ADB projects Cambodia’s economic growth at 5.3% in 2022, and 6.5% in 2023

• 6 April 2022
• Local News
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The Cambodian economy is projected to grow by 5.3% in 2022 and 6.5% in 2023, driven by the increase in exports and inflow of foreign direct investment, according to Asian Development Bank (ADB)’s report on 6 April.

Among all, the hospitality sector will see a decent recovery in 2022 but is expected to grow significantly in 2023 thanks to SEA Games and the National Election.

The industrial manufacturing sector will grow at 8.1% and 9.1% while service sector at 4.8% and 5.8%, in 2022 and 2023 respectively.

This growth is due to the high demand for Cambodian products from abroad and the recovery of the tourism sector.

The next sectors expected to recover are wholesale, retail, transportation, communications, and real estate.

Lastly, the ADB also suggested that boosting trade and tourism alone would not be enough for Cambodia’s sustainable growth.

Cambodia needs to diversify its industries by focusing more on light manufacturing such as bikes, electronic equipment spare parts, and electric wire, rather than just garments, footwear, and travel goods.

 

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