Gov’t to Issue US$180m in Securities to Manage State Securities

• 2 November 2023
• Property Focus
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The Cambodian government is set to issue an additional US$180 million in securities in 2024. This announcement, disclosed in the summary of the 2024 Finance Management draft law by the Ministry of Economy and Finance, underscores Cambodia’s commitment to optimizing its financial resources.

The newly issued state securities, amounting to 440 billion riels or US$108 million, will be instrumental in repaying both the principal and interest on state securities from previous years. Furthermore, these funds will be allocated towards investment projects designed to generate immediate revenue for the Royal Government. This proactive approach aims to ensure investment efficiency and sustainability while effectively managing public debt and the national budget.

In line with its broader financing objectives, the Royal Government seeks to secure 4.70% of GDP (Gross Domestic Product) to invigorate economic development. This endeavor will be supported through a combination of domestic financing via state securities issuance and foreign financing representing 4.39% of GDP, equating to over US$2 billion. This multifaceted approach underlines Cambodia’s commitment to bolstering its economic landscape.

This initiative follows the government’s earlier ventures in the securities market, which commenced in 2022 with the issuance of US$300 million through the National Bank of Cambodia. In 2023, the government announced a further US$200 million issuance through the National Budget Law. These measures underscore Cambodia’s proactive stance in utilizing its financial instruments to drive economic growth. (Read more)

• Economy and Finance
• Investment and Funding