CIB secretary-general Chea Vuthy addresses the Asean Malaysian Business Chambers Summit on Dec 6. - CDC
PHNOM PENH: Cambodia has significant potential to attract Asean investors, particularly from Malaysia, as the government continues to develop critical infrastructure to enhance transportation and promote exports to international markets, according to Chea Vuthy, secretary-general of the Cambodian Investment Board (CIB) at the Council for the Development of Cambodia (CDC).
On Dec 6, the Malaysian Business Chamber of Cambodia (MBCC) hosted the “Asean Malaysian Business Chambers Summit” in Phnom Penh. The event was attended by the CIB secretary-general, the Malaysian ambassador to Cambodia Shaharuddin bin Onn, MBCC president Tan Khee Meng and ambassadors from several Asean countries, as well as investors from Cambodia, Laos, Myanmar, Thailand, Vietnam, the Philippines and Indonesia.
“This forum has contributed to promoting Cambodia’s investment environment and potential to Malaysian business communities and investors,” Vuthy stated.
He shared insights into the country’s investment opportunities and the favourable conditions that continue to attract Malaysian companies.
“Cambodia is a strategic location within the Asean region, with an open investment climate, transparency and predictable policies. It also has a young and abundant labour force and is continuing to build essential infrastructure to facilitate transportation, which makes Cambodia an attractive investment destination in the region,” he said.
During the summit, Vuthy underscored the importance of the summit and praised the MBCC for organising the event.
He also recalled the Cambodia-Malaysia Business Forum 2024, held earlier this year in Malaysia, as another significant step in strengthening ties between the two countries.
Hong Vanak, an economist at the Royal Academy of Cambodia, stated on December 9 that the country’s strategic position in the heart of Asean, its political stability, improving legal and investment frameworks, young labour force, broad export markets, and preferential tax benefits from multiple countries have made it an attractive destination for international companies to invest and expand their presence in global markets.
“What Cambodia has today is the result of joint efforts between the government and the private sector through promotion activities and events both domestically and internationally to raise awareness of Cambodia and its products,” he said.
Vanak noted that the number of new businesses and factories opening in the country is expected to grow in the coming years.
He also highlighted that the arrival of new investment projects has introduced advanced technologies, offering opportunities for training and capacity building for the local workforce.
According to the General Department of Customs and Excise (GDCE), from January to October, total trade volume between Cambodia and Malaysia reached $715.15 million, a 35.3% increase compared to the same period in 2023.
Exports to Malaysia totalled $109.95 million, up 35.7%, while imports from Malaysia amounted to $605.21 million, up 35.3%.
Malaysia is the country’s 12th largest trade partner, following China, the US, Vietnam, Thailand, Japan, Canada, Indonesia, Spain, Germany, the UK and Singapore.
At the end of November, Malaysian companies, represented by Tan, expressed interest in investing in Cambodia. Proposed projects include motorcycle manufacturing, ceramics, semiconductors and real estate.
To strengthen bilateral cooperation, Chea Serey, governor of the National Bank of Cambodia (NBC), and her Malaysian counterpart Abdul Rasheed Ghaffour signed a memorandum of understanding (MoU) on Feb 27.
The agreement aims to promote cooperation in financial innovation and payment systems, enhancing cross-border payments with greater efficiency and security for the benefit of citizens and businesses in both countries.
“This will allow Malaysian citizens to make payments in Cambodia by scanning QR codes, while Cambodian citizens can do the same in Malaysia, using their local currencies for transactions.
"It will also support the development of a more efficient and secure cross-border payment system. Additionally, the MoU will help facilitate business and tourism activities between the two countries,” the NBC explained. - The Phnom Penh Post/ANN
