IFC Initiates Study for Sihanoukville Logistics Center, Paving the Way for Enhanced Trade Connectivity in Cambodia

• 1 June 2023
• Local News
• 8572 Views

The Sihanoukville Logistics Center (SLC) project is set to transform trade and logistics in Cambodia, with the International Finance Corporation (IFC) of the World Bank leading the study. Following signing an agreement with the Ministry of Public Works and Transport in April, the project is on track for completion by the end of November.

In a recent meeting held on 1st June 2023, the IFC commenced the study for the SLC project, delving into crucial aspects with key stakeholders. The meeting covered several vital points, including (1). introducing the IFC’s working group composition, (2). confirming the Royal Government’s objectives and priorities for the project, and (3). discussing the key findings of the business case report under the public-private partnership (PPP) framework.

Moreover, the meeting also (4). addressed the working methods of the IFC, (5). proposed a communication and coordination strategy between the Ministry of Public Works and Transport, the Ministry of Economy and Finance, and the IFC, and provided an outline of the scheduled dates for study results and upcoming steps.

The SLC project, undertaken in collaboration with the IFC, is poised to elevate Cambodia’s trade and logistics landscape. With an estimated total capital investment of approximately US$200 million, the project will be carried out in phases, with the government reimbursed by the winning company through the public bidding process. (Read more)

As one of the priority logistics centers identified in the Comprehensive Intermodal Transport Master Plan 2022-2030, the SLC holds strategic significance in bolstering the capacity of Sihanoukville Port—the country’s primary international deep-sea and commercial port responsible for managing two-thirds of Cambodia’s container traffic. (Read more)

The successful implementation of the SLC project will not only enhance the efficiency and competitiveness of Cambodia’s trade networks but also position the nation as a prominent regional logistics hub within Southeast Asia. The project aims to drive economic growth, attract foreign investments, and facilitate seamless connectivity in the region by fostering robust partnerships and capitalizing on Cambodia’s strategic geographical location.