Economic Overview

From 2004 to 2007, the economy grew on average approximately 10% per year, driven largely by an expansion in the garment, construction, agriculture and tourism sectors.

Economic troubles abroad however dampened growth in 2009. The global financial crisis in 2008 is weakening demand for Cambodian exports, and construction is declining due to a shortage of credit. GDP contracted 1.5% in 2009 as a result of the global economic slowdown, but climbed more than 4% in 2010, driven by renewed exports. For example, Rubber exports increased about 25% in 2009 due to rising global demand. The tourism industry has continued to grow stably, with foreign arrivals exceeding 2 million per year in 2007-2008.

The major economic challenge for Cambodia over the next decade will be fashioning an economic environment in which the private sector can create enough jobs to handle Cambodia's demographic imbalance; more than 50% of the population is less than 25 years old.

(Source: CIA Factbook)

Key Economic Indicators

Source: EIC projection