The Council for the Development of Cambodia (CDC) in the first month of this year approved 11 investment projects worth over $43 million and that are expected to generate 7,854 jobs, it said via social media.
Among the bunch were five garment factories – Xin Yunfeng (Cambodia) Fashion Co Ltd’s $2.4 million project in the capital’s Por Sen Chey district will create 614 jobs, Brightness (Cambodia) Garment Factory Co Ltd’s $3.1 million venture in Takeo province’s northernmost Bati district will generate 702 jobs.
New Era (Cambodia) Cashmere Textile Co Ltd’s $5.7 million factory in Kandal provincial capital Takhmao town will create 951 jobs, HC Global Textile Co Ltd’s $7.8 million plant in Takeo’s Traing district will provide 843 jobs, while Jian Yuan Tong Garment Co Ltd’s $2.4 million project in Canadia Industrial Park in the capital’s Por Sen Chey will employ 364.
Moreover, Taperite Plastic Co Ltd’s $2.7 million adhesive tape factory in Phnom Penh’s Kambol district will create 200 jobs, Unicorn Footwear Co Ltd’s $5.5 million shoe factory in Kampong Speu province’s Kong Pisey district will hire 1,910 workers, while Laurence Footwear Co Ltd’s $5.6 million shoe factory in Kampong Speu’s Samrong Tong province will provide 1,138 jobs.
Additionally, City Printing (Cambodia) Co Ltd’s $2.3 million cardboard box and packaging plant in Phnom Penh’s Kambol will create 214 jobs, Changhui (Cambodia) Handbag Mfr Co Ltd’s $2.4 million bag factory in Kampong Chhnang province’s Samaki Meanchey district will generate 718 jobs, while Polymer Plastic Products (Cambodia) Co Ltd’s $3.9 million ice-chest factory in Kandal’s Ang Snuol district will provide 200 jobs.
Hong Vanak, director of International Economics at the Royal Academy of Cambodia, told The Post on January 31 that this was a noteworthy, encouraging sign that the economy would return to a high growth path this year, even with the humdrum results achieved in global Covid-19 control.
“The CDC approvals are a good starting point for Cambodia’s economic expansion,” he said.
He said the new investment law – expected to be promulgated in April, preparations for the establishment of a commercial court, coupled with a bilateral free trade agreement with China and the promises of additional such pacts with Britain and EU member Hungary will also help underpin significant investment in Cambodia this year.
“These are all inputs that will help drive more growth in investment flow into Cambodia this year,” he said.
Cambodia Chamber of Commerce vice-president Lim Heng told The Post at the weekend that the country’s economic situation has improved and that the Kingdom continues to effectively control the spread of Covid-19.
Its Covid-19 vaccination strategy and new investment law will be Cambodia’s main magnet for local and foreign investors, he asserted.
“Even during the difficult period of the Covid-19 outbreak, Cambodia is still experiencing a steady growth in investment,” Heng said.
The Cambodian economy is expected to have contracted by 3.1 per cent in 2020, but is set to bounce back to 4.0 per cent growth this year, according to the Ministry of Economy and Finance.