CDC to simplify business registration to lure investment
CDC to simplify business registration to lure investment
The Council for the Development of Cambodia (CDC) is in the process of improving the ease of doing business in Cambodia aimed at attracting foreign investment as companies are likely to switch locations amid trade war pressure, said Sun Chanthol, Deputy Prime Minister and First Vice Chairman of the Council for the Development of Cambodia, yesterday.
CDC is reviewing the existing regulations and procedures to identify points for reform with the target of eliminating complexity in doing business and creating a more transparent investment environment, said Chanthol.
“To attract investment in the context of likely-to-happen trade war pressures, CDC is reviewing to do more reforms, to identify the issues, and create more incentives to investors,” he said.
The meeting brought together representatives from provinces to discuss improving the ease of doing business and investment application registration.
“CDC is committed to creating a friendly investment environment for all national and foreign investors by improving and giving competitive incentives, simplifying business registration processes,” he said.
Last year, Cambodia attracted 414 fixed-asset investments worth a total investment capital of $6.9 billion, up 40 percent from $4.92 in the year before.
The projects were mainly focused on the garment, travel goods, and footwear sectors, hotel development, hydroelectric power stations, freshwater ports, solar power plants, agriculture, amusement parks, car tyre plants, special economic zones, infrastructure, and telecommunication, among others.
Chanthol attributed the high-record FDIs to peace, political stability, and promotion of potential investment by leaders abroad.
“Mission abroad by leaders to promote potential investment, to explain government’s policy reforms and incentives offered to investors is a factor that leads to the increasing FDIs in the country,” he said.
Cambodia’s recent economic success is largely due to increased investor confidence, which results from the Kingdom’s political stability, peace, and free trade agreements, said Lim Heng, Vice President of the Cambodia Chamber of Commerce.
Speaking to Khmer Times, Heng said, “Cambodia’s FTAs with China, South Korea, and its participation in the Regional Comprehensive Economic Partnership (RCEP) make Cambodia a very desirable destination for foreign investors.”
The country’s FTAs with China, South Korea, and mega trade agreements provide investors broad market access and significant growth potential, Heng added.
