Thailand and Cambodia’s
trade and investment ties are set to receive a significant boost following the signing of a Memorandum of Understanding (MOU) between EXIM Thailand and the Cambodia Chamber of Commerce (CCC) on February 7, 2024. The MOU aims to promote bilateral economic cooperation, trade, investment, and the overall development of the Greater Mekong Subregion.
Srettha Thavisin, Thailand’s Prime Minister and Finance Minister, and Hun Manet, Cambodia’s Prime Minister, oversaw the signing ceremony at the Government House. The primary objective of the MOU is to facilitate the exchange of information and consultation between EXIM Thailand and CCC in areas such as the economy, trade, investment, industrial development, and other activities that contribute to the development of the Greater Mekong Subregion.
Thailand is a significant trading partner of Cambodia, alongside China, the United States, and Vietnam. In 2022, the Thailand-Cambodia trade volume surpassed 8 billion US dollars. Thai exports to Cambodia amounted to $6.4 billion, while imports from Cambodia totaled $1.6 billion.
Thai entrepreneurs, particularly SMEs, have increasingly recognized Cambodia as a favorable investment destination due to the country’s economic policies, including incentives that attract foreign direct investment. Thai businesses are currently operating in various sectors in Cambodia, including agriculture, manufacturing, construction, media, healthcare, and other service sectors.
The Cambodian government’s economic stimulus policy, “Living with Covid-19,” launched in late 2021, has played a crucial role in fueling Cambodia’s economic growth. The country’s GDP growth rate exceeded 5% in 2022, driven by the revival of the export and tourism sectors. It is projected that Cambodia’s GDP will continue to grow by over 5% in 2023.
Under the new partnership, EXIM Thailand will collaborate with the CCC to connect Thai and Cambodian business networks, fostering trade and investment prospects for Thai businesses. These efforts aim to increase the value of trade, investment, tourism, and the development of the border areas, with a special emphasis on the green economy and digital economy.
EXIM Thailand, as a specialized financial institution under the supervision of the Ministry of Finance, aspires to become a “Green Development Bank” to enhance the competitiveness of Thai exporters and investors on the global stage. The bank’s strategic objective includes promoting the development of new industries and driving sustainable development in Thailand and its strategic partners in the CLMV countries (Cambodia, Lao PDR, Myanmar, and Vietnam).
Rak Vorrakitpokatorn, President of EXIM Thailand, expressed his optimism about the partnership, stating, “The cooperation between Thailand and Cambodia will significantly bolster trade and investment between the two countries. The goal is to increase the value of trade, investment, tourism, border area development, green economy, and digital economy. Through this partnership, we strive to cultivate sustainable development, extending from grassroots communities to the national and global scales.”Cambodia Chamber of Commerce President, Neak Oknha Kith Meng signed on behalf of CCC.
