Property News Roundup August 1st, 2023
We’re delighted to share the weekly news highlights below.
- Cambodia breaks ground on national data center
Cambodia is building a new national data center in Phnom Penh that will store and secure both government and private data. The $30 million project, which aims to boost the country’s digital development, will seek Tier IV certification and launch in 2025. The data center market in Cambodia is small but growing, with a new 3MW facility opened by ByteDC in May 2023.
July 25, 2023 | Khmer Times | Link: https://shorturl.at/iqtQR
- Vietnam Breaks Ground on Mekong Delta Expressway
The Vietnamese government has begun construction on a 188km expressway that will connect the Mekong Delta to the port city of Tran De on the South China Sea. The six-lane expressway, which is expected to cost $1.9 billion and be completed in 2026, will be part of a larger network of six expressways linking Vietnam’s ports and economic centers. Meanwhile, Cambodia is also building its own expressway from Phnom Penh to Bavet on the Vietnam border.
July 24, 2023 | Construction & Property | Link: https://shorturl.at/zDKW6
- Location Remains Key for Selling Houses in Cambodia
The residential real estate market in Cambodia is facing lower demand and higher competition in 2023, according to CBRE Cambodia. Only a few projects in prime locations can keep or raise their prices, while others have to lower them or offer flexible terms. The market has seen more supply of condominiums and less of landed properties, which are more affordable and popular among local buyers. Developers are trying to adapt and innovate to attract buyers in a challenging environment.
July 24, 2023 | Construction & Property | Link: https://shorturl.at/lqv06
- Cambodia-ASEAN trade valued at over $7 billion in H1
In the first half of 2023, Cambodia’s trade with ASEAN member countries was valued at $7.1 billion, accounting for 30% of its total international trade. However, this represents a 17% decrease compared to the same period last year. Cambodia’s exports to ASEAN countries increased by 36% to $2.4 billion, while imports decreased by 31% to $4.6 billion. The trade volume between Cambodia and Vietnam was $3.3 billion, followed by Thailand at $1 billion and Singapore at nearly $800 million. Cambodia mainly exports agricultural products, clothes, footwear, travel goods, electronics, and bicycles to ASEAN countries and imports food, beverages, electrical and electronic equipment, construction materials, agricultural machinery and vehicles.
July 26, 2023 | Khmer Times | Link: https://shorturl.at/gKTW6
- Airline Passenger Numbers Increase by 270% in First Six Months of 2023
Cambodia saw a 270% increase in airport passengers in the first half of 2023, reaching 2.48 million, as the government boosted tourism by reopening and expanding flight routes. The country also welcomed 2.57 million international visitors, mainly from Thailand and China, who visited popular sites like Angkor and Preah Vihear temples. However, air freight declined by 17% to 24,000 tons in the same period.
July 17, 2023 | AEACNews | Link: https://shorturl.at/dgwL0
- NagaWorld Records Impressive Q2-2023 US$ 83M Profit, Surge of 57%
NagaCorp reports a 57.4% increase in net profit for NagaWorld in Cambodia, reaching US$83 million in the second quarter of 2023. The company attributes the growth to the recovery of tourism from ASEAN and China, which boosted its revenue by 7.9% to US$252.3 million. NagaCorp expects its revenue to continue to rise as it attracts more customers seeking entertainment and luxury at its premier resort and gaming hub in Phnom Penh.
July 25, 2023 | Construction & Property | Link: https://shorturl.at/dALO7
- ADB approves 40 mln USD loan to Cambodia
The Asian Development Bank (ADB) has approved a $40 million loan to support the Cambodian government in enhancing public service delivery reforms. The second and final subprogram of the reforms aims to improve planning, budgeting, revenue and expenditure management, and staff capacities at the local level. The program will also help align local plans with national and provincial budgets, improve access to basic public services, and increase women’s participation in local decision-making. The second subprogram builds on the first, which focused on developing public administration skills for local officials through the National School of Local Administration.
July 26, 2023 | XINHUANET | Link: https://shorturl.at/gjoN5
- Ministry of Industry’s 18-Storey Office Building Reaches 100% Completion
The Ministry of Industry, Science, Technology, and Innovation has completed its new 18-storey office building along Norodom Boulevard, a symbol of Cambodia’s progress and innovation. The handover ceremony on 25th July 2023 was attended by Senior Minister Dr. Cham Prasidh and other officials. The building was constructed by Khun Sear Import Export Co., Ltd. and Martin Design & Seksy Bill, with the support and guidance of the Ministry. The building features two car escalators and a lottery system for allocating offices to the Secretary of State and Undersecretary of State.
July 26, 2023 | Construction & Property | Link: https://shorturl.at/yzDEI
- China plays crucial role in Cambodia’s socioeconomic, infrastructure development
Cambodian Deputy Prime Minister and Foreign Minister Prak Sokhonn stated that China has played a crucial role in supporting Cambodia’s socioeconomic and infrastructure development. During a meeting with Qian Hongshan, vice minister of the International Department of the Central Committee of the Communist Party of China, the two expressed satisfaction with the diverse range of commemorative activities celebrating the 65th anniversary of diplomatic relations and the friendship year. They also explored opportunities to further enhance collaboration between the two ruling parties in governance, education, support for young entrepreneurs and leaders, and cultural exchange.
July 26, 2023 | XINHUANET | Link: https://shorturl.at/jnFS9
- Cambodia needs to overcome constraints for inclusive growth
According to a study by the ISEAS-Yusof Ishak Institute in Singapore, Cambodia must pursue inclusive, sustainable, and resilient growth to become an upper middle-income country by 2030 and a high-income country by 2050. The study’s presenter, Jayant Menon, stated that Cambodia’s lack of economic diversification has affected the quality of its growth and that new drivers of growth will be necessary as the country loses trade preferences and aid flows. Key constraints include limited human capital, high business costs, and lack of resilience and sustainability. The study suggests that Cambodia should diversify its trade and investment flows, reduce electricity costs to attract new FDI, and be selective in its choice of projects to grow in a sustainable and inclusive manner.
July 27, 2023 | Khmer Times | Link: https://shorturl.at/mpEQT