- ADB’s country partnership strategy for Cambodia, 2024-2028, aims to strengthen pathways for a sustainable, inclusive, and resilient economy in the country.
- ADB’s new country strategy is a partnership with Cambodia, closely aligned with the national Pentagonal Strategy, for its prosperity, its people, and the planet.
- ADB's new country partnership strategy for Cambodia heralds a new chapter of growth and opportunity to set the country on the path to high income status in the decades ahead.
The Asian Development Bank’s (ADB) 5-year Country Partnership Strategy (CPS) for Cambodia focuses on working with the government and other partners to accelerate private sector-led economic diversification, advance human development, and strengthen climate resilience.
The comprehensive strategy also incorporates crosscutting priorities to address climate change, enhance governance and institutional capacity, improve gender equality, promote digitalization, and deepen regional cooperation and integration.
Transcript
Cambodia has made remarkable development progress in the past decades, posting impressive economic growth and lifting nearly two million people out of poverty.
Cambodia has high development aspirations to unlock the potential of a youthful population, a vibrant private sector, and its central geographical location in Southeast Asia.
However, there are three main challenges in the way of high growth.
First, Cambodia’s economic base is narrow, with manufacturing and exports concentrated in a few products and a few markets.
The second is the low level of human development with a low-skilled labor force and low productivity.
The third challenge is the high and growing vulnerability to climate change, which could shave off nearly one tenth of GDP by 2050.
ADB’s new partnership strategy for 2024–2028 sets out its engagement with the government closely aligned with the national strategy for the same period.
In the next five years, ADB will make efforts to accelerate economic diversification led by the private sector; prioritize investments in human development to reduce poverty and inequality; and reaffirm ADB’s commitment to enhance Cambodia’s resilience to climate change.
The new strategy aims to build a sustainable, inclusive, and resilient economy in Cambodia through three strategic pillars: Prosperity, People, and the Planet.
Prosperity: Accelerate Private-Sector-Led Economic Diversification
This strategic priority emphasizes economic diversification and the pivotal role of the private sector in driving sustainable growth.
Key to this approach is enhancing high-quality, climate-resilient infrastructure to attract private sector investments and fostering a healthy business environment that benefits micro, small, and medium-sized enterprises, especially those led by women.
People: Advance Human Development
This strategic pillar places people at the heart of the development agenda.
ADB will support Cambodia’s people by making quality education accessible and affordable, developing skills for higher productivity, and help the government provide clean water supply and sanitation services in rural areas.
Efforts will also be intensified to leverage technology in enhancing public service delivery by local administrations and in improving food security and nutrition for those most in need.
The Planet: Strengthen Climate Resilience
Aligned with ADB and the government’s climate commitments, this priority aims to strengthen climate resilience in Cambodia.
ADB will support targeted climate adaptation initiatives spanning agriculture, water resources, and urban infrastructure.
It prioritizes the expansion of renewable energy with concessional climate finance.
Woven throughout all projects and initiatives will be consideration for governance, digitalization, regional cooperation and integration, gender equality and climate change.
ADB’s continued partnership with Cambodia aims to ensure that the country’s growing prosperity can be enjoyed by all citizens.
