Cambodia’s economic growth in 2021 has been revised to 3 percent, thanks to the strength of external demand reflected by the growth of industrial sector, especially the sub-sector of garment and non-garment manufacturing, as well as the agricultural sector.
The Ministry of Economy and Finance updated the revised growth rate in a meeting on macroeconomic update of global and Cambodia held on Jan. 26.
The meeting was chaired by H.E. Vongsey Vissoth, Permanent Secretary of State at the Ministry of Economy and Finance and attended by representatives from the IMF, ADB, World Bank, and UNDP.
“Based on the ministry’s assessment, Cambodia’s economy is expected to recover at a low growth rate of 3.0 percent in 2021 from a negative growth of -3.1 percent in 2020,” read a statement, stressing that the growth of industry, the garment and non-garment sub-sectors, and agriculture are the factors pushing the recovery growth.
For 2022, the GDP growth rate is projected to reach around 5.6 percent and gradually move towards potential growth in the medium term, the ministry said in the statement.
The growth is supported by the global demand and a gradual recovery in investment confidence and anticipation of the effective implementation of the Strategic Framework and Programmes to restore and stimulate Cambodia’s economic growth in the context of COVID-19 in the new normal 2021-2023, which will restore Cambodia’s economic growth to return to potential growth and strengthen socio-economic resilience to achieve sustainable development and environment, underlined the statement.
Source: Agency Kampuchea Press