Cambodia’s public debt up slightly 1.62% in Q2

Cambodia’s total public debt stock reached $11.27 billion at the end of the second quarter, a slight increase of 1.62 per cent from the first quarter, according to Xinhua citing the Cambodia Public Debt Statistical Bulletin on Monday.

The bulletin revealed that 99 per cent of the debt is external while one per cent is domestic. During the April-June period, the government signed new concessional loans with development partners totalling $181.72 million.

The report emphasised the concessional nature of these loans, with an average grant element of around 56 per cent. Debt services to development partners amounted to $49.44 million in the second quarter.

Deputy Prime Minister and Minister of Economy and Finance Aun Pornmoniroth stated that the loans have been utilised to finance public investment projects in priority sectors that support long-term sustainable economic growth.

Despite the impact of the COVID-19 pandemic and external factors, Cambodia’s public debt situation remains sustainable and at low risk of debt distress. The kingdom’s total public debt accounts for 19 per cent of GDP.

Attribution: Xinhua

Subediting: M. S. Salama