Cambodia’s Economic Surge: 2023 Witnesses 44% Spike in Approved Investment Projects

• 4 January 2024
• Local News
• 1858 Views

The Council for the Development of Cambodia (CDC) gave the green light to 268 investment projects in 2023, marking a substantial 44% increase compared to the previous year. This surge in projects includes 247 new ventures and 21 expansions, reflecting a dynamic and expanding business landscape within the country.

The total investment capital for these approved projects stands at an impressive US$4.9 billion, showcasing a substantial 22% boost from the figures recorded in 2022. Alongside this financial injection into the economy, these projects are anticipated to generate employment opportunities for 307,000 individuals, contributing significantly to Cambodia’s workforce.

An overwhelming 92% of these investment projects find their footing in the industrial sector, numbering 248 projects in total. This sector, while dominating in project count, also makes a substantial financial contribution, accounting for approximately 46% of the total investment capital. The infrastructure sector, while comprising only 2.6% of the total project count, punches above its weight, contributing a noteworthy 44% to the overall investment capital—a testament to the substantial financial requirements of projects in this domain.

The report underscores that the private investment flow in 2023 exhibited a significant uptick, registering a commendable 22% increase compared to the preceding year. Predominantly, Chinese investors lead the charge, contributing roughly two-thirds of the total investment capital, followed by local investors at 24%. Additional investments originate from countries such as Singapore, Malaysia, and others, showcasing Cambodia’s attractiveness on the global investment stage.

Breaking down the geographical distribution of these projects, Kampong Speu emerges as the frontrunner, securing about 28% of the total investment projects. Following closely are Phnom Penh and Svay Rieng at 16%, Kandal at 15%, Sihanoukville at 11%, Takeo at 6%, with Kampong Cham at 1%, and other regions collectively making up 6% of the total investment projects.

• Projects Development