Crisis Response Measures Aim to Safeguard Investors Amid Regional Uncertainty

PHNOM PENH, May 8, 2026 (KPT) — Cambodia is intensifying reforms and crisis response measures to support businesses and maintain investor confidence as global and regional challenges mount, Deputy Prime Minister Sun Chanthol said Thursday.

Speaking at the Cambodia Investment Forum 2026, Chanthol described the private sector as the engine of growth and a top priority under the government’s socio economic agenda. He cited the “Pentagonal Strategy Phase One” and a competitiveness program launched in January as central to improving the investment climate and strengthening resilience.

Chanthol outlined interventions including redirecting freight from land routes to waterways amid border disruptions with Thailand, accelerating deep sea port development to cut shipping costs, scrapping container scanning fees, and cracking down on online scams to ensure Cambodia remains “100 percent safe” for investment and tourism. He also highlighted the Funan Techo water resources project to expand inland connectivity.

On labor, he said tens of thousands of workers had returned from Thailand but were being matched with domestic jobs as rising investment inflows increased demand for skilled labor.

Addressing energy concerns linked to Middle East tensions, Chanthol said fuel taxes had been cut close to zero, while the state electricity utility absorbed losses of about US$35 million to keep power prices stable.

The Asian Development Bank recently projected Cambodia’s economy will grow 4.5 percent in 2026 and 5 percent in 2027, supported by resilient manufacturing and reforms. Industrial output is expected to expand by more than 7 percent, driven by garments and non garment sectors such as electrical components, tires and furniture. However, the ADB warned that prolonged fuel shocks linked to the Iran crisis could raise inflation beyond the current forecast of 2.8 percent, affecting agriculture, manufacturing and tourism.