PHNOM PENH: Cambodia’s investment climate is heating up, with the garment sector attracting the most attention. In the first half of 2024 (January-June), the Council for the Development of Cambodia (CDC) approved a staggering 190 new projects.

This includes establishing new factories, expanding existing production, and creating special economic zones. The total investment value for these projects is a whopping US$3.2 billion, creating an estimated 168,572 new jobs.

Compared to the same period in 2023, this represents a significant increase. There are 77 more approved projects and over $2 billion more in investment capital.

Garments Take Center Stage

The garment industry emerged as the most popular sector for investment, with 51 projects approved. Manufacturing projects for various goods like bags, shoes, packaging, and furniture also ranked highly within the top 10.

China remains the largest source of foreign investment, contributing 42.64%. However, domestic investment has also played a crucial role in Cambodia’s investment resurgence reached 50.15%.

Investment Hotspots

Kampong Speu province emerged as the top destination for new projects, attracting 43. Svay Rieng followed closely with 40 projects, while Phnom Penh came in third with 27 projects. Sihanoukville and Takeo provinces also saw significant investment activity with 24 and 19 projects, respectively. Notably, projects were spread across 13 provinces throughout Cambodia during this period.

Cambodia’s investment scene is thriving, with garments leading the charge. Strong domestic and foreign investment is creating jobs and boosting economic activity across the country.