“A young population and an emerging middle class provide a new manpower and consumer pool.”
Investing in Cambodia
New affluence is spreading throughout Cambodia. Urbanisation, growing literacy rates, and the return of many Cambodians from overseas are reshaping the economic landscape. The country has a predominantly young population and an emerging middle class providing a manpower and consumer pool that is revitalising the business environment for the long term.
Cambodia has a population of more than 13 million people, half of whom are no older than 25 years. Adult literacy has consistently risen to 75% since 2000 while the urban population has grown at a rate of over 5% annually since 1990.
Tourism growth is impressive and provides the biggest contribution to growth in the services sector. It benefits hotels, restaurants, and casinos directly while extending gains to transportation, communication, retail trade and finance. With the marvellous Angkor complex alone drawing tourists at an annual growth rate of 30%, tourism is poised to replace agriculture as the backbone of the national economy.
As a least developed country, Cambodia enjoys lucrative preferential access to the markets of Europe and North America, as well as access to free trade amongst member nations of the 550 million-strong ASEAN.
With a dollarised economy, low wages, liberal government policies, a low tax regime, and favourable access to wider markets, Cambodia represents an extremely attractive investment destination. The Royal Group offers investors the platform to realise opportunities at the most timely period in the nation’s resurging economy.