Illustrative image (Source: www.phnompenhpost.com)The World Bank (WB) said investing in public goods and services such as infrastructure, health and education is vital for economic growth in Cambodia.
Infrastructure investment is necessary for any economy to function efficiently, said the WB’s Economic Update report for Cambodia.
It is estimated that the country needs about 600 million USD per year in infrastructure development and logistics to maintain economic growth and boost its competitiveness.
Cambodia’s economic growth remains strong, stated the report, and is expected to hit 6.9 percent in 2017 and 2018, driven by public spending, garment exports, construction, agriculture and tourism.
According to information on public debt announced by the Cambodian Economy and Finance Ministry, the government signed various credit agreements at low interest worth 8.3 billion USD from 1993-2016.
Specifically, Cambodia loaned money from China, Japan, the Republic of Korea, France, Thailand, India, Vietnam and Malaysia.
The country also borrowed two billion USD from the Asia Development Bank and 794 million USD from the WB./.