WB: Cambodia Needs Systematic Approach Beyond Building Roads to Boost Competitiveness

• 5 July 2022
• Local News
• 1647 Views

A recent World Bank report has suggested Cambodia needs a clear systematic approach beyond just building physical assets such as roads and bridges to boost its connectivity and trade competitiveness in the region.

The report entitled ‘Cambodia Economic Update June 222’ claimed Cambodia’s infrastructure remains underdeveloped, and the country’s performance in logistics has been significantly below other countries in the region, thereby triggering higher costs.

“Increasing supply chain reliability and service quality is key to improving Cambodia’s logistics performance, as predictability is not just a matter of time and cost but also a component of shipment quality,” the report added.

A systematic approach that goes beyond merely improving physical assets is also required to increase Cambodia’s competitiveness, facilitate international trade, and enhance its connectivity.

The systematic approach includes strengthening the supply chain by monitoring the efficiency of trade gateways and routes, expanding the “Best Trader scheme” to the wider logistics sector, developing a longer-term business plan for railways, and establishing the “Roadwatch,” hotline, through which traders and citizens can report irregularities.

The World Bank also suggested that to successfully implement these reforms, Cambodia will need an institutional approach and a lead government agency that can oversee logistics development at the national level.

• Analysis
• Road and Infrastructure