Cambodia’s economy is expected to remain strong over the next couple of years partly driven by solid garment and footwear exports (Source: adb.org)

Phnom Penh(VNA)
- Cambodia’s economy is expected to achieve an average expansion of about 7 percent in 2017 and 2018, according to the Asian Development Bank (ADB).

In a report released recently, the bank noted that Cambodia’s economy will be driven due to speeding up the implementation of the Industrial Development Policy 2015-2025, and promoting garments and footwear exports, construction and real estate activities.

According to the ADB, Cambodia’s growth in industry is projected at a slightly higher rate of 10.8 percent this year, supported by higher growth in major industrial countries and some diversification into products with higher value added such as garments, footwear, light manufacturing, and electronics.

Meanwhile, the service and agriculture sectors are expected to expand by 6.7 percent and 1.8 percent, respectively. Growth in construction is expected to moderate. 

Higher international prices for oil and other commodities are expected to step up inflation to 3.4 percent this year, from 3.0 percent in 2016. The current account deficit, excluding official transfers, is estimated to further narrow to 9.4 percent of GDP in 2017 from 10.1 percent of the GDP last year, the bank said.-VNA