World Bank says Cambodia's growth slows down due to softening property sector, border dispute, U.S. tariff hike
Summary
Cambodia's economic growth is projected to slow to 4.8% in 2025 due to a softening property sector, border tensions with Thailand, and increased U.S. tariffs, according to the World Bank.
Key Points
- Cambodia's economy is expected to grow by 4.8% in 2025, down from 6% in 2024.
- A softening property sector, border disputes with Thailand, and a 19% U.S. tariff on imports have negatively impacted growth.
- Cambodia's international reserves cover approximately 7.5 months of imports, and public debt is low at around 26% of GDP.
- Foreign direct investment increased by 28.4% in the first half of 2025, helping to offset external imbalances.