Sep '16
Backed by 9.4 per cent growth in exports from the garment and footwear industry, Cambodia's economy is likely to witness strong growth in 2016 and 2017, says a new Asian Development Bank (ADB) report. Cambodia attained lower-middle-income status in July this year, and the report has retained its forecast for economic growth at 7 per cent this year.
“Economic developments so far in 2016 have unfolded broadly as expected in Asian Development Outlook (ADO) 2016. Exports from the important garment and footwear industry rose by 9.4 per cent in the first half, almost double the pace in the same period of 2015,” says the ADB in an update of its flagship annual economic publication ADO 2016.
“While growth in credit to the private sector moderated to 28.1 per cent year-on-year in June 2016, it still indicates buoyant domestic demand. Better weather since June, following an extended drought, should help a mild recovery in agriculture,” said Samiuela Tukuafu, ADB's country director for Cambodia.
Tukuafu said that ADB stands ready to continue supporting Cambodia's inclusive economic growth through critical investments in agricultural productivity, transport and logistics, technical and vocational education and training, and financial sector development.
Fiscal policy is seen as supporting economic growth, with government spending rising by 15.6 per cent in the first half of 2016 assisted by civil service wage increases, and revenue rising by 24.1 per cent as the government continued to improve tax collection.
Merchandise exports increased by an estimated 12.3 per cent in US dollar terms in the first 6 months, faster than the 9.4 per cent recorded in the first half of 2015. Growth in merchandise imports slowed to 7.3 per cent from 17.0 per cent. The current account deficit, excluding official transfers, is still seen to have changed minimally this year compared to 2015, and is expected to narrow in 2017 thereby maintaining Cambodia's sound external position. (RKS)
Fibre2Fashion News Desk – India
Interviews View All
Nuno Venda
ROQ
‘There has been an increase in demand for water based inks, rather than...
Top executives
Textile industry
The budget will give major impetus to textile and apparel consumption
Kamlesh Vaghela
RK Textiles
Very few machinery manufacturers have R&D units
Founded in 1974, Italian firm Zaitex SpA is one of the leading suppliers...
Family-owned German textile machinery manufacturer Trützschler operates...
The Sleep Company was established to upgrade the sleep quality of every...
Paolo Ocleppo
Sandvik Hyperion
Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...
Silke Brand-Kirsch
Schlegel und Partner
Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...
Urs Stalder
Sanitized AG
Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...
Priya Somaiya
Usha Social Services
The Usha Silai label from Usha International is all set for a retail...
Sidharth Sinha
Sidharth Sinha
<b>Sidharth Sinha</b> has contributed to the successful rebirth and...
Hemant & Nandita
Hemant & Nandita
The designer duo of Hemant & Nandita are known for being inspired by...
Leave your Comments
Recommended
Want to know what happened in the textile world this week? Watch now!
Follow us on instagram
FollowFollow Fibre2Fashion On
 |
