PHNOM PENH: Cambodia’s foreign direct investment (FDI) is projected to surge in 2024, reaching an estimated US$4.25 billion, which translates to roughly 9.0% of the country’s GDP. This optimistic forecast comes amidst a flurry of investment activity in key sectors.

The positive outlook extends to international reserves, which are anticipated to climb further to approximately US$22.3 billion, representing around 8.0 months of imports.

The Strategic Budget Plan for 2025-2027 reinforces this optimistic view, predicting sustained FDI growth averaging 8.6% of GDP throughout the period. This confidence stems from Cambodia’s increasingly attractive investment environment, fostered by the “Investment Law of the Kingdom of Cambodia” and a series of supportive policies.

As a consequence, Cambodia is expected to attract high-value investments, particularly in non-garment manufacturing sectors, in the medium term. This will likely contribute to continued growth in international reserves, reaching an average equivalent to seven months of imports.

Prime Minister Hun Manet has consistently prioritized foreign investor engagement to propel the Kingdom’s development. During a recent meeting with the Cambodian community in South Korea, the Prime Minister reaffirmed his commitment to actively lobbying foreign investors to explore business opportunities in Cambodia.

“As of May, we have successfully secured a total of 147 investment projects, valued at US$2.7 billion, generating a significant 140,000 jobs,” he announced.

Furthermore, Prime Minister Hun Manet urged the 45,000 Cambodian migrant workers in South Korea to dedicate themselves to their work and contribute their expertise and skills upon returning home to fuel national development. The Premier also provided an update on his official visit to Seoul from May 15-18 and the Royal Government’s commitment to transforming Cambodia’s industrial sector from light industry towards advanced manufacturing.