Workers at a South Korean building project in Phnom Penh. South Korea was the second-largest foreign investor in 2008. (Photo by: Heng Chivoan)Thursday, 05 February 2009
Kay Kimsong
The Phnom Penh Post
But critics say figures do not represent real cash injection
The government approved more than US$10 billion in fixed-asset investment in 2008, up more than $8 billion over 2007 figures, according to Cambodia Investment Board documents obtained by the Post Tuesday.
CIB figures say 101 investment projects were approved by the Council for Development in Cambodia in 2008, representing fixed-asset investments of $10.89 billion, compared with 129 projects worth $2.6 billion in 2007.
Fixed-asset investments for 2008 accounted for 36.1 percent of total investments in the Kingdom, the said CIB.
But the figures have raised questions about the actual substance of the fixed-asset investments. Cambodia Economic Association President Chan Sophal told the Post Wednesday that fixed-asset investments represent pledged dollar amounts rather than actual foreign investment capital.
"Fixed assets represent only figures registered with the government, but they don't mean actual capital that will be spent in Cambodia," he said.
"The real FDI capital flow in Cambodia was about $700 million to $800 million [in 2008]," he said, adding that only an estimated 20 percent of the $10.89 billion in fixed assets represented actual investment in the economy. The World Bank put Cambodia's FDI in 2008 at $821.7 million.
Chap Sotharith, a senior researcher at the Cambodian Institute for Cooperation and Peace, agreed that CDC investment capital figures do not represent actual dollar amounts invested in the country.
"We don't really have a clue about the actual amount of FDI unless we know how much money investors have actually transferred into the country," Chap Sotharith said.
Sam Rainsy Party lawmaker Yim Sovann claimed that as much as 50 percent of foreign investments fail due to corruption and unfair competition.
The largest projects approved last year were the Union Development Group Co's Koh Kong Sea Coast Development (China), with $3.8 billion, followed by Evergreen Success and Asia Resort Development (Cambodia), with $1.84 billion.
By sector, Cambodia approved $8.77 billion in tourism investments, $1.29 billion in service sector investments and $715 million in industry, the CIB figures show.
The government approved more than US$10 billion in fixed-asset investment in 2008, up more than $8 billion over 2007 figures, according to Cambodia Investment Board documents obtained by the Post Tuesday.
CIB figures say 101 investment projects were approved by the Council for Development in Cambodia in 2008, representing fixed-asset investments of $10.89 billion, compared with 129 projects worth $2.6 billion in 2007.
Fixed-asset investments for 2008 accounted for 36.1 percent of total investments in the Kingdom, the said CIB.
But the figures have raised questions about the actual substance of the fixed-asset investments. Cambodia Economic Association President Chan Sophal told the Post Wednesday that fixed-asset investments represent pledged dollar amounts rather than actual foreign investment capital.
"Fixed assets represent only figures registered with the government, but they don't mean actual capital that will be spent in Cambodia," he said.
"The real FDI capital flow in Cambodia was about $700 million to $800 million [in 2008]," he said, adding that only an estimated 20 percent of the $10.89 billion in fixed assets represented actual investment in the economy. The World Bank put Cambodia's FDI in 2008 at $821.7 million.
Chap Sotharith, a senior researcher at the Cambodian Institute for Cooperation and Peace, agreed that CDC investment capital figures do not represent actual dollar amounts invested in the country.
"We don't really have a clue about the actual amount of FDI unless we know how much money investors have actually transferred into the country," Chap Sotharith said.
Sam Rainsy Party lawmaker Yim Sovann claimed that as much as 50 percent of foreign investments fail due to corruption and unfair competition.
The largest projects approved last year were the Union Development Group Co's Koh Kong Sea Coast Development (China), with $3.8 billion, followed by Evergreen Success and Asia Resort Development (Cambodia), with $1.84 billion.
By sector, Cambodia approved $8.77 billion in tourism investments, $1.29 billion in service sector investments and $715 million in industry, the CIB figures show.
7 comments:
i would like to see cambodia developped totally like the neighboring countries. of course, khmer people love sustainable and eco-friendly development; however, we would like to see our cities and country become modern and convenient like the rest of the developing countries out there. more power to cambodia. god bless cambodia.
It feels so good to see picture of Khmer people building and construction our country with their own hands and feet, and from what they have learn from our great educational institution.
Sadly owever, we can't say the same thing for Ah Potato diggers because their stupid education system suck. They are all cripple, can't even fill out their own job application. All they can do is dig potato or pick tomato. At best, be one of the lowlife slave in manufacturing. That's it.
for those out there who are still in the dark, remember how the city of hong kong in china was built, by bamboo scalfoldings and perhaps barefooted workers as well, not to say that construction workers in cambodia should go barefooted or without using safety like hardhat, etc... but it just goes to show or remind people how the beautiful, forest skycraper city of hong kong was built, by ordinary workers. cambodia should travel to hong kong and see how beautiful that city looks and apply that same concept to cities in phnom penh and other parts of cambodia as well. god bless cambodia.
WTF? We don't have any problem building our own skyscrapers. We are a world-class in this area. Our education system is far exceeding all Sroks Ah potato diggers.
Hahahaha, and Ah Slave Potato diggers think they can't run Cambodia better than we can, hahaha, LOL, LOL, LOL, ....
Shame, shame, shame, on Ah Blue-Eyed worshipers who think they are smart enough to fool Khmer people!!!
Good Job, Khmer People!
Fuck Ah Potato Diggers!
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