ADB provides $50m to boost Cambodia’s competitiveness

The Asian Development Bank (ADB) approved on Tuesday a $50 million policy-based loan to help Cambodia improve its business environment, enhance competitiveness, and reduce trade barriers.

This funding is part of the Trade and Competitiveness Programme, supporting the government’s goal of attracting private sector investments for sustainable growth and improving the well-being of its citizens.

This programme reinforces ADB’s dedication to enhancing Cambodia’s economic prospects by fostering a conducive environment for business expansion, encouraging investment, job generation, and sustainable economic development.

It specifically targets micro, small, and medium-sized enterprises (MSMEs) as key drivers of the economy, aiming to boost their competitiveness, said ADB Country Director for Cambodia Jyotsana Varma.

“Through targeted incentives, we aim to empower them to diversify, integrate digital solutions, and increase productivity,” he added.

This programme also aims to enhance cross-border trade efficiency by improving regulatory frameworks, streamlining procedures, and reducing trade barriers, positioning Cambodia to better engage in regional and global markets.

Cambodia faces development challenges due to constraints in investment, business environment, MSME development, and cross-border trade. These factors hinder productivity, competitiveness, and economic growth potential.

The programme aims to support the government in addressing challenges and enhancing Cambodia’s competitiveness by streamlining business regulations and improving public services to make doing business in Cambodia easier.

Attribution: The Asian Development Bank report

Subediting: M. S. Salama