Publication: Cambodia Economic Update: Navigating Global Economic Headwinds

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Date
2022-12
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Published
2022-12
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World Bank
Abstract
While recovering from Coronavirus (COVID-19),Cambodia’s economy is now facing global economic headwinds. The current account improved in the first half of 2022 as the trade deficit narrowed. Rising global energy, fertilizer and food prices prompted a surge in inflation. Rising inflation is particularly harmful to poor households. To mitigate impacts of the food and oil price shock, the authorities are planning to introduce additional social assistance measures, while extending the existing COVID19 cash transfer program until end-2022. Promoting the domestic economic sectors, focusing on the travel, tourism, and hospitality industries should help partly offset the deterioration of external demand conditions. And successful facilitation of coherent private sector leadership of the sector should help create a “crowding-in” effect, anchored to comprehensive long-term plans, catalyzed by public seed funding. It is equally important to address supply chain constraints, which include high logistics and transportation costs to boost export.
Citation
World Bank. 2022. Cambodia Economic Update : Navigating Global Economic Headwinds. © Washington, DC: World Bank. http://openknowledge.worldbank.org/handle/10986/38371 License: CC BY 3.0 IGO.
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