2022 Saw 19% Decrease in Financing Capital Expenses & 11% Increase in Public Budget

• 4 March 2023
• Local News
• 1372 Views

Cambodia’s financing capital expenditure on infrastructure development in 2022 reached only US$425 million (1,703 billion Riels), slower than the annual budget law and decreased by 19.75% compared to 2021 according to the Ministry of Economy and Finance’s report.

Of the total 28.57% financing capital expenditure, domestic financing decreased by 33.50% while foreign financing decreased by 23%. The report also showed that the current expenses decreased by 14.37%.

The ministry reported that the capital expenditure, equivalent to only 28.18% of the annual budget law, is primarily attributed to the timing of advance payment settlements.

On the other hand, the state capital expenditure in 2022 was planned at 13,858 billion riels, an 11%  increase compared to the previous year, with public investment using domestic financing planned at 6,567 billion riels.

The expenditure performance of US$425 million in 2022 includes the development of Cambodia’s infrastructure, such as roads, bridges, water supply systems, and other critical infrastructure projects that will benefit the country’s economic growth. Despite the low expenditure performance in 2022, the government has plans to continue investing in infrastructure development to boost the country’s economy in the long run.

• Road and Infrastructure