8. Source: Cambodia Economy Watch
GDP Per Capita (PPP), US Dollars for Cambodia, in other Years
Year US$
In year 1995 646
In year 1996 675
In year 1997 710
In year 1998 741
In year 1999 828
In year 2000 905
In year 2001 986
In year 2002 1,052
In year 2003 1,146
In year 2004 1,270
In year 2005 1,457
In year 2006 1,626
In year 2007 1,945
In year 2009 2,034
In year 2010 2,063
In year 2008 2,066
In year 2011 2,180
In year 2012 2,321
In year 2013 2,489
9. Cambodian Economic
Growth
Beside the fourth consecutive year of double digit
economic growth rate realized in 2007, the series data
between 2005 and 2007 also showed that Cambodia’s
economic growth rate is slowing down successively, from
13.3 percent in 2005 to 10.2 percent in 2007. Available
data for the first nine months of 2008 and current local
and global economic trends suggest that Cambodia’s
economic growth is likely to continue its downward trend
significantly over to 2008. This downward trend is also
expected to carry on into 2009.
Source: Cambodia Economy Watch
12. Agriculture
2008 has been another rainy year, and has followed equally wet
years in 2007, 2006 and in 2005. The agricultural sector continues to
be natural resource-based and growth is expected to increase slightly
to 5.5 percent growth in 2008 from 5.1 percent in 2007. Growth has
been bolstered by an expansion in cultivated areas, higher exported
agricultural product prices, and a continued increase in livestock
production. However, agro-investment has remained weak, despite
soaring prices and demand on the global market. Effective irrigation
and natural resource management systems are urgently required to
achieve sustainable agricultural growth and thus reduce poverty,
since the agricultural sector is the main source of income for the
country’s poorest inhabitants. Based on current trends, agricultural
sector growth is expected to be about 5.3 percent in 2009 and growth
prospects remain slim in the coming years. Crops, especially paddy,
continue to be the main source of income for Cambodian farmers.
Source: Cambodia Economy Watch
14. Industry
Industry sector growth is continuing on a downward trend in
2008 due to slower expected growth in garment exports and
negative growth in the construction sector. Other industrial
sectors are growing at a moderate pace. The total industrial
growth rate has grown by only 6.4 percent in 2008, down
from 8.4 percent in 2007 and 18.4 percent in 2006. Based on
the current trend, the industrial growth rate is likely to
continue its downward trend in 2009, due to expected
continued downward trend of construction and garment
sector, before get back to moderate growth in the next
coming years. Progress in Government reforms in line with
effective anti-corruption policies could accelerate industrial
growth.
Source: Cambodia Economy Watch
15. Industry (27% of GDP,
2007):
Industry (27% of GDP, 2007):
Types: garment and shoe
manufacturing, rice milling, tobacco,
fisheries and fishing, wood and wood
products, textiles, cement, some
rubber production, paper and food
processing, construction
16. Service
Last but not least, the service sector may grow significantly in
2008, but it’s unlikely to post double-digit growth as growth is
expected to slow somewhat in the tourism, trade and transport
sectors. The overall service sector, excluding public
administration, is expected to expand by only 8.7 percent in
2008, which is a drop from a growth rate of 10.5 percent in
2007 and 10.6 percent in 2006. Service sector growth has
been bolstered by annual increases in the number of foreign
tourist arrivals in Cambodia and a significant expansion in
economic activity, especially the trade, transportation,
communication, and financial service sectors. Based on
current economic trends, service sector growth likely will
remain strong but will slow slightly over the next few years.
Source: Cambodia Economy Watch
17. Services (39% of GDP,
2007)
Services (39% of GDP, 2007):
Tourism
Telecommunications
Transportation
Construction
Finance & Banking
Trading
Other Private Services & Public Admin
18. Other Business Services
Advertising, Designing, Publishing
Real Estate Agency
Architecture & Designing
Business & Trade Association
Law and Legal Adviser
Audio & Video Production
Insurance Companies
Banking: Finance, Loan, Deposit
Consultancy
19. Other Business Services
Computer Programming
Marketing Research & Analysis
Economy Research & Analysis
Printing Houses
Employment Agency
Engineering Services
Environmental Organization
Event Management
Funeral Services
20. Other Business Services
Geographic Services
I-Booth Operator Services
Information Services: News Agency
Inspection, Testing, Evaluation Services
Internet Services
Investment Companies
Language Translation/interpretation
Laundry, Dry Cleaning
Logistics Support
21. Other Business Services
Marine Work Services
Mechanical Contractors
Mines: Clearance Services
Oil Exploration, Consultancy
Security Services
Property Investment Companies
Secretarial Services
Training & Education Services
Others…
22. Trade and Investment
In 2008, Cambodia’s garment external trade is
slowing down, but the value of
imported cars, motorcycles, buses, trucks,
tractors, and alcohol increased
significantly. That leads to widening the
Cambodia’s trade deficit. However, trade
deficit, as well as income account deficit, is
totally financed by revenues from foreign
tourists, private and government transfers, and
impressive foreign investment.
Source: Cambodia Economy Watch
23. Private Investment and
Stocks of Capital
During the first half of 2008, the Council for the Development of
Cambodia (CDC) approved 50 investment projects worth about US$4.4
billion in fixed assets. That represented a 3.8 percent decrease in the
number of investment projects, but a five-fold increase in value of the fixed
assets compared to the same period in 2007 because most of the projects
approved in 2008 were mega projects. Most of the investment projects
involved the garment and tourism sectors, which accounted for 24 and 6,
respectively, of the approved investment projects and
US$25 million and US$4.1 billion of fixed assets. The investment activity
was bolstered by healthy garment exports and tourism activities during
2008. It is worthy noting that only two investments in agro-industry have
been approved, despite increases in agricultural prices and high
agricultural production this year.
Source: Cambodia Economy Watch
24. Approved Private Investment
Projects Source: Cambodia Economy Watch
Approved Private Investment Projects
Number of Approved Investment Projects
Year Y-2003 Y-2004 Y-2005 Y-2006 Y-2007 Y-2008
Garments 31 35 53 49 39 24
Hotels 11 3 4 4 11 6
Others 24 22 47 45 80 20
Total 66 60 104 98 130 50
Fixed Assets Approved (Millions of US Dollars)
Excluding registered investments of mega-projects of more than US$1 billion
Garments 75 85 118 212 171 90
Hotels 114 23 65 22 1,101 4,108
Others 125 123 512 2,217 1,395 232
Total 314 231 695 2,451 2,667 4,430
25. Inflation
The inflation is accelerated during 2008 with double speed by
soaring in food prices and transportation cost. At the same
time, the exchange rate of the riel against US dollar is
relatively stable; whereas the riel in circulation increased
significantly compared to that of US dollar.
The inflation rate jumped to double digits in December 2007
to 10.8 percent from only 2.8 percent in December 2006.
External factors such as soaring crude oil and food prices,
fears of a US economic recession and weak economic
performances in certain sectors of the Cambodian economy
have caused higher inflation. These problems have persisted
in 2008.
Source: Cambodia Economy Watch
26. Employment
Updated labor force data is expected with the release of
findings from the Cambodia Socio Economic Survey (CSES)
of 2007. The 2004 CSES pegged the total labor force at about
7.5 million, or 56 percent of the total population, with an
approximated 0.2 million people entering the labor market
every year. Based on these figures, Cambodia’s total labor
force was an estimated 8.4 million in 2007 and is likely to
reach about 8.6 million in 2008, of which about 20 percent are
under 18 years old. It should be noted that a very narrow
definition of employment was used for the purposes of the
CSES, which included anyone who had worked at least one
hour during the past reference survey week. The employment
rate exceeded 99 percent in 2004, according to the CSES.
Thus, the rate would have included the under-employed. EIC
projects job growth to be 2 percent in 2008.
Source: Cambodia Economy Watch
27. Employment
Cambodia's Population and Labor Force (000's)
Year 2004 2005 2006 2007 2008 2009
Total Population 13,550 13,829 14,164 14,446 14,679 14,915
Total Labor Force 7,646 7,907 8,165 8,402 8,624 8,844
Total Employment 5,677 5,879 6,085 6,231 6,325 6,425
Formal Sectors 371 411 463 499 521 557
Garment 294 323 368 398 414 445
Tourism 78 88 95 101 107 112
Public Administration 335 335 335 335 335 325
Informal Sectors 5,306 5,468 5,622 5,731 5,804 5,869
Rural 3,973 4,061 4,145 4,215 4,275 4,331
Urban 1,333 1,407 1,477 1,516 1,529 1,537
Sources: Ministry of Planning and EIC estimates
28. Banking and Financial
Sector
The Financial Sector Development Strategy 2006-2015 (FSDS
2006-2015) is an instrument to accelerate development of
Cambodia’s financial sector. In line with financial sector and banking
reform, the blueprint considers poverty alleviation part of overall
economic development.
For many, a healthy banking sector signals political stability as
much as it does a stable economy. Net Foreign Direct Investment
(Net FDI) flows into banking and enterprise have bolstered the
growth of Cambodia’s banking sector. Today, several
licensed banks are currently operating under the supervision of the
National Bank of Cambodia (NBC).
Source: Cambodia Economy Watch