Economy: Cambodia attracts US$3.2 billion investment in first half of year 2024

According to the Council for the Development of Cambodia (CDC), the Kingdom attracted US$3.2 billion in fixed asset investment in the first six months of this year, up 194 % from US$1.1 billion in the same period last year.

A total of 190 investment projects were approved during the period, an increase of 68 percent or 77 projects year-on-year, the press release said, adding that the approved investment projects could create 168,572 local jobs

Most of the approved projects are located in Kampong Speu, Svay Rieng and Preah Sihanouk provinces, as well as the capital Phnom Penh.

A five-star hotel investment project in Preah Sihanouk province, the 150-megawatt Stung Meteuk hydropower project in Koh King province, a multi-purpose port and logistics centre development project in Kampong Chhnang province, a tyre manufacturing expansion project in Svay Rieng province, and aluminium processing projects in Preah Sihanouk and Kampong Cham provinces are among the outstanding projects approved in the first half of 2024.

Domestic investment capital remains the most important, accounting for 50.15% of total investment capital, while China is the largest foreign source of investment capital, followed by Singapore and Vietnam.

Mr Lim Heng, vice president of the Cambodia Chamber of Commerce, attributed the higher FDI inflow to strong investor confidence. He said investors viewed Cambodia positively because of its stability, peace and free trade agreements. Investors are also aware of the potential for growth in made-in-Cambodia products.

"Cambodia has free trade agreements (FTAs) with China and South Korea. There is also the Regional Comprehensive Economic Partnership (RCEP). All of this makes Cambodia a great destination for foreign investors looking for large markets, favourable policies and potential growth," he explained.