Cambodia Ramps Up Worker Skills, Business Reforms as Factory Boom Continues

PHNOM PENH, Cambodia (Dec. 2, 2025) — Cambodia is moving to strengthen worker skills and streamline business reforms as hundreds of new factories prepare to open in 2026, underscoring rising investor confidence in the country’s economy.

Sun Mesa, spokesman for the Ministry of Labour and Vocational Training, said nearly 600 investment projects were approved in the first 10 months of 2025, creating close to 40,000 jobs. By October, 579 projects worth $9.2 billion had been cleared, with the government projecting more than 400,000 additional jobs as new enterprises come online.

To support this growth, the ministry has cut nearly 20 administrative services, easing procedures for investors and operators. The garment sector remains the backbone of Cambodia’s economy, with 1,810 factories out of more than 46,000 enterprises employing over 2 million workers.

Mesa added that the ministry is urging returning migrant workers to enroll in free technical and vocational training, noting many lack formal skills needed for higher-paying jobs.

The program is part of a national drive to train 1.5 million youth from poor and vulnerable households, ensuring the workforce can meet the demands of Cambodia’s expanding industrial base.