Skip to Main Navigation

Cambodia Economic Update : Recent Economic Developments and Outlook (Khmer)

Economic growth remains strong, driven primarily by robust expansion in consumption and exports. Domestic demand has been boosted by higher wage growth and larger public investments, with fiscal expansion serving as stimulus. Public outlays were budgeted to increase to 24.6 percent of GDP in 2018 from 23.1 percent in 2017. At the same time, strong external demand has boosted exports of garment and footwear products, which increased 16.1 percent (y/y) during the first half of 2018 - a two year high—from 8.3 percent at the end of 2017. Tourist arrivals reached 3 million during the first six months of 2018, a 13.6 percent increase (y/y), compared with 11.8 percent in 2017, driven by a surge in tourist arrivals by air from China. Capital inflows, mainly comprising foreign direct investment (FDI) continue to increase, underpinning Cambodia's stable external position. Official data showed rising FDI to the manufacturing sector, especially the textile, apparel, and footwear industries, and to agroprocessing. Vibrant construction activity continues to be financed by rising FDI inflows and domestic credit. FDI is estimated to have increased by 14.3 percent (y/y) during the first six months of 2018. About 90 percent of the inflows (excluding those to the financial sector) have originated from China and are directed toward the construction and real estate, agriculture and agroprocessing, and garment sectors. A growing proportion of FDI is now invested in the productive sectors, namely the manufacturing and agriculture sectors, albeit its share remains relatively small at about 20 percent of total inflows.

Details

  • Document Date

    2018/11/27

  • Document Type

    Working Paper

  • Report Number

    132482

  • Volume No

    1

  • Total Volume(s)

    1

  • Country

    Cambodia,

  • Region

    East Asia and Pacific,

  • Disclosure Date

    2019/01/31

  • Disclosure Status

    Disclosed

  • Doc Name

    Cambodia Economic Update : Recent Economic Developments and Outlook

  • Keywords

    regional and global value chains; Gross National Income Per Capita; gross domestic product per capita; access to safe water; Financial Sector; domestic demand; Cost of Doing Business; small and medium size enterprise; marginal product of capital; negotiable certificate of deposit; burden of debt service; national parks and reserves; foreign tourist; tourism; Agriculture; Fiscal Expansion; tourist arrival; external demand; agriculture sector; current account deficit; net job creation; foreign direct investment; local private sector; foreign currency deposit; footwear product; middle-income economy; credit growth; global trade; percent change; domestic credit; advanced economy; Real estate; export growth rate; general government expenditure; improvement in productivity; supply chain linkage; Public Financial Management; improved sanitation facilities; agriculture industry; financial market development; commodity price forecast; financial market volatility; improved water source; global interest rates; residential real estate; foreign skilled worker; rapid credit growth; competitiveness of export; real exchange rate; global financial crisis; access to job; decline in poverty; decline in agriculture; household food consumption; competitiveness of firms; growth and development; proximity to market; agricultural production; borrowing cost; tourism sector; construction sector; quality differentiation; agricultural diversification; tourism industry; rice production; manufacturing industry; Fiscal Stimulus; investment growth; policy uncertainty; trade costs; banking system; rising demand; rural area; international market; physical infrastructure; domestic saving; investor confidence; production increase; speculative activity; rising consumption; foreign visitors; current investment; Labor Market; domestic consumption; estate sector; international reserve; construction boom; monetary policy; external financing; trade restriction; oil price; export value; import demand; real gdp; consumer confidence; trade tensions; cooling equipment; global financing; regional growth; downside risk; construction material; fixed asset; risk aversion; footwear industry; wet season; Fixed Assets; footwear export; metal price; investment climate; market access; financial pressure; tourism activity; commercial purpose; tourism activities; hot spot; forecast horizon; border towns; coastal city; financing need; cost difference; capacity constraint; external condition; regional exchange; trade relationship; import sources; agricultural price; open economy; global integration; foreign income; geopolitical risks; foreign source; differences in results; market expectation; mineral economy; capital inflow; Capital Inflows; cyclical upturn; asset price; risk premium; sectoral composition; domestic debt; investor risk; foreign investor; apparel export; export basket; capital flow; garment production; garment factories; apparel industry; concessional financing; rice price; minimum capital; dug well; manufacturing enterprise; educated workforce; pay taxes; private enterprise; trade preference; skilled labor; severe consequence; urban counterpart; industrial base; working-age population; official estimates; exporting firms; product manufacturing; global marketplace; external position; Public Services; manufactured export; business entry; size distribution; domestic investment; financial resource; accumulation rate; disproportionate share; capital accumulation; soft drink; tax incentive; tariff preference; material imports; rise construction; passenger vehicle; socioeconomic survey; tourist destination; foreign company; agricultural performance; tourism promotion; land resources; preferential policies; agricultural law; Product Diversification; labor productivity; transfer technology; domestic company; weather condition; land area; market segment; export platform; production input; standard deviation; rainwater collection; milled rice; price index; yield improvement

Downloads

COMPLETE REPORT

Official version of document (may contain signatures, etc)

  • Official PDF
  • TXT*
  • Total Downloads** :
  • Download Stats
  • *The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.

Citation

Cambodia Economic Update : Recent Economic Developments and Outlook (Khmer). Cambodia economic update Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/946181548946999935/Cambodia-Economic-Update-Recent-Economic-Developments-and-Outlook