Cambodian Government Unveils 2026 Budget Plans

• 29 October 2025
• Local News
• 1482 Views

The Cambodian government has announced an ambitious plan to allocate over 10 billion riel from the state budget in 2026, marking a 7.6% increase from 2025. This announcement was made during a cabinet meeting on October 24, 2025, with Prime Minister Hun Sen in attendance, highlighting the administration’s commitment to economic growth and development.

According to a press release from the government, the total state budget for 2026 is projected to reach 40.913 billion riels, which represents approximately 18.85% of the country’s Gross Domestic Product (GDP). This figure signifies a growth of 7.8% compared to the previous year’s financial law.

The government’s economic forecast indicates a steady growth trajectory, with an expected GDP growth rate of around 5.2% in 2025, slightly tapering to 5% in 2026. The per capita GDP is anticipated to increase to $3,020 in 2026, up from approximately $2,858 in 2025, demonstrating a positive trend in economic prosperity.

Support for this growth is expected to stem from various sectors, including industry, services, and agriculture, particularly through the fishing and livestock industries, which continue to thrive. Additionally, the government has projected the average annual inflation rate to hover around 2.8%, reflecting a cautious approach to managing economic stability.

These developments underscore the Cambodian government’s commitment to fostering sustainable economic growth and improving the living standards of its citizens as the country looks forward to 2026.

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