Cambodia Approves $276 Million Incentive Package for 19 Projects, Accelerating Sihanoukville’s Economic Diversification

• webmaster@construction-property.com
• 2 December 2025
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The Cambodian government has reaffirmed its commitment to the economic resurgence of Preah Sihanouk province, announcing a new round of special investment incentives for 19 projects valued at approximately $276 million. This decision follows a comprehensive review by the Working Group for Investment Promotion in Preah Sihanouk, which met on November 24, 2025, to discuss proposals for concessions, administrative facilitation, and dispute resolution for local businesses and investment ventures.

According to His Excellency Hean Sahib, Chairman of the Working Group, the newly approved incentives cover a diverse portfolio expected to create about 1,845 new jobs. The projects are strategically balanced, including seven that will restart construction on previously stalled buildings, and twelve that represent entirely new ventures. The range of approved investments extends beyond traditional real estate to encompass hotels, multi-functional commercial complexes, and manufacturing facilities, specifically auto repair equipment, plywood, and furniture production. Furthermore, the government is backing projects in the agri-food sector, with incentives granted for fruit processing and grain processing plants, as well as crucial infrastructure ventures focused on clean water production and electricity supply.

This latest package is part of the broader Special Program to Promote Investment in Preah Sihanouk Province, an ambitious initiative launched in early 2024 to tackle the challenges posed by abandoned construction sites and foster a resilient economic environment. The success of this overarching program has been notable; from 2024 through October 2025, the Working Group has provided principal approval for 392 projects, representing a combined investment value of approximately $7.87 billion, with the potential to generate over 50,670 jobs. These approvals span 186 stalled projects, 166 new projects, 25 expansions, and 15 existing operations. The sustained focus on providing tax incentives, streamlining administrative procedures, and promoting quality, diversified investment highlights the government’s strategic approach to position Sihanoukville as Cambodia’s premier economic gateway.

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