Property News Roundup March 17th, 2025

We’re delighted to share the weekly news highlights below.

1. New $500 million SEZ on way in Preah Sihanouk 

A new special economic zone (SEZ), the East Sihanouk Special Economic Zone, is set to be developed in Preah Sihanouk province with an investment of approximately $500 million. The project, led by the East Group consortium, will span 340 hectares across Bet Trang and Ou Oknha Heng communes in Sihanoukville’s Prey Nob district. The development plan includes residential areas, retail spaces, and facilities for small, medium, and large factories, to be executed in three phases, starting with an initial 90 hectares. Preparatory work has commenced, including the construction of a 1.5-kilometer, 20-meter-wide road connecting National Road No. 4 to the project site. The SEZ aims to attract national and international investors, enhancing Cambodia’s export potential and meeting domestic demand. Notably, several Chinese companies have already shown interest in establishing manufacturing facilities within the zone.

This initiative aligns with Cambodia’s broader strategy to expand its SEZs, which have grown from 21 in 2020 to 30 by the end of 2024, distributed across 12 provinces and the capital. The East Sihanouk SEZ is expected to bolster economic growth in Preah Sihanouk province, leveraging its strategic location and existing infrastructure to attract diverse industries and investments.

Thursday, 6^th, March 2025, Phnom Penh Post: t.ly/eMT2V

2. CDC to decentralize investment registration process

The Council for the Development of Cambodia (CDC) is advancing its digitalization efforts to streamline investment processes. In August 2024, Deputy Prime Minister and CDC First Vice-Chairman Sun Chanthol announced plans to launch an online investment application system, allowing investors to apply for project registrations remotely. This initiative aims to simplify procedures, reduce bureaucratic hurdles, and enhance transparency, aligning with the government’s priorities in technology advancement. The CDC has also been proactive in attracting investments, approving 22 projects worth $444 million in the first half of February 2024.

Additionally, in the first two months of 2024, Cambodia approved fixed-asset investment projects totaling $1.39 billion, marking a significant rise of about 500 percent compared to the same period last year. These developments reflect Cambodia’s commitment to creating a more investor-friendly environment through technological advancements and efficient investment procedures.

Monday, 10^th March, 2025, Khmer Time: t.ly/qAMIH

3. US-Cambodia trade ties a template for sustainable, win-win deal

Cambodia and the United States have been actively strengthening their trade and investment relations, aiming for sustainable and mutually beneficial outcomes. In May 2024, officials from both nations reaffirmed their commitment to enhancing cooperation in these sectors. Rath Saravuth, Cambodia’s Secretary of State of Commerce, and Wallis Yu, Director for Southeast Asia and the Pacific at the U.S. Trade Representative office, discussed strategies to unlock further economic opportunities. They emphasized advancing policies that promote prosperity and sustainable development.

The U.S. remains Cambodia’s largest export market, accounting for 37% of total exports, valued at $4.2 billion in the first half of 2023. Cambodia’s exports to the U.S. primarily include garments, travel goods, and agricultural products, while imports from the U.S. consist mainly of machinery, equipment, and pharmaceutical products.

Both countries are keen to diversify these trade flows to benefit their economies further. In September 2024, the U.S.-Cambodia Business Matchmaking Summit in Long Beach, California, significantly contributed to strengthening economic ties. The event focused on fostering trade and investment opportunities in the food and agricultural sectors, promoting Cambodian products in U.S. markets. Over 50 Cambodian and U.S.

companies participated, showcasing products such as milled rice, pepper, cashew nuts, and dried fish. The summit highlighted Cambodia’s potential as a source of high-quality food and agricultural products, encouraging U.S. investors to explore partnerships and direct investments in Cambodia. These initiatives reflect a shared vision of sustainable, win-win cooperation, aiming to bolster economic growth and development in both countries.

Friday, 7^th, March 2025, Khmer time: t.ly/m3vBn

4. MEF reports zero debt with China in 2024

As of the second quarter of 2024, Cambodia’s public debt stood at $11.27 billion, with 47% denominated in US dollars and 11% in Chinese yuan. China has been a significant contributor to Cambodia’s industrial sector, with Chinese investments accounting for approximately 45.49% of the total investment capital in the country’s industrial factories.

In 2024, Cambodia and China declared it the “Cambodia-China People-to-People Exchange Year,” aiming to strengthen bilateral relations through cultural, tourism, and economic exchanges. This initiative reflects the robust and strategic partnership between the two nations, contributing to Cambodia’s economic resilience and growth. These developments underscore Cambodia’s commitment to maintaining sustainable debt levels while fostering strong economic ties with China, facilitating continued growth and development.

Tuesday, 11^th, March 2025, Khmer Time: t.ly/62Q2i

5. Cambodia’s Tourism Soars with Impressive Revenue from Ticket Sales

Cambodia’s tourism sector has experienced a remarkable resurgence in early 2025, with ticket sales generating over $13.55 million in the first two months. The Angkor Archaeological Park attracted 279,604 foreign visitors during January and February, contributing $13,167,778 in revenue—a 17.21% increase compared to the same period in 2024.Beyond Angkor, other attractions such as Koh Ker, Beng Mealea, and Phnom Kulen, along with scenic boat rides, added $382,473 to the overall tourism revenue. This diversification showcases Cambodia’s rich cultural heritage and natural beauty, appealing to a broad spectrum of international tourists. To enhance visitor experience, the Angkor Foundation introduced a modern online ticketing and inspection system for Angkor Wat, streamlining access for tourists. Additionally, since January 2025, the Cambodian government has offered discounts one Visa services, making travel to the country more affordable and accessible. These initiatives reflect Cambodia’s commitment to revitalizing its tourism industry post-pandemic, positioning the nation as a premier destination for cultural and historical exploration.

Monday, 10^th, March 2025, Construction and Property: t.ly/D7LDV

6. Cambodia Welcomes Turkish Airlines: New Route Strengthens Global Connectivity

Turkish Airlines is set to launch direct flights between Istanbul and Phnom Penh on December 10, 2025, marking Cambodia as the airline’s seventh Southeast Asian destination and Phnom Penh as the eleventh city in its regional network. This strategic expansion is anticipated to bolster trade and tourism between Türkiye and Cambodia, further integrating Phnom Penh into Turkish Airlines’ Far East network, which now encompasses 20 cities across 21 airports. The new route will operate three times weekly, with flights departing Istanbul on Wednesdays, Fridays, and Sundays, and returning from Phnom Penh on Mondays, Thursdays, and Saturdays. Each leg includes a stopover in Bangkok, enhancing connectivity for passengers traveling between these major cities. This development positions Turkish Airlines as the sole European carrier offering flights to Phnom Penh, providing European travelers with more convenient access to Cambodia’s rich cultural heritage and emerging markets. The enhanced connectivity is expected to stimulate economic growth, tourism, and cultural exchange between Europe and Cambodia. Tickets are available for booking through Turkish Airlines’ official channels, with promotional fares starting at $659 for one-way flights from Istanbul to Phnom Penh and $649 for the return journey. These fares are applicable for travel between July 31, 2025, and June 30, 2026, offering travelers an affordable opportunity to explore new destinations. This route introduction underscores Turkish Airlines’ commitment to expanding its global network and enhancing international connectivity, reinforcing its status as a leading global airline.

Monday, 10^th, March 2025: Travel and Tours World: t.ly/66nfk

7. Cambodia’s international trade up 16% in first two months

In January 2025, Cambodia’s international trade volume reached approximately $5.05 billion, marking a 24.6% increase compared to the same period in 2024. This growth reflects the country’s expanding economic activities and strengthening global trade relationships. Exports in January 2025 were valued at $2.31 billion, a 17.3% rise from the previous year. The United States emerged as the largest importer of Cambodian goods, accounting for $868 million, followed by Vietnam with $278 million, and Japan with $151 million. This robust export performance underscores Cambodia’s diversified manufacturing sector and its competitiveness in international markets. Imports also saw a significant uptick, totaling $2.75 billion—a 31.6% increase from January 2024. Major import categories included medicines, health products, food and beverages, electrical and electronic equipment, building materials, agricultural machinery, and vehicles. This surge in imports indicates a growing domestic demand and ongoing infrastructure development within the country. The trade balance for January 2025 recorded a deficit of approximately $444 million, as imports surpassed exports. While a trade deficit can raise concerns, it may also signify increased investment in capital goods essential for Cambodia’s economic growth. These figures highlight Cambodia’s dynamic trade environment and its integration into the global economy. The significant growth in both exports and imports reflects the nation’s economic resilience and its potential for sustained development in the coming years.

Tuesday, 11^th, March 2025: Khmer Time: t.ly/2hyFF

8. Cambodia’s exports to US up 25% in two months

Cambodia’s exports to the United States experienced a significant increase of 25% in the first two months of 2025, reaching a total value of $1.2 billion. This growth is primarily attributed to the robust performance of the garment and footwear sectors, which together accounted for approximately 80% of the export value. The United States remains a crucial trading partner for Cambodia, offering preferential trade terms under the Generalized System of Preferences (GSP), which have bolstered the competitiveness of Cambodian products in the U.S. market. Additionally, the Cambodian government’s efforts to diversify its export base and improve product quality have contributed to this positive trend. The increase in exports has not only strengthened Cambodia’s economy but has also created employment opportunities, particularly in the manufacturing sector. Looking ahead, stakeholders are optimistic that the momentum will continue, supported by ongoing trade facilitation measures and the expansion of product categories beyond traditional garments and footwear. However, challenges such as global market fluctuations and the need for compliance with international labor and environmental standards remain, necessitating continuous efforts to sustain and enhance export growth.

Thursday, 13^th, March 2025: Khmer time: t.ly/sx6D6

9. Cambodian aviation sector expected to see remarkable surge in 2025

Cambodia’s aviation industry is expected to experience significant growth in 2025, driven by the Techo International Airport, set to open in the second half of the year. The new airport, located in Kandal Province, aims to handle around 13 million passengers annually in its first phase, with projections to expand to 50 million passengers annually upon completion of all phases. This expansion is expected to provide a major boost to the country’s tourism and overall economic growth. The sector is recovering strongly from the COVID-19 pandemic, with both domestic and international flights increasing. Airline companies, including Cambodia Angkor Air and Smile Airline, are expanding their fleets and services in preparation for the surge in passenger numbers. Additionally, the Ministry of Public Works and Transport is working on modernizing existing airports, enhancing infrastructure, and improving air navigation services to support the anticipated growth. The expansion of the aviation sector is also expected to attract more international airlines to Cambodia, further boosting connectivity and positioning the country as a regional aviation hub.

Thursday 13^th, March 2025: Khmer Time: t.ly/w9I92

10. Chinese investors keen on cashew sector in Cambodia

Chinese investors have shown a keen interest in Cambodia’s cashew sector, recognizing its significant growth potential and the opportunities for collaboration. In January 2025, a Chinese delegation from Xi’an and Shanghai visited Kampong Thom province to explore commercial partnerships, particularly in exporting processed cashew nuts to China. They assessed local production capabilities, toured processing facilities, and engaged with the Cashew Nut Association of Cambodia (CAC) to discuss investment opportunities and address challenges such as pest control and fertilizer use. The delegation expressed interest in establishing joint ventures for cashew processing, with plans to return in April 2025 to further solidify these opportunities. This interest aligns with Cambodia’s strategic goals to enhance its cashew industry. The country has become the world’s second-largest producer of raw cashew nuts, with a production of 830,000 tons in the latter half of 2024. Major markets include China, Japan, Bangladesh, India, Vietnam, and Thailand. To add value and boost exports, the Cambodian government is focusing on developing processing facilities and exploring new markets. The establishment of a cashew industrial park in Kampong Thom province, as approved by Prime Minister Hun Manet, aims to support processing activities, stabilize prices, and create employment opportunities.

The influx of Chinese investment is expected to address the industry’s need for capital, enhance processing capabilities, and improve market access. This collaboration presents a promising opportunity to transform Cambodia’s cashew sector into a more lucrative and competitive industry, benefiting local farmers and contributing to the nation’s economic development.