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Japan encourages more investment to Cambodia

By Ek Tha
PHNOM PENH, Feb. 13, 2013 (PRU) – Both Japanese Ambassador and Deputy Prime Minister Dr. Sok An shared the view that Cambodia needs more foreign direct investment (FDI). 

His Excellency the Ambassador Masafumi Kuroki said that Japanese investors are eyeing Cambodia thanks to the fact that the country has moved beyond the phase of peace building and reconstruction into the stage of “full peace and development”.  Overseas development assistance (ODA) is not enough to support its growth, and thus Cambodia needs more FDI.

His Excellency Ambassador’s view was shared by His Excellency Dr. Sok An, who is also Minister in charge of the Office of the Council of Ministers, who said that “before ODA from Japan was important and now it is similarly important that we see more and more Japanese investors are coming to Cambodia.”

“This is opening a new page in our bilateral cooperation… we have good memories of cooperation in the form of ODA and now also Japanese investment,” the Deputy Prime Minister lauded.

Since the Japanese Peace Keeping Operation corps was dispatched to Cambodia in 1992, Japan has not only extended its diplomatic efforts for the political restoration of peace and stability, but also made available a significant portion of its ODA resources in support of the physical and social rehabilitation of war-torn Cambodia. Japan has been one of Cambodia’s key donor partners. Japan’s assistance for Cambodia are three types: general grant, technical cooperation, and loans.

Japan’s grant for Cambodia was $301.41 million (2010- 2012), technical cooperation was $280.844 million (2005 – 2012), and $139.3 million in loans (2010 – 2012).

Bilateral trade was more than $500 million in 2011 and it reached $479 million for the first six months of last year, while investment from Japan to Cambodia had grown from $120 million U.S. in 2011 to nearly $250 million last year.

In farewelling Ambassador Masafumi Kuroki after his three-and-a-half year posting in Cambodia, Dr. Sok An congratulated him for his successful and positive leadership in the field of culture, recalling that Japan is also co-chair along with France in the International Co-Coordinating Committee for the Safeguarding and Development of the Historic Site of Angkor, (ICC-Angkor), established in 1993 that paved the way for the successful international collaboration with Apsara National Authority over the period of twenty years.

Tokyo is the largest donor, having contributed more than 44 per cent or $79 millions, of the ECCC’s total budget since 2006. Ambassador Kuroki also reiterated Japan’ concern over the shortfall budget of the national side of the ECCC as well as the need for the court to speed up its work to achieve a verdict in Case 002 which Japan regards as the highest priority for the ECCC.

His Excellency Dr. Sok An and His Excellency Ambassador Kuroki will both attend the opening of the three-day ‘KIZUNA’ friendship event at the Angkor-Kizuna Hall of Cambodia-Japan Cooperation Centre (CJCC) on Thursday 21st February, when Japanese and Cambodian artists along with drums will rock the stage. End

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