Cambodia's economy is likely to expand 6.9 percent this year, a slight increase as compared with the growth rate of 6.8 percent in 2017, mainly thanks to a recovery in textiles and garment exports, tourism and agricultural sectors (Source: Angkor Focus Travel)
 
Hanoi (VNA) – Cambodia's economy is likely to expand 6.9 percent this year, a slight increase as compared with the growth rate of 6.8 percent in 2017, mainly thanks to a recovery in textiles and garment exports, tourism and agricultural sectors, the World Bank (WB) said.

The WB’s latest report released on May 10 also forecast that the country’s economic growth rate will drop to 6.7 percent in 2019, partly due to risks related to potential uncertainty caused by the upcoming general elections scheduled to take place on July 29, 2018.

According to the WB, Cambodia, one of the globe’s top garment producers, has been the sixth fastest-growing economy in the world over the past two decades, with average GDP growth rate of 7.6 percent largely due to garment exports.

Supported by recovering global demand, Cambodia's textile-garment sector rebounded during the second half of last year, exporting 7.2 billion USD worth of products, a 7.7 percent growth, slightly below 8.4 percent recorded in 2016.

To maintain strong growth, Cambodia needs to invests more in education and skills training, while addressing the constraints facing small- and medium-sized enterprises, said Inguna Dobraja, WB Country Manager for Cambodia.

The WB also recommended that Cambodian authorities closely monitor a construction and real estate boom by developing policies that help to reduce speculative activity in the sector.-VNA