Cambodia attracts $443 million in new FDI
Cambodia attracts $443 million in new FDI
Cambodia attracted Foreign Direct Investment (FDI) worth $443 million in September 2024 which could create about 25,000 more jobs for local people, it was disclosed on Wednesday.
While giving a lecture for the benefit of Deputy Governors from various provinces and capital, Sar Senera, Deputy Secretary General of the Cambodia Investment Board of the Council for the Development of Cambodia (CDC), noted that it registered 28 new investment projects during the month.
The lecture on ‘Stimulating Investment and Partnership Between State and Private Sectors’ was attended by as many as 40 Deputy Governors from the capital and provinces.
The ‘Management Program Level 2’ event was organized by the National School of Local Administration of the Ministry of Interior.
According to a statement by CDC, “the workshop attended by as many as 40 provincial and capital Deputy Governors helped them to understand clearly about the key factors attracting foreign direct investment in Cambodia.”
Speaking during the lecture, Sar Senera informed the participants that after the Covid-19 crisis, the flow of FDI to Cambodia has started rising again.
During the first half of 2024, CDC registered 190 projects that can create about 169,000 jobs.
Apparently, in the first nine months of the year, CDC approved 315 fixed-asset investment projects with a total capital of $5.3 billion.
According to Senera, the FDI flow to the country is a great achievement considering the global geopolitical tensions. Cambodia’s investment-friendly laws contributed greatly to this success, in addition to peace and political stability in the country.
The Royal Government of Government, he said, will always take high care of the investments through the government-private and other mechanisms.
It may be recalled that Sun Chanthol, Deputy Prime Minister and First Vice- President of CDC, recently emphasized Cambodia’s favourable investment climate during a presentation of the “Progress Report on the Implementation of Resolute Reform Measures Introduced at the 19th Government-Private Sector Forum for the First Semester 2024.”
Chanthol noted that peace, political stability, macroeconomic stability and multilateral and bilateral free trade agreements played a critical role in attracting FDI to Cambodia, fostering economic growth in the country.
Multilateral and bilateral free trade agreements such as the Regional Comprehensive Economic Partnership (RCEP), bilateral free trade agreements with China, South Korea and the United Arab Emirates also helped in this endeavour.
Most investment projects focus on industry, infrastructure, energy, agriculture and tourism. China continued to be the top source of FDI for Cambodia.
The Government-Private Sector Forum (G-PSF) was established in Cambodia in 1997 to provide an efficient platform for consultation between the government and the private sector on investment issues ranging from long-term policies to day-to-day operations.
The G-PSF also improves the business environment, builds trust and encourages private investment through a demand-driven process with the private sector identifying issues and recommending solutions.
During the 19th G-PSF Forum in November 2023, the government announced several policies on tax incentives, simplification of administrative procedures, facilitation of the trading of farm produce, and tourism recovery – all aimed at bolstering business activities in the country.
