Cambodia & Economy: Celebration of first national day of micro, small, and medium enterprises

The First National Day of Micro, Small, and Medium Enterprises was celebrated today in Cambodia. The event, held under the theme "Better MSME Ecosystem for Better Growth," highlighted the significant role of MSMEs in the country’s socio-economic development.

The event, presided over by H.E. Dr. Aun Pornmoniroth, Deputy Prime Minister, Minister of Economy and Finance, was dedicated to celebrating the vital contributions of MSMEs to the nation’s economy and fostering an environment of innovation, sustainability, and inclusive growth.

The inaugural National MSME Day comprised a series of activities, including MSME product exhibitions, networking sessions and panel discussions. The Ministry of Industry, Science, Technology and Innovation highlighted that this hybrid event brought together policymakers, entrepreneurs, business leaders, development partners and stakeholders from across the country to share insights, exchange ideas and explore opportunities for collaboration and growth.

The Royal Government of Cambodia (RGC) has designated 27 June as the National MSME Day, demonstrating Cambodia's commitment to achieving the United Nations' Sustainable Development Goals (SDGs) for 2030. This aligns with the ASEAN Strategic Action Plan for SME Development 2016-2025.

H.E. HEM Vanndy, Minister of Industry, Science, Technology & Innovation, stated that the RGC has identified MSME development as a priority through the implementation of a comprehensive ecosystem. This ecosystem provides support in key areas such as policy formulation, access to finance, entrepreneurship promotion, technology adoption, skills development, product standards enhancement, and ease of doing business.

“We recognise the critical role that MSMEs play in driving economic growth, creating jobs, and fostering innovation,” said Minister Vanndy.

"The First National MSME Day is an opportunity to showcase the achievements of our entrepreneurs and to provide them with the information, tools and resources they need to thrive in an increasingly competitive domestic, regional and global markets."

MSMEs account for 90% of all businesses, employ 60-70% of the workforce and contribute 50% of the global GDP. In ASEAN, MSMEs account for 97.2 to 99.9 percent of all businesses and contribute 44.8 percent of the GDP of member countries.

According to the 2022 census by the National Institute of Statistics of the Ministry of Planning, Cambodia has 753,670 MSMEs employing nearly 3 million people, with approximately 1.8 million of them being women. This sector contributes 63% to the national GDP and employs over 70% of the workforce, not including the agriculture sector.

On the occasion, the Prime Minister highlighted that Cambodia's MSMEs cover a broad range of economic activities and benefit many through creating jobs, reducing migration, stabilising livelihoods, especially for the marginalised, promoting social stability, and vitalising the private sector.

The Prime Minister reaffirmed that, building on the efforts of the previous mandate, the current mandate of the Royal Government is deeply committed to implementing policies and strategic plans to further develop the sector.

The National MSME Day 2024 was organised by the MISTI in collaboration with GIZ, CAPRED, UNIDO, Khmer Enterprise, SME Bank and other business associations.