Tuesday, 15 January 2013

Cambodian economy expected to grow 7 pct in 2013: official

Xinhua | 2013-1-14 13:02:20
By Agencies

Cambodia's GDP is projected to grow by 7 percent this year even though the global economy remains fragile and high risk due to persisting sovereign debt crisis in Europe and sluggish economic recovery in the United States, a commerce official said Monday.

"Through Cambodian government's deep reforms, Cambodia's economic growth has rapidly recovered from the global economic crisis and it has maintained annual growth of 7 percent last year and the same rate is expected this year," Ou Proum Virak, deputy director of the Commerce Ministry's Trade Promotion Department, said in a trade seminar.

He said the growth would come mainly from garment exports, tourism, agriculture and construction.

Meanwhile, he said global economy at the end of 2012 and in 2013 still faces high risks amid lingering sovereign debt issue in Europe and slow recovery of the US economy.

"These could be challenges for Cambodia either to increase external businesses or to attract foreign investment," he said.

Last Tuesday, the International Monetary Fund (IMF) predicted that Cambodia is expected to register an economic growth rate of 6. 7 percent this year.

"A fragile global economic outlook, rapid credit growth, and potentially extreme weather conditions continue to pose significant risks," the IMF cautioned in the annual review of Cambodia's economic and financial conditions.

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