"Cambodia shifts focus to high-tech industries amid strong economic growth", 28 February 2025

The Cambodian government is prioritizing the diversification of its industrial sector by transitioning from labour-intensive industries to knowledge-based and high-tech industries. With a 15.7 percent export growth in 2024, the government is positioning Cambodia as a regional production hub.

The economy is projected to achieve a growth rate of approximately 6 percent of GDP in 2024 and around 6.3 percent in 2025, as outlined in the medium-term public finance framework. The industrial sector remains a key driver, contributing about 8.5 percent to economic growth in 2024 and is projected to expand by approximately 8.6 percent in 2025.

…, Permanent Deputy Prime Minister Vongsey Vissoth, …, highlighted Cambodia’s increasing economic diversification over the past decade.

He noted that the Kingdom has established more trading partnerships and attracted increasing investments in high-value sectors beyond the garment industry, such as electronic component manufacturing and automobile assembly…

… Vongsey Vissoth highlighted some key issues, including the limited number of officially registered economic entities engaged in production and industrial activities, which account for only 16 percent of the total businesses in these sectors…

Product registration, safety certification, and standardization remain inadequate, posing further obstacles to industrial development. Access to water supply networks is also a concern, as connections are primarily concentrated in urban areas with limited expansion into rural communities…

He emphasized the need to accelerate the development of small and medium-sized enterprises (SMEs) in alignment with the evolving regional and global landscape. This includes improving the entrepreneurship and innovation ecosystem while addressing key challenges in logistics, telecommunications, and the digital sectors, as well as reducing production and transportation costs…