Cambodia is emerging as an attractive investment destination
with 1.6 billion USD in foreign direct investment (FDI) last year, up 73
percent from 2011, despite the ailing global economy.
A report
recently released by the United Nations Conference on Trade and
Development showed that most FDI inflows in Cambodia are into the
garment industry, which its low-cost workforce gives a competitive edge.
President of the Cambodian Economic Association Chan Sophal
said apart from the garment industry, agricultural production and
tourism are also a magnet for FDI.
However, economic experts
pointed out that shabby infrastructure, high power prices and the
scarcity of highly-skilled workers pose challenges to foreign investors.
Japan , China and the Republic of Korea are now the biggest investors in Cambodia.
Meanwhile, Vietnam ranks fifth in FDI in the country, mainly in
finance, banking, telecommunications, aviation and industrial tree
planting.-VNA