Minister of Foreign Affairs and International Cooperation Prak Sokhonn (right) and his Australian counterpart Marise Payne. FOREIGN MINISTRY
Minister of Foreign Affairs and International Cooperation Prak Sokhonn requested that his Australian counterpart Marise Payne provide assistance by encouraging Australian investors and companies to invest in Cambodia as the Kingdom’s investment climate is now becoming increasingly favourable.
Sokhonn made the request while meeting with Payne on November 8 during the latter’s two-day official visit to Cambodia as part of a broader diplomatic tour of the region.
“[Sokhonn] encouraged Australian companies to invest in Cambodia due to its favourable investment climate following the adoption of its new investment law.
“In response, [Payne] stated that with Cambodia and Australia both emerging from the pandemic, there are good opportunities for the two countries to work together to boost trade and investment to stimulate growth,” said the Cambodian foreign ministry’s press statement regarding the outcome of Payne’s visit.
King Norodom Sihamoni on October 15 promulgated the new investment law and annulled the old one that was originally written in 1994 and amended in 2003.
The new investment law consists of 12 chapters and 41 articles aimed at creating an effective and efficient market that is open, transparent and predictable with a favourable legal framework that will attract more investments from both Cambodian and foreign nationals to bolster the socio-economic development of Cambodia.
“[The law] protects the rights and legitimate benefits of investors in Cambodia through the establishment of a legal framework that is comprehensive and balanced to the national interests,” the opening section of Article 1 of the law states.
Sokhonn and Payne also expressed satisfaction with the friendly relations and fruitful cooperation between Australia and Cambodia. The top diplomats agreed to further promote bilateral cooperation in trade, investment, tourism and education with increased people-to-people connections.
Sokhonn expressed gratitude towards the Australian government for its ongoing support for the socio-economic development of Cambodia through the Australian government’s official development assistance and particularly the aid given to Cambodia for its urgent fight against Covid-19, the ministry said.
Payne reaffirmed Australia’s commitment to continued assistance and cooperative efforts with Cambodia in a variety of areas such as economic development, demining, agriculture, health and education.
She said Australia will continue to provide scholarships to Cambodian students every year under the Australia Awards programme and through the Mekong-Australia Partnership (MAP) programme.
With regard to the cooperation under MAP, the ministry said Payne specifically reiterated Australia’s continued support and assistance under the MAP framework in the amount of A$232 million (US$168 million) over a four-year period to assist the Mekong sub-region with economic recovery and resilience in the post-pandemic period.
“The two ministers also shared their views on the Regional Comprehensive Economic Partnership which will come into force on January 1, 2022, and will significantly contribute to boosting economic growth, deepening regional integration and reinforcing post Covid-19 economic recovery endeavours,” the ministry said.
