One more step toward Uncle Ho's Indochinese Federation: the combination of the two economies

Promoting Vietnam-Cambodia economic cooperation

(VOV) - More than 300 Vietnamese and Cambodian businesses attended the second Vietnam-Cambodia Investment Promotion Conference in Phnom Penh on April 24.

The conference, co-chaired by Vietnamese Prime Minister Nguyen Tan Dung and Cambodian Prime Minister Samdech Hun Sen, is an important information channel for both governments and businesses to boost economic and investment cooperation.

It is a chance for the two countries’ ministries and organizations to review the investment situation, and update economic development strategies and preferential policies for investment in Cambodia.

The conference also aims to lay a firm foundation for signing agreements on double taxation avoidance and on the combination of the two economies.

Addressing the event, the two PMs appreciated the potential for Vietnam-Cambodia cooperation, affirming that both governments will create favourable conditions for Vietnamese businesses to invest in Cambodia, especially in telecommunications, aviation, energy, infrastructure development, tourism, trade, agriculture, forestry, rubber, and mining.

PM Dung proposed that the two governments maintain an effective dialogue mechanism to help businesses in the two countries iron out snags and promote business activities.

The Vietnamese government and related ministries and agencies have created incentives for Cambodian businesses to invest in Vietnam and encourage Vietnamese investors to expand business in Cambodia, Mr. Dung said.

He also asked Vietnamese businesses operating in Cambodia to comply with the country’s laws, manners and customs, and pay attention to ensuring employment and social welfare as well as reducing poverty.

PM Hun Sen said the Cambodian government is making every effort to create a transparent investment environment for Vietnamese businesses by simplifying administrative procedures and combating corruption. He called on them to increase their investment in Cambodia.

Vietnam and Cambodia have taken the initiative to boost economic cooperation by signing more than 60 cooperation agreements and forming the necessary cooperation mechanisms.

This contributed greatly to increasing two-way trade from US$950 million in 2006 to US$1.8 billion in 2010. Vietnam is now one of the three biggest foreign investors in Cambodia with 90 projects worth over US$2 billion.

Also at the conference, the two government leaders witnessed the signing of memorandum of understanding on promoting investment and cut the ribbon to open the Vietnam-Cambodia Securities Company.

On the afternoon of the same day, PM Dung and his entourage left Cambodia for Vietnam, successfully concluding their visit to the country.