Total Approved Investment Jumps 159%
The total approved investment in Cambodia has jumped approximately 159 percent from 2010 to 2011 from $2.7 billion to US$7.021 billion , official data from the Council of the Development of Cambodia (CDC) showed.
The tourism industry and agricultural sectors saw dramatic increases of 1,993.57 per cent and 203.48 per cent respectively, the data showed.
It showed total investment in the tourism sector reaching $2.760 billion with 8 projects, up from $132 million the year before. Industry attracted $2.869 billion with 113 project, of which 78 were in the garment sector, compared to $945 million in 2010. The agricultural sector with 24 projects took in $725 million compared to $554 million in 2010, according to the data.
Experts said political stability and open economic policy were the two main factors behind the rise. Moreover, good economic performance in the region also contributed to the growth.
Stephen Higgins, CEO of ANZ Royal Bank, wrote in an email that positive growth in the economic outlook led naturally to a higher levels of investment.
“We are seeing a significant expansion in the manufacturing industry, which is a real positive for Cambodia,”he said.
The approved investment in the service sector declined by around 38 per cent from $1.059 billion to $658 million in 2011, according to the CDC data.
Higgins said it was not a sector requiring an intensive level capital investment.
According to the data, investment from the United Kingdom stood at number one worth $2 billion on nitrogen-based chemicals, followed by local investment worth $1.93 billion. China came in third at $1.191 billion and Vietnam reached $631 million.