Publication: Cambodia Economic Update, November 2020: Restrained Recovery
Date
2020-11
ISSN
Published
2020-11
Author(s)
World Bank
Abstract
The Coronavirus disease (COVID-19)
pandemic has abruptly interrupted Cambodia’s celebrated
growth story. The pandemic has effectively stalled the
construction and real estate boom that relied heavily on
foreign investment. High-frequency phone surveys of
households validated the adverse impact of the pandemic on
employment. As the global economic crisis caused by COVID-19
continues, the economy in 2020 is projected to contract by
2.0 percent, the sharpest decline in Cambodia’s recent
history. The most important policy goal must be to urgently
regain jobs lost or suspended due to the pandemic. In this
regard, full attention must be paid to boost investment in
labor-intensive sectors to generate jobs. Looking ahead, it
is essential to facilitate an expansion of domestic and
foreign investment arising largely from recent bilateral and
regional free trade agreements. It is imperative to continue
to closely monitor vulnerabilities arising from a prolonged
construction and property boom and the increase of credit
provided to the construction and real estate sector. It is
critically important to develop a COVID-19 vaccine
distribution infrastructure, while identifying potential
COVID-19 vaccine availability and affordability. Cooperation
has been sought with regional countries developing COVID-19
vaccines such as China to ensure Cambodia has access to the
COVID-19 vaccine when it is available.
Citation
“World Bank. 2020. Cambodia Economic Update, November 2020 : Restrained Recovery. © World Bank, Phnom Penh. http://openknowledge.worldbank.org/handle/10986/34932 License: CC BY 3.0 IGO.”