Cambodia: Spectacular Increase in Approved Investments in the First Ten Months of 2025

The Conseil pour le développement du Cambodge (CDC) announced on Friday a spectacular increase in approved investments during the first ten months of 2025. With a total of 575 projects validated between January and October, the kingdom recorded a 66% rise compared to the 346 projects counted during the same period last year.

Phnom Penh. Photo CG

These new initiatives represent an estimated fixed asset value of $9.2 billion, a 67% increase compared to the $5.5 billion recorded last year.

This momentum confirms Cambodia's growing role as a hub for regional and international capital attraction, supported by political stability, an improved business climate, and fiscal incentives offered by the government. Investments cover a wide range of strategic sectors, including manufacturing, renewable energy, infrastructure, tourism, agriculture, and agro-industry.

A booming sectoral diversification

The manufacturing sector dominates commitments, driven by the rise of special economic zones and the growth of export-oriented production. Projects in renewable energies also show notable progress, aligned with the government's ambition to increase the share of solar and hydropower in the national energy mix.

The development of road, port, and logistics infrastructure, often in partnership with foreign investors, constitutes another major growth driver. Meanwhile, tourism, agricultural, and agro-industrial initiatives aim to strengthen local value chains, contributing to a more inclusive and sustainable industrialization.

China, the leading foreign investor

China remains by far the main source of foreign direct investment (FDI) in Cambodia, representing 49.24% of the total capital committed over the period. This flow continues to support key sectors such as construction, manufacturing, energy, and real estate. Following this trend, Cambodian investors themselves are gaining ground, followed by Singapore and Vietnam, consolidating their positions among the leading economic partners.

This Chinese predominance, combined with the arrival of more diversified regional investments, illustrates growing confidence in the Kingdom's potential and the relevance of its economic integration policies, both within ASEAN and through bilateral cooperation.

Provinces driving growth

Geographically, the province of Kampong Speu stands out as a locomotive for industrial development, with 130 projects approved, closely followed by Svay Rieng (129), Phnom Penh (68), Takeo (59), Koh Kong (50), and Preah Sihanouk (45). These regions benefit from a combination of competitive advantages—land availability, logistical connectivity, and proximity to cross-border corridors—encouraging the multiplication of production zones and mixed investments.

The remaining projects are distributed in other provinces, confirming a more equitable spread of economic opportunities throughout the territory. This territorial expansion reflects the government's desire to promote a balanced development model, reducing the economic dependence on the capital.

An upward trajectory

The 2024 record already allowed measuring this upward trajectory. That year, Cambodia approved 414 fixed asset investment projects, for a total value of $6.9 billion, a 40% increase compared to 2023, which was at $4.92 billion. The 2025 exercise thus confirms a remarkable acceleration, consolidating the image of a resilient, agile economy open to foreign partners.

As the country intensifies its administrative reforms and strengthens the transparency of its procedures, prospects remain favorable. The CDC, buoyed by recent successes, continues efforts to attract high value-added investments capable of generating skilled jobs and supporting the upgrading of national productions.