"The formation of Cambodia's new royal government will bring in new investments to the country, generating more jobs and contributing to economic growth,"
announced H.E. Heng Sokkung, Secretary of State at the Ministry of Industry, Science, Technology, and Innovation. Peace, political stability, free trade agreements (FTAs), as well as the Regional Comprehensive Economic Partnership (RCEP) and the new investment law, have endowed the country with strong investment potential, stated the Secretary of State, adding:
"With the new government's mandate, we will witness new investors injecting capital, especially in the textile sector."
RCEP and the Cambodia-China Free Trade Agreement came into effect in 2022, while the Cambodia-Korea Agreement was signed in December of last year.
According to H.E. Heng Sokkung,
"foreign direct investments often reflect confidence in a foreign country, especially when stability, growth prospects, and the strength of political, economic, and legal systems are observed."
Thanks to the new investment law enacted in October 2021, Cambodia is expected to attract more FDI in the future, the Secretary of State further mentioned, emphasizing that Cambodia would welcome investments from all countries in line with its 2015-2025 industrial development policy.
Mr. Lim Heng, Vice President of the Cambodian Chamber of Commerce, also shared his perspective on the country's investment potential:
"Existing trade agreements and new FTAs with major trading partners will attract more investments in the years to come,"
he said, specifying that
"the private sector was confident that the new government would promote economic growth through existing free trade agreements."
It's worth noting that Cambodia attracted 113 fixed assets investment projects worth $1.1 billion USD in the first half of 2023, creating nearly 122,000 new jobs.
Source : Cambodge Mag
Credit photo: Maharaja45