Cambodia should expect a massive influx of Chinese investment and development assistance given its geopolitical importance to Beijing and its favoured status under China’s “One Belt, One Road” initiative, policymakers claimed yesterday.
Speaking at a seminar yesterday meant to bolster Cambodia’s status within China’s grand economic policy, Guoyou Song, executive director at the Shanghai-based Asia-Pacific Research Center, said that China is the Kingdom’s most important strategic and economic partner.
He added that with China’s rise as a regional – and global – power player, the strong political ties between the two nations would continue to breed better economic relations for generations to come.
“Cambodia has a lot of advantages to attract Chinese foreign direct investment in regards to the One Belt, One Road initiative,” he said, adding that as Cambodia develops, China is primed to pump in more financing for development.
“China, nowadays, is willing to provide funds to other countries in multiple ways,” he said. “So, it will be good for the Cambodian economy.”
China is Cambodia’s main source for foreign direct investment, with $19.2 billion invested into the Kingdom between 1994 and 2014, according to a survey released by the National Bank of Cambodia and the National Institute of Statistics last year.
Cambodian People’s Party spokesman Suos Yara said yesterday that trade relations between the two countries have grown strong over the last 10 years, with an annual trade growth rate of 26 percent. In 2016, bilateral trade of the two countries accounted at $4.8 billion, he added.
“These are the benefits Cambodia has received from China’s One Belt, One Road initiative,” he said.