Investor confidence in Cambodia’s economy rises
Investor confidence in Cambodia’s economy rises
The remarkable surge in investment activities in Cambodia during the first year of the new government reflects a growing confidence among investors in the country’s economic stability and future prospects.
The Council for the Development of Cambodia (CDC) reported a significant increase in the number and value of new projects approved during this period. These investments came into key sectors such as manufacturing, tourism, agriculture and real estate.
In the first eleven months of the new government between August last year and July this year, CDC registered 237 projects worth more than $6 billion.
This positive trend is attributed to a combination of government policies that promote business development, infrastructure improvements, and a favourable investment climate, said Lim Heng, Vice-President of the Cambodia Chamber of Commerce.
“The government’s unwavering commitment to economic development and its efforts to create a conducive business environment have played a pivotal role in attracting investors,” Heng told Khmer Times on Thursday.
“With bilateral and multilateral trade pacts coupled with trade preference schemes, we are confident that Cambodia will continue to be a preferred destination for investments in the region,” he added.
The government’s efforts to enhance the country’s investment climate have also been instrumental in attracting foreign direct investments (FDI). These include the establishment of special economic zones, the simplification of administrative procedures, and the provision of incentives for investors.
With continued government support and a favourable business environment, Cambodia is well-positioned to achieve sustainable economic growth and development, Heng said.
“The first year of the government has been marked by a significant increase in investment activity in Cambodia. This positive trend reflects the country’s growing economic potential and the confidence that investors have in its future,” he said.
During the one year, Prime Minister Hun Manet and high-ranking officials made several overseas visits to build diplomatic ties with foreign countries and promote the country’s investment and business environment.
The visits covered the US, China, Japan, Switzerland, Australia, Vietnam, Thailand, Laos, Singapore, Malaysia, France, Indonesia, and South Korea, providing opportunities for bilateral meetings, international gatherings and regional summits.
The government’s economic diplomacy efforts played a crucial role in enhancing Cambodia’s investment landscape, said Ky Sereyvath, Director-General of the Royal Academy of Cambodia’s Institute of China Studies.
“Significant progress has been made in the first year, particularly in attracting investors from major economies, including the United States, Japan, South Korea, and European nations,” Sereyvath told Khmer Times.
Improving infrastructure, reduced bureaucracy and rising trade have created a favourable environment for businesses and foreign investors, said Sun Chanthol, Deputy Prime Minister and CDC’s First President recently.
“The growing number of investment projects demonstrates the confidence that investors have in Cambodia’s economic potential,” Chanthol said.
