Cambodia is actively seeking more direct investment to enhance its small and medium-sized enterprise (SME) sector, a key driver of the nation’s economic growth, according to the Ministry of Industry, Science, Technology and Innovation.
Industry minister Hem Vandy made the remarks at a forum on the ministry’s priorities, held in collaboration with the Club of Cambodian Journalists (CCJ) on January 26.
Vandy emphasised the government’s ongoing role in promoting domestic production.
He said the initiative aims to augment the processing production chain, thereby reducing reliance on imports and boosting exports to global markets.
He highlighted the growth in the number of factories registered with the ministry, which reached 2,125 in 2023, including 241 new registrations that year.
Vandy attributed the increase to the country’s political and macroeconomic stability and economic growth.
He said that following Prime Minister Hun Manet’s recent visit to Japan, there has been a surge in interest from Japanese investors in establishing industrial zones in Cambodia, signalling optimism for the industry and SMEs.
“I believe that through the support and efforts, investors will have more trust, more interest in Cambodia, especially during the seventh government mandate led by [Manet],” he stated.
The minister emphasised that forming a community or federation is crucial for accelerating SME production.
He said the collaboration will enable SMEs to compete with imported products, increase export capacity, enhance productivity and establish common quality standards, financial resources and skilled labour.
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Reporter: Hin Pisei
Publication date: 28 January 2024
Source: The Phnom Penh Post