Macroeconomic Forecast Cambodia

January 2006 | Macroeconomic Forecasts

We currently forecast growth at 6.1% in 2006, which is down on our 2005 estimate. The slight slowdown can be attributed largely to rising supply costs amid high oil prices, however, falling FDI flows are also a factor. FDI flows fell from US$251mn in 2003 to US$230mn in 2004. This is a continuing downward trend from the late 1990s when FDI flows were nearly US$800mn. Corruption has been blamed for this fall, and the government’s persistent legal action against its critics is likely to exacerbate this trend in

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