German Uvex Academy To Target Cambodia As Its Investment Expansion Destination

date_range 13-Jun-2024
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Phnom Penh, June 13, 2024 --German’ys uvex Academy, which provides qualified education and training on topics related to personal protective equipment and occupational safety, will consider choosing Cambodia as a destination for its investment expansion, said its Director Dr. Claus-Jurgen Lurz.Dr. Claus-Jurgen Lurz made the remarks after giving a presentation to a Cambodian delegation composed of representatives of the Council for the Development of Cambodia (CDC), concerned ministries/institutions, Cambodian Oknha Association, and Cambodian Chamber of Commerce, in Germany on June 12.For his part, H.E. SUN Chanthol, Deputy Prime Minister and First Vice President of CDC, who led the Cambodian delegation, informed the German side about the CDC’s key role as a coordinator for all investors in Cambodia, as well as about the Kingdom’s favourable investment environment, multipurpose and intermodal infrastructure to facilitate transport and logistics, young labour forces, and political and economic stability.The Cambodian DPM also raised about the new investment law which allows foreign investors to become full shareholders, except land ownership, and Royal Government’s full support to the private sector.

A Workshop On Investment In Cambodia Held In Spain

date_range 12-Jun-2024
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Phnom Penh, June 11, 2024 --A workshop on Investment in Cambodia was organised in Spain on June 10 to promote the investment potential and opportunities in Cambodia to Spanish enterprises.The workshop was co-chaired by H.E. Sun Chanthol, Deputy Prime Minister, First Vice President of the Council for the Development of Cambodia (CDC) and Spanish Secretary of State for Trade H.E. Ms. Maria Amparo Lopez Senovilla.The event, attracting the participation of Spanish Chamber of Commerce, Spanish Confederation of Business Organisations (CEOE), etc., is part of H.E. Sun Chanthol's 'door-knocking' mission to Europe.On the occasion, the CDC first vice president laid stress on the potential of Cambodia, including political stability, macroeconomic stability, labour force, interconnected infrastructure, especially the Royal Government’s support for the growth of businesspeople, and open investment law for all investors.H.E. Sun Chanthol expressed his strong belief that the invited investors and businessmen will visit Cambodia in person, and bring the current state of investment environment in Cambodia to the Spanish business community more widely.On the same day, the Cambodian DPM also met with a number of representatives of Spain’s major companies such as Insud Pharma, Centunion, Melia Group, Molecor, CAF, Biorizon Biotech, Edutrade, and Talgo, to reaffirm the CDC’s readiness to facilitate the investors’ businesses to ensure their success.

Spain Responds Positively To Cambodia's Investment Pitch

date_range 11-Jun-2024
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Phnom Penh, June 11, 2024 --Spanish Secretary of State for Trade H.E. Ms. Maria Amparo Lopez Senovilla responds positively to Cambodia's 'door-knocking' mission to bring in more investments from Europe.H.E. Sun Chanthol, Cambodia's Deputy Prime Minister and First Vice President of the Council for the Development of Cambodia (CDC) received a positive response when leading a delegation to meet with the Spanish secretary of state on June 10 in Spain during his door-knocking trip to Europe.The deputy prime minister briefed the Spanish team on investment potentials, political and macroeconomic stability, the young workforce, and the government's favourable support for investment in Cambodia.He also highlighted the interconnectedness of Cambodia's logistics and transport infrastructure and the country's readiness for the formulation of a bilateral investment treaty with countries interested.H.E. Ms. Maria Amparo Lopez Senovilla warmly welcomed the visit of H.E. Sun Chanthol and his delegation, and unveiled her team's interest in investment in a range of areas, including renewable energy, tourism, transport infrastructure, and wastewater treatment facilities.

Cambodia’s GFT Exports See Strong Growth In First Five Months

date_range 11-Jun-2024
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 Phnom Penh, June 11, 2024 --Cambodia exported a total of US$4.9 billion worth of garment, footwear, and travel goods (GFT) in the first five months of 2024, a significant increase of 20 percent from US$4.1 billion recorded in the same period in 2023, according to a report from the Ministry of Commerce.The report said the apparel and textile exported were valued at US$3.6 billion during the January-May period this year, up 22 percent from US$2.9 billion during the same period last year.Footwear export rose by 10 percent from US$558 million to US$615 million, while travel goods export jumped by 18.8 percent to US$726 million, the same source pointed out.H.E. Penn Sovicheat, Secretary of State and Spokesperson at the Ministry of Commerce, attributed this growth to a rise in global demand for apparel and textile.“The growth in GTF export is a positive sign. This GFT industry has received purchase orders, showing the quality of our products which meets the demand in the foreign market,” he said.The garment, footwear and travel goods industry is the Kingdom’s largest foreign exchange earner.This growth aligns with predictions made by the World Bank, which has recently highlighted the GFT sector as a key driver of Cambodia's economic expansion in 2024.The World Bank anticipates Cambodia's economy to grow by 5.8 percent, with a significant contribution coming from the rebound of GFT exports alongside the continued resilience of agricultural exports.The sector currently consists of around 1,680 factories and branches, employing approximately 918,000 workers, mostly female, according to the Ministry of Labour and Vocational Training.

Cambodia Attracts US$246 Million Investment In May

date_range 10-Jun-2024
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Phnom Penh, June 10, 2024 --Cambodia attracted fixed-asset investment of US$246 million in May, the Council for the Development of Cambodia (CDC) said in a news release on Monday.CDC approved 25 investment projects in May which could create approximately 15,000 jobs, the CDC added.The approved projects span various sectors, including manufacturing, tourism, agriculture, and special economic zones.This diversification highlights Cambodia's efforts to attract investment beyond its traditional garment industry, fostering a more robust and resilient economy.“In May, investment from China tops the list, accounting for almost 50 percent of the total investment capital, while 30 percent other is from domestic sources,” CDC stated in the report.The surge in investment approval is a positive sign for Cambodia's economic growth, said Mr. Lim Heng, Vice-President of Cambodia Chamber of Commerce, stressing that it signifies investors’ confidence in the country's political stability, improving infrastructure and skilled workforce.“Cambodia will be able to attract more investments as both local and foreign investors see the potential of the trade preference deals the country has signed; such as the RCEP, Cambodia-China FTA, Cambodia-Korea FTA as well as the implementation of the new investment law,” he said.

Strengthening Mekong-U.S. Partnership Together With Friends Of Mekong For Sustainable Regional Development

date_range 10-Jun-2024
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Phnom Penh, June 09, 2024 --H.E. MEAS Kim Heng, Secretary of State at the Ministry of Foreign Affairs and International Cooperation (MFAIC) and Cambodia's SOM Leader for Mekong Cooperation, attended the Mekong-U.S. Partnership (MUSP) Senior Officials' Meeting and the Friends of Mekong (FoM) Senior Officials' Meeting in the Lao PDR, on June 5-6.According to an MFAIC’s press release issued this morning, the Senior Officials' Meeting of the Mekong-U.S. Partnership discussed key agendas, including the progress and future direction of the Mekong-U.S. Partnership, and the Mekong-U.S. Partnership Action Plan for 2024-2026. The meeting also discussed preparations for the potential Mekong-U.S. Foreign Ministers' Meeting.The Meeting of the Senior Officials of the FoM was held back to back to the MUSP Meeting at the Secretariat of the Mekong River Commission (MRC) under the theme "Strengthening the Partnership for Connectivity and Resilience of the Mekong" with the participation of Mekong countries, along with other development partners, focused on key priority areas for the development of the Mekong sub-region, as well as strengthening cooperation and efficient coordination for the FoM mechanism.During the two meetings, H.E. Secretary of State thanked the United States and all Friends of the Mekong countries for their valuable assistance in developing the subregion and urged them to provide more support for various Mekong cooperation, including (1) public and private partnership (2) human resource development (3) agricultural and rural development and (4) Micro, small and medium enterprises and digital economy.

In The First 5 Months Of 2024, Cambodia Exports More Than US$10 Billion, Up By10%

date_range 06-Jun-2024
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In the first five months of this year, Cambodia exported more than US$10 billion of major goods, up by 10.88%, while imports amounted to more than US$11 billion, up by 13.6% compared to the same period last year, this is according to the report of the Ministry of Commerce.Cambodia is the largest exporter to the United States, Vietnam, China, Japan, Thailand, Canada, Britain, Germany, Spain, the Netherlands, France, Hong Kong and other major trading partners.Cambodia's main exports are garments and accessories made from fabrics, fruits and nuts, machinery, electrical equipment, footwear and rubber products, as well as major commodities.According to H.E Pen Sovicheat, Secretary of State and spokesman of the Ministry of Commerce, Cambodia's exports are still growing well.

New Multi-Purpose Seaport Inaugurated To Boost Trade And Transportation

date_range 06-Jun-2024
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Phnom Penh, June 06, 2024 --The first phase of Kampot Multi-Purpose Port worth US$ 140 million invested by Kampot Port was officially inaugurated this morning by Prime Minister Samdech Moha Borvor Thipadei Hun Manet.The Cambodia’s Prime Minister said this is one of the 10 multi-purpose ports in Cambodia and it will promote the waterway transportation in the kingdom and boost trade to the international arena.With this new port, it will further boost Kampot province to be a hub for trade, tourism, and investment in Cambodia, he said.H.E. Peng Ponea, Minister of Public Works and Transport said this freshly inaugurated port can handle some 10,000 tones or 666 TEUs ships with 3 port GCSs and 3 RTGs.This port is covered on 678 hectares with 55,000 square meter container ground, 8,800 square meter warehouse, he added.The Kampot Logistics and Port project began in May 2022, by the Shanghai Construction Group and the China Road and Bridge Corporation.

Cambodia’s Largest Port Reports Over US$35 Million In Revenue In First Four Months

date_range 04-Jun-2024
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Phnom Penh, June 03, 2024 --Sihanoukville Autonomous Port (PAS), Cambodia's largest port, is experiencing a significant surge in revenue in the first four months this year.A PAS’ report showed on Monday that the port generated US$35.2 million in revenue during the first five months, a 24.4 percent increase compared to the same period in 2023.“The port handled throughput of 296,685 TEUs (twenty-foot equivalent units) in the first four months this year, up 24 percent from 239,273 TEUs in the same period last year,” read the report.Analysts attribute the revenue growth to several factors. One potential driver is the continued positive performance of Cambodia's economy. The country is expected to see steady growth again this year, fueled by sectors like tourism and garment manufacturing. This translates to an increase in imports and exports, keeping the port busy.Another contributing factor could be the recent completion of a new container terminal at PAS. This expansion, finalised in late 2023, allows the port to accommodate larger vessels and handle a greater volume of cargo.The increased capacity is likely a significant factor in attracting new business and boosting revenue.The PAS is the Kingdom's sole international and commercial deep seaport.PAS plans to develop the port in three phases. By 2026, the new container terminal, which will be 350 metres long and 14.5 metres deep with a container capacity of 1.45 million TEUs per year, is expected to be completed.The second phase of the new container terminal will be implemented in 2028 and the third phase, to be completed in 2029, will increase the container capacity to more than 2.67 million TEUs per year.

Biogas Power Production Mulls Investment In Cambodia

date_range 31-May-2024
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Phnom Penh, May 29, 2024 --The Minister of Agriculture, Forestry and Fisheries has carefully learned about an investment plan for a biogas power production project proposed for operation in Cambodia.H.E. Dith Tina joined the project briefing at the ministry on May 28 by Enserv Holding Company Limited on the establishment of the Sorghum grass farm and the Sorghum grass biogas power plant project.The minister, in principle, welcomed the investment and encouraged the investor to run a comprehensive upstream study on technical and legal aspects as well as to secure solid market placement of the produce.Meanwhile, he advised the investor to look into the downstream of the operation, especially to promote grass-growing among targeted farmers with reliable profitability.A thorough examination of both the upstream and downstream aspects is a key foundation for a successful and sustainable investment, emphasised H.E. Dith Tina.

Hungary To Boost Investment In Cambodia

date_range 31-May-2024
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Phnom Penh, May 30, 2024 --Hungary is committed to further boosting investment and trade with Cambodia.The commitment was made by H.E. Tibor Baloghdi, Ambassador Extraordinary and Plenipotentiary of Hungary to Cambodia, during a meeting with H.E. Huot Hak, Minister of Inspection in Phnom Penh, on May 28.H.E. Tibor Balogdhi underlined that further promotion of economic cooperation, investment, and bilateral trade is at the top on his priority list for the mission in Cambodia.Appreciating the diplomat's priorities, H.E. Huot Hak shared with him the latest situation in Cambodia, including the political and socioeconomic areas, as well as the country's intention to attract more foreign direct investment.He spoke highly of the good diplomatic relations between the two nations since 1956 and thanked the government of Hungary for its contribution to Cambodia's development, especially in education, trade, and tourism.

Visa Supports Women-Owned SMBs And Youths In Southeast Asia With Digital And Financial Skills

date_range 30-May-2024
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Phnom Penh, May 30, 2024 --Visa, a global leader in payment solutions, is committed to promoting digital and financial inclusion by equipping women and youth in Southeast Asia with essential digital and financial skills, to foster sustainable growth and pave the way for long-term success, according to the company’s press release dated May 29.An OECD report found that rural communities, women, and certain ethnic minority groups face barriers to realising the full uptake of digital options. Many frequently encounter growth hurdles due to cultural and institutional obstacles, coupled with a preference for informal financing.Southeast Asia's young population, who constitute nearly a third of Southeast Asia, along with the region's SMEs and MSMEs, which constitute 99 percent of businesses, are key to economic growth. Visa is aiding this progress by enhancing digital and financial literacy for women SME owners and young individuals. In 2023, Visa digitally enabled 10 million SMEs in Asia Pacific. Visa Foundation has committed over US$47M in the region, which has helped support two million women-led SMEs and sustain 500,000 jobs, and recently pledged US$100M to APEC economies over five years.“In Cambodia, women and young people form a crucial engine propelling local economic growth. Visa utilises our resources and vast network to give back to the communities we operate in, particularly in promoting digital and financial inclusion. We believe in the transformative power of providing individuals and communities with global access to digital financial tools. As a key partner in Southeast Asia's financial ecosystem, Visa is committed to reaching the most underserved communities, ensuring they too can reap the benefits of the digital economy,” said Mr. Stephen Karpin, Regional President, Asia Pacific, Visa.Ms. Kelly Tullier, Vice Chair, Chief People and Corporate Affairs Officer, Visa, added: “At Visa, we are dedicated to empowering women, particularly those running small businesses, to set them up for success. My trip to Vietnam reinforced how contributions within local communities are most impactful when done in concert with leaders on the ground. We met Visa Foundation partner, WISE Vietnam (Women’s Initiative for Startups and Entrepreneurship), which has supported 100,000 women entrepreneurs in Vietnam with access to digital tools to grow their businesses. Meanwhile, Visa’s partnership with The Asia Foundation enables us to work with government agencies and microfinance institutions to support local businesses and help the digital economy thrive. By supporting each other, we lay the groundwork for equitable futures for all.”Visa and Visa Foundation forge strategic partnerships that help advance digitisation and financial inclusion in communities across Southeast Asia, with several Social Impact initiatives. In Cambodia, Visa works with the Ministry of Women’s Affairs in Cambodia (MoWA) and the National Bank of Cambodia (NBC) to support women through financial literacy and entrepreneurship programs.Since 2020, Visa, MoWA, and NBC have collaborated on a four-year initiative, "Promoting Financial Literacy for Women and Women Entrepreneurs”, that has helped more than 10,000 women entrepreneurs and students. Given NBC’s progressive commitment to reduce the financial exclusion of women by half from 27 percent to 13 percent as stated in its National Financial Inclusion Strategy 2019-2025, Visa is committed to aligning with NBC’s goals in its social impact programs.Visa Foundation’s partnership with The Asia Foundation has supported over 1,200 women entrepreneurs in The Philippines and Cambodia. In Cambodia, the project provided over 800 women entrepreneurs from 12 provinces with access to capital, financial education, business training, and online markets through existing e-commerce platforms.

Three Turkish Firms Wish To Expand Business To Cambodia

date_range 28-May-2024
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Phnom Penh, May 28, 2024 —Cambodian Deputy Prime Minister SOK Chenda Sophea, Minister of Foreign Affairs and International Cooperation had separate meetings with three companies, during his official visit to Turkey, on May 27.According to the Ministry of Foreign Affairs and International Cooperation, the three firms include Koru Ankara Hospital, Dedeman Hotel & Resort International, and Kiddy Company. They wished to expand their investment into Cambodia in the fields of medical tourism, hotel management, communication technology system in the field of education, and investment financing.The companies expressed high appreciation for H.E. Deputy Prime Minister's explanation on Cambodia's policy to improve business environment and provide incentives for investors in potential fields.They also expressed their interests and confidence in seeking opportunities to invest in Cambodia.

Cambodia, US Committed To Strengthening Trade And Investment Cooperation

date_range 24-May-2024
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Phnom Penh, May 24, 2024 --Cambodia and the United States of America have been committed to strengthening bilateral cooperation in trade and investment sectors, including the progress of other policies, to promote prosperity and sustainable development.The commitment was made during a meeting between H.E. RATH Saravuth, Secretary of State at the Ministry of Commerce, and Ms. Wallis Yu, Director for Southeast Asia and the Pacific, U.S. Trade Representative (USTR), to discuss bilateral trade and investment relations between the two countries, at the ministry office on May 23.On that occasion, H.E. RATH Saravuth spoke highly of the discussion, and appreciated technical assistance provided by the U.S. government so far, resulted in a driving force for the expansion of cooperation in some priority areas in both bilateral and regional frameworks.

World Bank Approves US$40 Million Project To Improve Skills For Better Jobs In Cambodia

date_range 24-May-2024
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Phnom Penh, May 24, 2024 --Approximately 33,000 Cambodians are expected to receive improved training and labour market services as a result of a US$40 million credit approved by the World Bank’s Board of Executive Directors on Thursday, a press release stated on May 24.The credit from the World Bank’s International Development Association (IDA) aims to enhance the quality and relevance of job-related skills among the country’s workforce and increase the employability and earnings of workers.It will support the Skills for Better Jobs Project, which seeks to strengthen technical and vocational education and training, improve career guidance and job search support, and better engage employers when developing training programmes.Cambodia’s economy and employment have grown rapidly in recent decades as macroeconomic stability, openness to trade, and preferential access to Western markets helped the country attract overseas investment. However, the quality of jobs is low: 89 percent of jobs in the country are low skilled and a large share are informal.The five-year Skills for Better Jobs Project is designed to help Cambodia’s economy diversify into sectors that require more medium-skilled occupations. It will be implemented by the Ministry of Labour and Vocational Training and Skills Development Fund.“As Cambodia aims to move up value chains and diversify its production, upskilling its current and upcoming workforce will be key to attracting more and better foreign direct investment and responding to employer needs,” said Ms. Maryam Salim, World Bank Country Manager for Cambodia.“Technical skills training, when demand-responsive and supplemented with training in complementary skills, such as digital and behaviuoral skills, can support Cambodia in achieving its objectives,” she said.The key expected outcomes of this project include greater employer satisfaction with the skills of training-programme graduates; an increase in the share of graduates who find jobs paying more than the national median wage; increasing industry's voice in training design and delivery, and facilitating dialogue and collaboration between training institutions and employers; an improved labour market information system; and increasing the number individuals receiving job counseling and career guidance.

Cambodia’s Economy Poised For Growth In 2024: AMRO

date_range 23-May-2024
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Phnom Penh, May 23, 2024 --The ASEAN+3 Macroeconomic Research Office (AMRO) released on Thursday its regional economic outlook, predicting a positive year for Cambodia.The report forecasts Cambodia's economy to grow by 5.6 percent in 2024, surpassing the 5 percent growth recorded in 2023. This upward trend is attributed to several factors, garment sector and non-garment exports and continued tourism sector.The Southeast Asian country’s growth is mainly driven by garment exports, tourism, agriculture, construction, and real estate.AMRO highlighted a recovery in the garment sector, sustained expansion in other manufacturing exports, and continued tourism rebound will support the ongoing economic recovery.However, the report also acknowledges potential challenges. The recovery trajectory is contingent on external risks and domestic vulnerabilities, particularly prolonged weakness in the real estate sector and a decline in credit quality.The government should restore fiscal space, mitigate financial stability risks, and strengthen structural reforms to ensure resilient growth, it stated.The report said the Cambodian economy is projected to grow by 5.9 percent in 2025.The report is according to the preliminary assessment by AMRO after its Annual Consultation Visit to Cambodia from May 2 to 13, 2024.The mission was led by AMRO Principal Economist Jinho Choi. AMRO Director Kouqing Li and Chief Economist Hoe Ee Khor participated in the policy discussions.The discussions focused on Cambodia’s recent macroeconomic developments and outlook, risks and vulnerabilities, and policy recommendations to secure resilient growth and financial stability.

The government predicts 2024 economic growth in Cambodia.

date_range 21-May-2024
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May 17, 2024, Phnom Penh,— Even with the high level of uncertainty surrounding the global economy, Cambodia's GDP is expected to expand at a 6.0% annual pace in 2024. As local economic activity continues to stabilize, this development is ascribed to the global economy's recovery, notably among Cambodia's trade partners.With a 5% growth rate in 2023, the momentum is deemed high in comparison to other nations in the region. This strong performance has created a strong basis for the economy to continue expanding in the upcoming year.The Royal Government of Cambodia's Strategic Budget Plan 2025–2027 states that the adoption and reinforcement of several policies and strategies is to blame for this optimistic prognosis. A noteworthy factor has been the expeditious implementation of the "Pentagon Strategy - Phase 1" and important policy initiatives. Over the past few years, the administration has persisted in advancing reforms, concentrating on revitalizing already-established economic sectors and fostering the development of new, promising ones. The national economy has benefited from investments in digital and green infrastructure, as well as small and medium-sized businesses.The objectives of the "Pentagon Strategy - Phase 1" are to increase productivity, support sustainable development, and diversify the economy. It includes the following five main areas: economic modernization, social protection, environmental sustainability, infrastructure development, and human resource development.The goal of these areas is to develop an economy that is more competitive and resilient enough to withstand shocks to the world economy.The strategy's emphasis on small and medium-sized businesses is one of its most important elements (SMEs). The government has put in place a number of programs to help SMEs, such as chances for market expansion, technical support, and funding access. Through the establishment of an environment that is favorable to SMEs, the government hopes to promote economic growth, employment creation, and innovation.Cambodia is making significant investments in digital and green infrastructure in addition to helping SMEs. The significance of digital transformation in augmenting productivity and competitiveness is acknowledged by the government. The nation's digital economy is anticipated to grow faster because to investments in e-government services, digital skill training, and broadband access. In the meantime, efforts to promote environmental sustainability and lessen the nation's carbon footprint are being made in the form of green infrastructure projects, which include developments in renewable energy and sustainable urban planning.Economic growth also heavily depends on government initiatives to improve commercial relations and draw foreign direct investment (FDI). Trade agreements are anticipated to open up new markets for Cambodian goods and services, such as the Regional Comprehensive Economic Partnership (RCEP) and bilateral free trade agreements.These agreements will also draw in international capitalists who wish to take advantage of Cambodia's advantageous location and business-friendly atmosphere.Human resource development has also been given top priority by the Cambodian Royal Government. Programs for education and career training are being increased in order to give workers the skills necessary for a modern economy. These initiatives seek to raise living standards, lessen poverty, and make sure that everyone gains from economic prosperity.In addition, maintaining economic growth depends on the government's commitment to social protection and healthcare. The population's well-being will increase with the expansion of social safety nets and the improvement of healthcare services, allowing for higher levels of productivity and economic involvement.With Cambodia still navigating the difficulties brought on by the world economy, the government's all-encompassing commitment to reforming and implementing policies should pay off handsomely. The durability of the Cambodian economy and the efficacy of these measures are shown in the 6.0% growth rate predicted for 2024.

Cambodian PM seeks more foreign investment in oil development

date_range 20-May-2024
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PHNOM PENH, 2024 May – At a community gathering in South Korea on May 20, Prime Minister Hun Sen stated a focus on luring more international investors in an effort to advance Cambodia's national development.Continuing efforts to entice international companies to Cambodia were presented by Prime Minister Hun Sen. He emphasized the major economic impact of these investments by saying, "As of May, we've secured a total of 147 investment projects valued at US$2.7 billion, creating an estimated 140,000 jobs."In addition to foreign investment, the prime minister spoke to a group of 45,000 migrant laborers from Cambodia who were in South Korea. He exhorted them to put forth a lot of effort and come back home with useful information and abilities that would advance the growth of the country.In addition, the prime minister discussed his observations from his most recent four-day trip to Seoul, which happened on May 15–18. He talked about how, as part of a larger plan for economic modernization, the Cambodian government is committed to changing the industrial sector, moving from light manufacturing to more sophisticated industries.Enhancing its industrial capabilities and achieving sustainable economic growth, Cambodia aims to attract foreign investment and encourage qualified Cambodians to work abroad.

Governor of the NBC Reminds Banking and Financial Institutions to Continue to Be More Vigilant on Real Estate Lending

date_range 20-May-2024
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Phnom Penh: The Governor of the National Bank of Cambodia, Dr. Chea Serey, once again reminded the banking and financial institutions in Cambodia to continue to increase their vigilance in lending to the real estate sector, which is still in poor condition. Reminder from Dr. Chea Serey, Governor of the National Bank of Cambodia, on the occasion of presiding over the opening ceremony of the seminar on "Financial Statement 2023" on the morning of May 20, 2024.She said that in this situation, in order to manage risks in the real estate sector and to avoid and minimize the potential impact on financial stability, all relevant authorities will continue to closely monitor and monitor the risks in real estate sector and cell interface risks of the real estate sector.The National Bank of Cambodia predicts that in 2024, the construction and real estate sector in Cambodia will continue to grow slowly while the demand for luxury housing will continue to weaken. According to the National Bank of Cambodia's Macroeconomic and Banking Report 2023 and Vision 2024, the construction and real estate sectors affected by the previous crisis are projected to continue to grow slowly, which will continue to be supported by public infrastructure development projects, coupled with a slow recovery in domestic demand focused on affordable housing at the same time, demand for luxury construction services for non-residents is expected to remain weak.The report by the National Bank of Cambodia emphasizes: "Increasing non-performing loans may slow down credit growth for consumption and investment, and growth in the construction and real estate sectors may continue to be low and may have an impact on other sectors such as: The banking sector and so on."According to a report by the National Bank of Cambodia, lending by the Cambodian banking and microfinance sector as of the end of December 2023 reached 59.31 billion US dollars, an increase of 4.8%, compared to the same period in 2022.This is the lowest credit growth rate in more than two decades.Meanwhile, the distribution of loans by sector, including lending to the real estate sector had a leading growth rate of 16.9%, followed by the construction sector 13.9%, housing purchases 6.4%, wholesale sales increased 4.8% and hotels and restaurants increased 0.6%.

PM Encourages Korean Businessmen To Start Up Investment In Cambodia

date_range 17-May-2024
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Phnom Penh, May 16, 2024 --Prime Minister Samdech Moha Borvor Thipadei Hun Manet has encouraged more Korean businessmen to start up their investment in Cambodia as the governments of both nations had agreed to jointly boost Korean investment in the Kingdom.Addressing the opening ceremony of Cambodia-Korea Business Forum held in Seoul, the Republic of Korea this afternoon, Samdech Thipadei Hun Manet said business and investment are one the top agendas of his summit meeting with S. Korean President H.E. Yoon Suk Yeol this morning.“In the meeting this morning, the promotion of trade between the two countries was top of the priorities. […] and I raised some initiatives and mechanisms which allows Korean businessmen to engage with the Council for the Development of Cambodia (CDC) twice a year,” he said.This will give a chance to Korean businessmen to meet directly with the Royal Government of Cambodia’s body responsible for investment, the Cambodian Premier added.“We have done so with Japanese businessmen, business communities in the US and EU, and now we do the same with Korean businessmen in Cambodia,” he said. “As we care about business environment in our country, all Korean businessmen can raise their concerns directly in that occasion to find resolutions in a timely manner.”According to the joint statement released following the summit meeting between Samdech Thipadei Hun Manet and ROK President H.E. Yoon Suk Yeol in Seoul this morning, both sides agreed to jointly promote Korean investment in Cambodia, with a focus on small and medium-sized enterprises and export-oriented high-tech industries, such as automobile assembly, electronics, electrical equipment and machinery.In an effort to promote bilateral investment, both sides agreed to establish a regular consultation channel between the CDC and the ROK Embassy in Cambodia to create a more favourable investment environment for Korean businesses.In this connection, both sides concurred to foster a close collaboration between the CDC and the Ministry of Trade, Industry and Energy of the ROK, the ROK Embassy to Cambodia and the Korea Trade-Investment Promotion Agency to explore the possibility of setting up the Cambodia-ROK Special Economic Zone to further facilitate and attract investment projects from the ROK to Cambodia.ROK is one of Cambodia's largest trade and investment partners with a total bilateral trade volume of approximately US$751 million, ranking 11th in 2023. In addition, direct investment from the ROK (FDI) totaled more than US$5 billion, ranking 9th in 2023.