Cambodia and ADB
In the Spotlight
Cambodia’s economy is expected to grow at 7% in 2018 and 2019, bolstered by solid global economic growth, according to the ADB’s flagship annual economic publication, Asian Development Outlook (ADO) 2018.
Cambodia’s new technical and vocational education and training (TVET) policy aims to promote public–private partnerships and mobilize resources to support TVET, according to an ADB brief. A key strategy is to set up a national skills development fund.
ADB signed three project loan agreements with the Government of Cambodia to provide support for road network improvement, provincial water supply and sanitation, and smallholder farmers development in Tonle Sap.
In recent years, Cambodia has moved closer to lower-middle-income status through resounding economic growth. This has been driven by solid performances in garment manufacture, tourism, paddy and milled rice, and construction. While this growth is expected to continue in 2016, the economy remains vulnerable to external shocks and natural disasters. Although the poverty rate fell between 2007 and 2012, from about 50% to below 20%, more than 70% of Cambodians still live on less than $3 a day, which means that many of them remain vulnerable to falling back into poverty.
Under the country partnership strategy for 2014–2018, ADB will continue to support the government’s economic reform priorities and help promote inclusive growth.
Cambodia is a member of the Greater Mekong Subregion (GMS).