Cambodia's garment industry (Photo: khmertimeskh.com)

 

Phnom Penh (VNA) – The World Bank (WB) has forecast that Cambodia’s economy will expand less than 7 percent in 2017 and 2018.


According to the bank’s latest “East Asia – Pacific Economic Update” report, the Cambodian economy will grow 6.9 percent in 2017 and 6.7 percent in 2018. 

The WB’s projection is less optimistic than the earlier forecast of the Asian Development Bank (ADB), which said Cambodia’s economy is expected to achieve an expansion of 7.1 percent in 2017 and 7 percent in 2018. 

The WB said the slowdown is driven by high public spending and a decrease in textiles and garment export earnings due to fiercer competition from other regional countries.  

The bank suggested that Cambodia should enhance its public investment management and step up technological and vocational training while cutting energy fees in order to maintain its growth.-VNA