Prime Minister highlights MSMEs as key drivers of Cambodia’s development goals

Prime Minister highlights MSMEs as key drivers of Cambodia’s development goals

The socio-economic progress Cambodia has achieved over the past two decades has fostered a renewed sense of national pride, particularly as the country moves toward graduating from the group of least developed countries by 2029.

Prime Minister Hun Manet made this statement on Friday during a meeting and solidarity dinner with the Cambodian SME and Handicrafts community, held in celebration of the second National Micro, Small, and Medium Enterprises (MSME) Day.

He acknowledged that the 2029 graduation target is ambitious, but the Royal Government is confident in its achievability. He emphasised that MSMEs have made significant contributions and play a crucial role in helping the nation reach this milestone.

“Micro, small, and medium enterprises have played—and continue to play—a vital role in production, supply, and service delivery.

They are adapting to meet new trends, including shifting market demands, environmental challenges, and rapid technological change,” the Prime Minister stated.

Despite intensifying global competition, many MSMEs have successfully modernised their production chains and expanded their market presence locally, regionally, and internationally.

“We are proud of the enterprises that have evolved—from micro to small, small to medium, and medium to large,” Hun Manet said. “The Royal Government of Cambodia (RGC) stands with you.”

On this occasion, he also outlined the government’s ongoing efforts to diversify markets regionally and globally. These include: (1) Promoting MSMEs as part of high-value production chains and as contributors to backward linkage industries; (2) Encouraging the formation and growth of SME clusters; (3) Supporting the adoption of environmental, social, and governance (ESG) principles to align with global trends; (4) Enhancing the quality, beauty, standards, and competitiveness of local products; and (5) Building a comprehensive MSME ecosystem that requires the engagement and support of all stakeholders, including consumers.

The Prime Minister stressed that the Royal Government is also expanding public investment beyond physical infrastructure. It is strengthening institutional mechanisms and enhancing innovative public service delivery to develop a connected and mutually supportive ecosystem. This, he said, will foster investor confidence and ensure MSMEs remain the backbone of Cambodia’s economy in the future.

He added that Ministries, public institutions, and the private sector—including financial institutions—have also introduced practical mechanisms to improve the business environment and directly support local enterprises. Digitalisation efforts have simplified procedures for business registration, tax enrollment, declaration of establishment, and operational processes, significantly reducing time and costs for entrepreneurs.

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