Cambodia

General information

Cambodia
Natural Increase: 1.6%
Density: 87 Inhabitants/km
Urban Population: 20.5%
Ethnic Origins: Khmer 90%, Vietnamese 5%, Chinese 1%, other 4%.
Official Language: Khmer
Other Languages Spoken: French, English
Business Language(s): English
Religion: Theravada Buddhist 95%, Others 5%.
Literacy Rate: 73.6%
Type of Economy: Low-income economy.
The population is predominantly rural; the economy is dominated by agriculture and
textiles.
HDI*: 0.585/1
HDI (World Rank): 136/187

Cambodia
Internet Suffix: .kh
Telephone Lines: 4.0 per 100 Inhabitants
Internet Users: 4.9 per 100 Inhabitants
Access to Electricity: 24% of the Population

Cambodia
Heavily as agrarian society
Relatively poor country with low PPP
Quite high level of natural researcher but poorly
managed
Country is still affected the red Khmer regime
Country is lead by War lords

Political system
Constitutional monarchy
Multi party system
The executive branch comprices the King, Prime
minister, 10 deputy Prime minsters and other senior and
junior ministers
Bicameral parliament (5 year term)
Political stability is lower than other ASEAN countries

Legal system
Based in French legal system including elements with
common law, royal decrees, customary law and so on
LEGAL frame work is incomplete and unevenly enforced
Many Business related drafts are still pending (How
about FDI)
Many Foreign as Cambodian business and investors
perceive that court system to be unreliable and
susceptible to external political and commercial
influence.
According the world Bank it is ranked 135 out of 189 to
do business

Economy
Cambodia is now free market economy
Economy growth around 10% annually
Main industries:
Garment manufactures
Tourism
Rice miling
Fishing
Wood and wood products
cement

Economy
Gems
Mining
Agriculture
Main Crops are:
Rice, bananas, rubber, corn, tapioca
The garments industry employ around 320 000 people
and count around 85% of Cambodia export.
Commonly used currencies are Thai bath and US$

Economy
Country heavily depend of foreign assistance (both
politics and economy)
FDI increasing heavily since 2004 (twelve fold)
Tourist increasing and reach 3 million 2014

Economy

FDI
FDI inflows grew exponentially in the last few years, due
to healthy macro-economic policies, political stability,
regional economic growth and freedom in terms of
investment projects. However, certain sectors which
require national participation or prior approval, are
regulated, such as the production of cigarettes or films.
Certain investment fields are completely banned, such
as psychotropic drugs and narcotics.

FDI
Although Cambodia encourages foreign investment and
offers incentives to investors, the lack of transparency
of the legal system, problems of energy supply and
transportation are hindrances to foreign investment. In
addition to this, although a law was passed in 2010,
which facilitates non-citizens' access to property, 51%
of the company must be controlled by Cambodians.
Lastly, the World Bank continues to stress the country's
poor business climate in its Doing Business
classification report. Cambodia ranked 135th, out of 189
countries, in 2015.

FDI
The construction sector, in particular, attracts foreign
investors. At the beginning of 2015, Cambodia
inaugurated a hydroelectric dam, which was financed by
a Chinese company for an amount of USD 500 million.
Tourism remains the main sector that benefits from FDI.
The main investing countries are China, South Korea,
Vietnam, Malaysia and Taiwan. FDI from China is
continuously increasing, and FDI from Japan is also
beginning to escalate.
The most important sectors for FDI are the textile
industry, services (banks, tourism, telecommunications)
and the mining and agricultural sectors.

FDI continue

FDI