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More than 710,000 households (2.8 million people) received cash transfers during the COVID-19 in January 2021, while only 560,000 households (2.3 million people) were eligible in early June 2020. This implies that at least 150,000 households (0.5 million people) have been identified as newly poor between June 2020 and January 2021. To monitor the household-level impacts of COVID-19 in Cambodia, the World Bank and the National Institute of Statistics designed and are conducting high-frequency household phone surveys. The fourth round of surveys completed in December 2020 and January 2021, showed that 72 percent of respondents were employed, reaching similar levels as in May and August 2020 but remaining below its pre-pandemic level when 82 percent of respondents were working. The December 2020 survey also showed that 50 percent of households reported a decline in household income relative to the previous round. Health and education, especially quality and equitable access, remain important challenges and development priorities. Cambodia has made considerable strides in improving maternal and child health, early childhood development, and primary education in rural areas. The maternal mortality ratio per 100,000 live births decreased from 472 in 2005 to 170 in 2014; the under-five mortality rate decreased from 83 per 1,000 live births in 2005 to 35 per 1,000 live births in 2014; and infant mortality rate decreased from 66 per 1,000 live births in 2005 to 28 per 1,000 live births in 2014.
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Despite the progress in health and education outcomes, human capital indicators lag behind lower middle-income countries. A child born in Cambodia today will be only 49 percent as productive when grown as she could be if she enjoyed full quality education, good health, and proper nutrition during childhood. An estimated 1 in 3 children under the age of five suffer from stunting and only 36 percent of children between three and five years old are enrolled in early education. While net enrollment in primary education increased from 82 percent in 1997 to 97 percent in 2020, lower secondary completion rates, are at 45 percent in 2019, which is significantly lower than the average for lower middle-income countries. As of 2017, 21 percent of Cambodia's population (3.4 million people) did not have access to improved water, and 34 percent (5.4 million people) did not have access to improved sanitation.
Key reforms are needed for Cambodia to sustain pro-poor growth, foster competitiveness, sustainably manage natural resource wealth, and improve access to and quality of and equitable access to public services. Cambodia continues to have a serious infrastructure gap and would benefit from greater connectivity and investments in rural and urban infrastructure. Further diversification of the economy will require fostering entrepreneurship, expanding the use of technology and building new skills to address emerging labor market needs. Accountable and responsive public institutions will also be critical to meeting the evolving needs of citizens and the private sector. And quality of human capital will be of utmost importance to achieve Cambodia's ambitious goal of reaching middle-income status by 2030.
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In developing the NSDP, and drawing on a supporting Strengthens, Weaknesses Opportunities and Threats (SWOT) analysis to support the RS IV, the Ministry of Planning drafting are cognizant of challenging external regional global environments. Specifically, this is framed by 4 mega-trends which will affect Cambodia during the planning cycle:
• Emergence of a multipolar world rooted in a changing balance of power, and associated frictions, such as trade disputes and nationalistic tensions;
• A global economy increasingly driven by Asia, and China's economic performance in particular.
• Advent of transformative productive technologies under the banner of the Fourth Industrial Revolution, which is set to rewrite patterns of production and national competitive advantage.
• And the clear onset of climate change, with unambiguous impacts – unpredictable weather events drought, heat and floods.
1. Capitalizing on and maintaining growth momentum in the Cambodian economy (flourishing domestic business activity and investment, and high and rising FDI flows, on the back of bullish demand and trade) by addressing productivity and competitiveness bottlenecks. This has many dimensions, including: building human resources and skills; diversifying the economy; boosting value added in industry and service sectors; enabling adoption and adaptation of new (Industry 4.0) technologies, and a specific focus on productivity in rural areas (encompassing farm and non-farm production).
2. Making full use of Cambodia's locational advantages within southeast Asia, and its proximity to the centre of gravity of global trade by exploiting trade liberalization opportunities (including the ASEAN integration and the LDC trade preferences) to
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absorb investment and expand export markets. But equally, to guard against regional and global economy uncertainties, including trade shocks, and lay the groundwork for tackling the eventual loss of the LDC Special and Differential Measures by preparing early for gradation. Improve the functionality the financial sector, including easing the supply/ reducing the cost of credit, so relieving a key constraint for enterprises of all sizes. This includes development of the domestic insurance and securities markets, improving the quality of the financial intermediation, boosting domestic savings and curtailing household debt. Noting that with the loss of concessional loans, domestic savings and a more efficient capital market are essential to maintaining investment and growth levels. This also has connections with the progressive longer term de-dollarization of the economy, and the issuance of Riel-denominated commercial and state financing instruments. Reap the full benefits of the demographic dividend and low dependency ratio, to build social security and healthcare systems. This is a route to reducing personal and economy-wide vulnerabilities and risk-aversion, and in turn boosting productivity and economic growth. Maintain peace, political stability and the social order, heading off external and internal challenges – first by reforming public security and judicial services, to deliver the trust of the general the public. Additionally, ensuring political and administrative accountabilities via renewed de-concentration and devolution, and wider public/ civil service reforms. Address environment weaknesses which have been inherent to the past economic model and protect the natural resource endowment by nudging/ incentivizing greener production and consumption. In parallel, also meet Cambodia's commitments to climate change action, including de-carbonization of the economy and alongside measures.
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Through planning and investment in physical structures, human capital, and institutional capacity, the Kingdom of Cambodia has transformed itself from a war- torn country into a vibrant economy and a desirable destination for investment and reached lower-middle income country status. Entrepreneurship and private investment have grown progressively, resulting in a healthy GDP growth of 7% on average per year; capita GDP in 2018 exceeding USD 1,500; and the poverty rate has declined to lower than 10% during the NSDP 2014-2018. Moreover, private investment now enjoys a larger share in total investments than public investment. Within more than 2 decades of the successful implementation of the NSDP, Cambodia has also emerged as one of the 10 largest rice-exporting nations and among the 15 largest producers in the world, and hence it ceased to be a net rice importer. In addition, it is now an important garment producer and exporter, a notable tourist destination and a full member of the ASEAN, WTO and several regional and international communities. Cambodia also boasts some 7,200 primary schools and over 120 tertiary institutions and continues to further strengthen the education quality.
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As the nation embarks upon the next phase of its development of the National Strategic Development Plan "NSDP" 2019-2023, the RGC will continue to implement its work to achieve more new achievements as well as to complete the unfinished policies, programs and activities and to be ready to face and reduce the future challenges, including facing global and regional challenges and the reduced concessional assistance. In the next cycle of planning, the 3 main processes that will need promoting are:
1.Raising budget revenues collection from both taxes and non-tax sources significantly and sustainably beyond present levels.
2. Scaling-up the quality of human capital both for industrialisation and human wellbeing, and both within and outside the government.
3. Improving capacities within the government (both at the national and sub- national levels) to deliver quality services through better inter-ministry/agency communication and sharing of information, improved (vertical) integration between the sub-national levels and the apex ministries/agencies, and promoting e-governance in the context of Industrial Revolution 4.0.
The NSDP 2019-2023 presents a roadmap for the implementation of the RGC's priority policies of the Sixth Legislature as articulated in the Rectangular Strategy Phase IV. The NSDP's purpose is to ensure that the actions, programs and projects of all ministries, agencies and sub-national authorities are aligned to implement the RGC's prioritised policies outlined in the Rectangular Strategy While doing so, the NSDP 2019-2023 also aims to ensure that the strategies to implement these prioritised policies (by the ministries, agencies and sub-national authorities) take into account the potential impact of Cambodia graduating from the lower middle income country to the upper middle income country status and the reduced ODA grants and technical assistance.
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Additionally, the NSDP 2019-2023 aims to ensure that policies are geared to manage and compete in the region and the world. Finally, the RGC is taking systematic and sequenced measures to mitigate the adverse impacts of the continued slowdown in advanced economies and many other emerging economies on Cambodia's financial and economic system and to protect its hard-earned achievements. In terms of macro-economic indicator, the NSDP 2019-2023 aims to achieve at least 7% growth in GDP per year and reduce the poverty rate by at least one percentage point each year. The NSDP 2019-2023 proposes a substantial quantum of funding, and a requirement higher than expected in the past NSDP. However, the RGC believes that the funding from DPs remain the main driver to accelerate investments, activities, capacities and institutional structures. This driver is essential since the country has yet to develop some critical capacities and institutional flexibilities, especially within the government. The process of formulating this NSDP 2019-2023 brings key innovations such as compiling factual information through a bottom-up process to address issues of who is responsible, what actions will be taken, and how much it will cost to implement the proposed actions; this is as well as a top-down perspective, obtained through a quantitative analysis of the current economic trends. Additionally, the Ministry of Planning (MOP) has taken concrete steps to ensure active participation from the line ministries and agencies as well as sub-national authorities in the planning process.
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At the same time, MOP has also ensured that development partners, NGOs, and other civil society stakeholders were provided with opportunities to actively participate in defining the results (i.e. the impacts of the policies, programs and projects) during the process of preparation of inputs and targets. The M&E Process in this plan proposes a Results Framework, so that the inputs are a priority matched with activities/outputs then outcomes, and finally impacts. To refine the core indicators/targets for monitoring and reporting the progress on the implementation of NSDP 2019-2023, MOP is set to continue to support the roles of the National Working Group on Monitoring and Evaluation (NWGM&E), serving as its chair. the NWGM&E has worked diligently to complete the task of standardising the definitions of variables/indicators and defining new indicators to enable a better monitoring of the outcomes of plan expenditures. The NWGM&E is a standing committee and it will therefore continuously review M&E progress throughout the period of the implementation of the NSDP 2019-2023. Its terms of reference also include improving the M&E process mid-way if deemed necessary. Therefore, the NSDP ensures the flexibility within the M&E Framework. The NWGM&E has developed a hierarchy of indicators, arranged from the highest (i.e. economy-level and cross-sectoral), to the next level (sectoral outcomes/outputs), then sub-sectoral outputs, and finally to the inputs level.
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8- Cambodia's future
There are 8 million jobs in Cambodia employing about 80 percent of the adult population—a rate that is well above the 63 percent average labor participation rate in the East Asia Pacific region. The gradual improvement in the quality of Cambodian jobs is a testament to the success of the country's export-driven development strategy. However, global trends, such as the growing Asian middle class, shifting trade patterns, and automation, require that Cambodia re-think its jobs strategy as it advances to the next stage of export-led development. Building on the Royal Government of Cambodia's Rectangular Strategy – Phase IV, Cambodia's Future Jobs: Linking to the Economy of Tomorrow identifies cross-sectoral policies that, collectively, will create more, better, and more inclusive jobs in the long-term.
A Cambodian jobs strategy will have to address four core trends.
* First, while the export sector has already been an important contributor of more, high-quality jobs, the sector has the potential to generate even better jobs. Cambodia's participation in global value chains generates fewer benefits to workers than the export activities of Cambodia's peers—a shortcoming that could be overcome if Cambodia diversified its exports.
* Second, domestic firms outnumber foreign-owned firms, yet remain quite small. In 2014, 1.4 million people were employed in domestic firms that each employed on average 8 people. Meanwhile, 1.2 million people were employed in foreign-owned firms that each employed on average 124 people. If household enterprises and small businesses were to become more competitive and grow, they could hire more Cambodian workers.
* Third, the export and domestic sectors of the Cambodian economy remain disconnected from each other. For example, the garments sector sourced only 25 percent of its inputs from local Cambodian firms, compared to 60 percent in the Vietnamese garments sector. Greater integration between the sectors would allow them to build off each other's jobs growth.
* Fourth, Cambodian workers are not yet ready with the skills to take advantage of the job opportunities of a modern economy. In 2016, 37.6 percent of exporters cited an inadequately educated workforce as a top business obstacle. Workers will need improved education and training opportunities to be able to contribute to and benefit from the changes in the Cambodian economy.
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While Southeast Asia becomes embattled by the Delta variant of Covid-19 this summer, Cambodia has cause to stay optimistic. Cambodia has spent more than $1 billion to combat COVID-19, and herd immunity could be achieved by October, 2021.
The tourism centers of Sihanoukville and Siem Reap are likely to evolve into booming metropolises following the outbreak. Cambodia has bright growth potential as a result of Southeast Asia's economic expansion, increased commerce with China, and a young and active population with rising educational levels. Covid-19 has reappeared in full force in Southeast Asia halfway through the year. The delta variant, a coronavirus variety designated the "fastest and fittest" by the World Health Organization (WHO), is wreaking havoc on the region. For the time being, Indonesia has become the pandemic's epicenter. For now, Cambodia seems to be doing better than its neighbors. A robust government response. According to Cambodia's Ministry of Health, more than 7.1 million Cambodians have been vaccinated (getting at least one dose of one of the Covid-19 vaccines), accounting for 71.31% of the eligible population.
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The number of Cambodians who are fully vaccinated is likewise steadily increasing. Cambodian Prime Minister Hun Sen has promised that children aged 12 to 17 would be the next to receive vaccinations from August 1. Grade 12 government exams are scheduled for December. Cambodia could achieve herd resilience — defined as 65 percent of the population over the age of 12 being fully vaccinated by October this year. The Cambodian government is also looking to acquire more vaccines so that it can administer a third "booster" dosage to those who are immunized. Cambodia is currently seeing a troubling increase, and leaders are properly asking for calm and attempting to calm weak nerves. The increased number of cases and deaths may be attributable to comorbidity (pre-existing diseases that have worsened), and the numbers may thus reduce more swiftly in Cambodia than elsewhere in the region.
However, the poor will bear the brunt of the consequences. Fortunately, the Cambodian government has demonstrated a genuine desire to assist them and has spent a significant amount, especially for a lower-income economy, to sustain an economy mostly comprised of garment and informal workers (tuk tuk drivers, eatery owners, small shops etc). According to the Asian Development Bank, Cambodia spent $1.36 billion to combat Covid-19, which equates to approximately 5.1 percent of the country's total GDP.
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The Covid-19 Cash Transfer Programme (CCTP) was funded, as were money disbursed to purchase Sinopharm, Sinovac, and AstraZeneca vaccines, as well as essential investment to modernize healthcare infrastructure such as testing facilities, wage cost sharing, tax deferment, credit availability, and more. This year, the government is likely to spend much more. While it is true that the number of Cambodians living in poverty has increased as a result of the pandemic's impact on businesses and a drop in demand for garment exports (a vital lynchpin of the Cambodian economy), it is apparent that things could have been much worse. According to the National Social Protection Council, about 2.7 million people have benefited from the CCTP, the anti-poverty project, accounting for 14 percent of the population. In contrast to other countries in the region, such as the Philippines and Indonesia, which enforced partial lockdowns to make life easier for the impoverished, the Cambodian government imposed strict lockdowns. As a result, economic activity has returned much more swiftly following an initial jolt.
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Meanwhile, the outbreak has expedited plans to diversify the economic foundations of Sihanoukville, a deep-water port, and Siem Reap, the location of the world-famous Buddhist temple complex known as Angkor Wat. According to Hello Angkor, a Cambodian knowledge portal, a number of real estate development projects are underway in Siem Reap, including the construction of a new international airport, 20 major projects as part of the Siem Reap Tourism Development Master Plan, and a slew of tourism and hospitality developments launched by private companies and backed by investors from the United States, Japan, and China. When the pandemic is over, the region intends to receive more than 7.5 million international tourists every year (Cambodia only received 6.6 million in 2019) and is making measures to do so.
Slowly, Siem Reap is also becoming a popular location for start-ups, as many want to establish themselves outside of Phnom Penh. Meanwhile, Sihanoukville is attempting to move past an earlier phase in which casino-based real estate development was prevalent. It irritated one travel agent to the point where he wrote a blistering indictment of 'overtourism.' Sihanoukville, on the other hand, is projected to evolve and become known for more than its tourism attractions. Given its position as Cambodia's only deep-water port, it aspires to become an industrial city similar to Shenzhen, complete with special economic zones and the development of export-led manufacturing activity.
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Not only will this improve the Sihanoukville airport, but the subsequent injection of finance should result in better projects. For example, Ream City, a city-within-a-city project developed on reclaimed ground near the airport, will be one of Cambodia's first significant sustainable development projects, drawing on decades of Asian development expertise, most notably the famed Suzhou Industrial Park. The project, a brainchild of Canopy Sands Development, a member of the Prince Holding Group of enterprises, is anticipated to attract $16 billion in investment and development on the first phase has already begun. The project will adhere to sustainable design principles such as environmental protection, resource recycling, environmentally friendly automobiles, and infrastructure development. As one of the more disaster prone countries, with seasonal floods and droughts, there is a clear need for sustainable development – industrial and commercial development in Sihanoukville is expected to accelerate urban migration, and young Cambodians, who account for more than two-thirds of the population, will require such sustainable property.
Meanwhile, the Sihanoukville Special Economic Zone processed $1 billion in imports and exports in the first half of the year, a roughly 50 percent increase over the same period previous year. More than just a dead cat bounce, increased commerce between China and Southeast Asia – the two witnessed a rise in merchandise trade flows despite a drop elsewhere – implies Cambodia might benefit significantly as Chinese corporations move to re-shore some of their activities in Southeast Asia.
Despite the delta wave, the signing of the Regional Comprehensive Partnership and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership might result in an increase in yearly commerce of $19 billion by 2030, according to the Brookings Institution.
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Finally, if Cambodians do not upskill themselves as they prepare for a future influenced by the industry 4.0 revolution, none of these projects will be of much service to the country. To avoid a spike in school delinquency, Cambodia will need to witness an increase in university enrollment and a rapid return to school for at least two-fifths of employees worldwide. According to the 2019-2023 Education Strategic Plan, the Ministry of Youth, Education, and Sports aims that 16 percent of all eligible students enroll and complete university by 2023, with roughly a third studying science, technology, engineering, and medicine courses. It is envisaged that in the future, Cambodia would witness an increase in the number of graduates with relevant skills who will be able to engage in a diverse economy, extending the pre-pandemic development spurt that has lifted millions out of poverty. Cambodia's future is still bright following the pandemic. Of course, obstacles remain, and a bright future for Cambodia cannot obscure the truth that reconstructing Cambodia will be a challenging task. No country should be subjected to the epidemic for any longer than necessary, and every life lost as a result of Covid-19 is a tragedy. The pandemic reminds us that no one is secure until everyone is safe – a statement echoed frequently by WHO, UNICEF, the UN Secretary General, and countless other persons and organizations – and thus the focus must stay firmly on efficiently limiting and combating the coronavirus. Provided individuals in Cambodia are looking for reasons to be optimistic in the midst of a dark moment, there are solid reasons to do so if they take a long-term view. All of these predictions will become clearer next year, when Cambodia assumes the post of Asean chair for the third time in its brief history as an independent nation.
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9- Conclusion
Cambodia's economic growth over the last decade has been driven by tourism, manufacturing (primarily garments for export), and more recently commercial and residential construction. These three industries account for 70% of Cambodia's economic growth and nearly 40% of the labor market. Cambodia's youth is particularly exposed to vulnerabilities, primarily in the context of poverty, physical and mental weaknesses, violence and abuse, and migration. In terms of poverty and social exclusion, 36 percent of young Cambodians live below the poverty line. Challenges to Cambodia's Growth : So how can we ensure stronger medium-term growth? There are several challenges. First, is infrastructure. Despite increasing public investment, Cambodia still faces high energy costs, insufficient supply of electricity, and shortcomings in its transportation network. Second, Cambodia ranks low among the Southeast Asian countries in terms of ease of doing business and in competitiveness. The cost of doing business also is high because of sometimes burdensome government procedures. Good governance is essential if Cambodia is to compete against other countries that also aspire to move up the ladder of development. In this context, I am happy to hear that the government has launched an Industrial Development Policy to tackle many of these issues. The policy aims to upgrade Cambodia's industrial structure from labor intensive production to one driven by skills by 2025. If implemented in timely and effective fashion, this policy could promote diversification and sustained growth. There is one other area that needs to be addressed. Despite great progress over the past several years, Cambodia's financial system remains underdeveloped. Vulnerabilities in the banking industry have emerged at a time of rapid credit growth. This comes from large exposure to the real estate sector, over-reliance on foreign borrowing, and the rapid expansion of microfinance institutions. Dollarization of the economy limits the policy options to respond to the situation. These issues may appear to pose less risk at this moment of strong growth, but they can become more critical if circumstances change—here in Cambodia or in the outside world. So, that is one set of challenges. Some of them may appear a bit distant from the everyday concerns of the average Cambodian who is earning a decent living. (Or even students trying to juggle reading assignments and exams.)
Related concepts
"Netball in Cambodia " point of view
Cambodia is like a flower waiting to blossom when the structure is enhanced by the writing of a group of young people working together to build a nation. Opportunity is a competitive concept on the part of the people of all countries who spin the ball, which is an economic indicator to seize the opportunity to use the available resources to develop the country. In particular, it is similar to the game of Youth Team Netball. Netball is an exciting, fast paced and skillful game of fair competition. It is a game in which two teams of seven players each attempt to keep or retrieve the ball. As we can compare votes to ideas, to temperaments in the larger system of international and domestic economic processes, we must examine the principles of localization in order to abandon investment study projects in countries that offer so much opportunities than Cambodia. And while playing netball, the team with the passing, running, jumping, throwing and catching ball tries to move the ball into their target circle from where the goal is scored, while the opposition uses movement and tactics. defensive to defend that and get Possessed. The team with the most goals is the winner. As we learn to seize the opportunities that we can seize to develop the country by looking at the country, believing quickly and taking the original stand of the ideas that are good for the country by seizing the large number of opportunities in the form of reform reform. Develop tracks to progress like goals scored in a match. Players have specific areas where they can move. Restart after each ball has a team with the right to substitute. The rules are based on the fundamental values of equal opportunity, fair play and respect for the skills and safety of opponents. The competitiveness factor is to be flexible and fair so that the development plan is trustworthy of the populations and sustainable by constantly innovating and integrating the old heritage. And it is the players' responsibility to ensure that they are physically and technically organized in such a way as to enable them to play the game according to the rules and to participate safely in a sporting and fair manner. It is your responsibility to coach or teach the game to ensure that players are organized in a way that ensures adherence to the rules of the game as well as an understanding of sporting behavior and safe practice. It is the referee's responsibility to apply the rules of the game with impartiality, fairness and consistency. It is the responsibility of the governing body at all levels to ensure that the game takes place and develops in accordance with the rules and regulations of the sport. While Netball was originally developed as a game primarily played by women and girls, it is now played by boys and girls, women and men. Therefore, the development of ideas and actions is equal for all people with dreams and opportunities that each of them can optimistically seize.