It is an opportunity for every institution to consider working together to upgrade labor skills and expand its reputation.
Private sectors, all-size enterprises, associations, development partners, public sectors, training providers, non-governmental organizations can become SDF partners. 
Note: The private sector and all enterprises must obtain a tax registration certificate.
All institutions that are registered in Cambodia are eligible to apply for the training fund. However, SDF encourages companies  to initiate the training proposals because SDF prioritizes demand-driven or industrial skills needs. 
SDF sources of funds at present are from Cambodia Government and Asian Development Banks (ADB).
SDF has a clear vision to become the most trusted financing platform for sustainable and demand-driven skill development in Cambodia.
Several reasons that define SDF as unique and different from other funds are as below: 

  • Training model: SDF’s model is Public Private Partnership, which means SDF encourages the industry to partner and initiate joint-training proposals with any training providers. The more the training proposals focus on the industry-based type of training, the higher score will be given in the evaluation process. 

  • Financing model: SDF does not fully provide training funds. The industry/ private companies/ associations and the training providers must co-finance in cash or in kind.  
 
  • Demand-driven or industrial skills definition: SDF considers demand-driven skills are skills that the company or industry needs. In other words, skills proposed by the industry.

To be sure that the proposed training skills are in demand, all proposal submitters should focus on the below ideas. 
  • The trainees are to be employed by specific companies after the training (for Pre-employment scheme), or 
  • The proposals are initiated by the private company/industry.
SDF suggests that to fully understand what skills are in real demand, all prospects should work closely with relevant stakeholders and identify the skills. It is out of SDF’s scope of work to help identify the specific skills but SDF is more than happy to connect with SDF’s networks if requested.

Note: SDF cannot co-finance all types of training. We try our best to follow our principles (mainly focus on the five sectors) with some flexibility to ensure the effectiveness and efficiency of training fund allocation.

By March 2023, SDF received 243 training proposal, 96 of which were awarded. 

Training Scheme and Target beneficiary

SDF target trainees are formally employed workers, Trainers, SME owners or management teams, unemployed people, and students.
In total, SDF provides co-financing for training in Pre-employment, Upskilling, and Re-skilling.
SDF prioritizes five sectors including 1). Manufacture; 2). Electronics; 3). Information & Communication Technology; 4). Construction and 5). Tourism and Hospitality.

SDF will also consider training proposals for other emerging skills that are not in the above priority sectors if there are industrial demands for the skills illustrated in the proposals. The emerging skills include both soft and hard skills.

No, it is not. SDF fund is for every level of training in the five prioritized sectors and emerging skills. As long as the skills are in demand by the industry, they can apply for requesting the SDF funds.

Training Proposals/ Projects

All business associations/companies/industries/ enterprises and the training providers can prepare and submit joint-training proposals to request for the SDF’s co-financing through the online system at pms.sdfcambodia.org.

Please go to the link to learn how to apply the training proposals to SDF (link). 

From April 6, 2021, SDF will open the calls for proposals without a deadline. It means that whenever the private sector, enterprises, and training providers have identified specific demands of skills training, the institutional representatives can prepare the proposals with required documents and submit them to SDF through the project management system (PMS link).
In preparation for the training proposals, all prospects proposal submitters are encouraged to prepare and consider the following points:   
  • A Partnership between Industries and Training Institutions
  • Target Trainees  
  • Training Plan
  • Qualification of Trainers
  • Key Performance Indicators (KPIs)
  • Budget Estimate; and 
  • Co-Financing in training

Please read the SDF proposal guideline for detailed information (link).

SDF requires various documents. It includes 1. Training institution’s profile (s); 2. Curriculum Vitae of trainer (s); 3. Proposals initiatives bank account; (4) Private company/industry/association’s profile (s); and (5) List of trainees (for Up-skilling program).

Please go to the checklist for detailed information (link). 
The evaluation process may take up to several months. Every applicant can find the status in their online account after submitting the proposals to SDF. All passed/failed results will be announced through email. 
Yes, every submitter can apply more than one proposal at a time as long as the training skills are the actual demands.
In total, there are seven (7) steps for training proposals screening and evaluation: 

  • Proposal Preparation & Submission;
  • Proposal Screening & Feedback;
  • Initial Evaluation;
  • Proposal Presentation or Pitching (if needed); 
  • Final Evaluation and Approval;
  • Announcement of Evaluation Results; and 
  • Contract Signing and project implementation.

Please read the SDF proposal guideline for detailed information (link).

After training proposals submission and during project implementation

  • Training proposals refer to all prospective proposals that have not been evaluated. 
  • Training projects refer to all awarded training proposals. 
The SDF team will prepare the contract and request relevant documents if needed. After our team have the training contract prepared, we will contact all proposal representatives to sign and get the first budget disbursement.
No, you will not receive all requested training budgets in whole amount at one time.
SDF will disburse the training budget in four different stages. 

  • First disbursement (10% of the proposed training budget) is made upon contract signing with the awarded training proposals.
  • Second disbursement (40% of the training budget) is given after the completion of trainee recruitment and submission of required training enrolment document.
  • Third disbursement (30% of the training budget) will be paid in the mid-way completion of the training under the condition that the drop-out rate is below the agreed KPI and in full compliance with the required documents.  
  • Fourth disbursement (20% of the total budget) is made upon achieving all KPIs indicated in the proposals. 

Each KPI is independent. The advanced payment of this 4th disbursement will be done when the KPI verification is completed after three months of training completion.

 Note: the total number of disbursements is subject to change if necessary. 
SDF training fund can cover five different expenses: 1. Instructors/Trainers’ salary; 2. Trainee’s allowance; 3. Learning materials (not a fixed asset); 4. Utilities; and 5. Another administrative cost.
The SDF team will first learn about the case(s). We will consult and provide feedback to the representative(s) of the institution(s) before the training(s) begin(s).
All funded institutions are required to submit 1. Attendant list (monthly or periodically), and 2. (Updated or revised) training content (if there are any changes).
SDF Monitoring and Evaluation team will conduct an orientation with the proposal submitters about the required document and detailed process.

After Training project completion

Yes, SDF will monitor and evaluate the implementation of the training projects. 
There are two separate studies: 1. Assessment on Skills Attainment and 2. Assessment on KPIs Achievement. These studies will start within one year after the completion of the training projects by the independent agents under the joint training contract with SDF.

If you fail to achieve all the KPIs, SDF will deduct the 20% remaining of the total budget in the 4th disbursement. You will only receive an equal proportion of the last payment budget based on the number of Key Performance Indicators you achieved.

មូលនិធិអភិវឌ្ឍន៍ជំនាញ

Skills Development Fund

Address: 10th Floor, Business Development Center (BDC), OCIC Blvd, Chroy Changvar, Phnom Penh
Telephone: +(855)23 901 583

© Copyright 2020 | Skills Development Fund (SDF)

Ministry of Economy and Finance (MEF)