Economy of Cambodia
| Economy - overview: | In 1999, the first full year of peace in 30 years, the government made progress on economic reforms. The US and Cambodia signed a Bilateral Textile Agreement, which gave Cambodia a guaranteed quota of US textile imports and established a bonus for improving working conditions and enforcing Cambodian labor laws and international labor standards in the industry. From 2001 to 2004, the economy grew at an average rate of 6.4%, driven largely by an expansion in the garment sector and tourism. With the January 2005 expiration of a WTO Agreement on Textiles and Clothing, Cambodia-based textile producers were forced to compete directly with lower-priced producing countries such as China and India. Better-than-expected garment sector performance led to more than 13% growth in 2006. Faced with the possibility that its vibrant garment industry, with more than 200,000 jobs, could be in serious danger, the Cambodian government has committed itself to a policy of continued support for high labor standards in an attempt to maintain favor with buyers. The tourism industry continues to grow rapidly, with foreign visitors surpassing 1 million per year beginning in 2005. In 2005, exploitable oil and natural gas deposits were found beneath Cambodia's territorial waters, representing a new revenue stream for the government once commercial extraction begins in the coming years. Mining also is attracting significant investor interest, particularly in the northeastern parts of the country. The long-term development of the economy remains a daunting challenge. The Cambodian government is working with bilateral and multilateral donors, including the World Bank and IMF, to address the country's many pressing needs. The major economic challenge for Cambodia over the next decade will be fashioning an economic environment in which the private sector can create enough jobs to handle Cambodia's demographic imbalance. More than 50% of the population is less than 21 years old. The population lacks education and productive skills, particularly in the poverty-ridden countryside, which suffers from an almost total lack of basic infrastructure. |
| GDP (purchasing power parity): | $37.73 billion (2006 est.) |
| GDP (official exchange rate): | $6.6 billion (2006 est.) |
| GDP - real growth rate: | 7.2% (2006 est.) |
| GDP - per capita (PPP): | $2,700 (2006 est.) |
| GDP - composition by sector: | agriculture: 35% industry: 30% services: 35% (2004) |
| Labor force: | 7 million (2003 est.) |
| Labor force - by occupation: | agriculture: 75% industry: NA% services: NA% (2004 est.) |
| Unemployment rate: | 2.5% (2000 est.) |
| Population below poverty line: | 40% (2004 est.) |
| Household income or consumption by percentage share: | lowest 10%: 2.9% highest 10%: 33.8% (1997) |
| Distribution of family income - Gini index: | 40 (2004 est.) |
| Inflation rate (consumer prices): | 5% (2006 est.) |
| Investment (gross fixed): | 18.7% of GDP (2006 est.) |
| Budget: | revenues: $731 million expenditures: $931.8 million; including capital expenditures of $291 million (2006 est.) |
| Agriculture - products: | rice, rubber, corn, vegetables, cashews, tapioca |
| Industries: | tourism, garments, rice milling, fishing, wood and wood products, rubber, cement, gem mining, textiles |
| Industrial production growth rate: | 22% (2002 est.) |
| Electricity - production: | 131 million kWh (2004) |
| Electricity - production by source: | fossil fuel: 65% hydro: 35% nuclear: 0% other: 0% (2001) |
| Electricity - consumption: | 121.8 million kWh (2004) |
| Electricity - exports: | 0 kWh (2004) |
| Electricity - imports: | 100 million kWh (2005) |
| Oil - production: | 0 bbl/day (2004) |
| Oil - consumption: | 3,750 bbl/day (2004 est.) |
| Oil - exports: | NA bbl/day |
| Oil - imports: | NA bbl/day |
| Oil - proved reserves: | 0 bbl |
| Natural gas - production: | 0 cu m (2004 est.) |
| Natural gas - consumption: | 0 cu m (2004 est.) |
| Current account balance: | -$369 million (2006 est.) |
| Exports: | $3.38 billion f.o.b. (2006 est.) |
| Exports - commodities: | clothing, timber, rubber, rice, fish, tobacco, footwear |
| Exports - partners: | US 63%, Germany 10%, UK 4.6% (2006) |
| Imports: | $4.446 billion f.o.b. (2006 est.) |
| Imports - commodities: | petroleum products, cigarettes, gold, construction materials, machinery, motor vehicles, pharmaceutical products |
| Imports - partners: | Thailand 32.3%, China 18%, Hong Kong 14.3%, Singapore 11.8% (2006) |
| Reserves of foreign exchange and gold: | $1.385 billion (2006 est.) |
| Debt - external: | $3.664 billion (2006 est.) |
| Economic aid - recipient: | $504 million pledged in grants and concession loans for 2005 by international donors |
| Currency (code): | riel (KHR) |
| Currency code: | KHR |
| Exchange rates: | riels per US dollar - 4,103 (2006), 4,092.5 (2005), 4,016.25 (2004), 3,973.33 (2003), 3,912.08 (2002) |
| Fiscal year: | calendar year |