Cambodia's Expected 2021 GDP Lowered by ADB
By
B2B Cambodia
on
The Asian Development Bank (ADB) has revised down the expected GDP for the Kingdom of Cambodia and expects the SEA nation to reach 1.9 per cent in 2021.
Previously, the ADP had in April 2021, anticipated a 4 per cent growth in Cambodia this year, but the ongoing impact of the pandemic forced them to decrease the growth forecast.
The Phnom Penh Post reported that ADB country director for Cambodia Sunniya Durrani-Jamal said "the lockdown and temporary shutdown of factories affected production in the garment, travel products and footwear sectors earlier this year, adding that the lingering epidemic is affecting local services and demand."
Although Cambodia has had an effective vaccination campaign, with no positive change to inbound tourism, which remains one of the key economic pillars in the Kingdom, the GDP will see less growth.
Jamal added that “Further reforms are also needed to attract investment in high-quality infrastructure, including digital infrastructure. Reforms to improve the performance of public functions are also fundamental to improving the country’s international competitiveness" reported the PP Post.
Image Credit: Asian Development Bank
ADB 2021 Predictions: Cambodia
- The agricultural sector is expected to grow by 1.5 per cent.
- The services sector is anticipated to decline by 0.6 per cent
- Industrial growth is projected at 5.3 per cent
- A 2.9 percent rate of inflation is expected