Some of the reasons that make Cambodia one of the best investment opportunities include stable economy, abundance of young educated workforce, growing domestic market and over 4 million visitors per year.
Cambodia is an emerging power in the Association of Southeast Asian Nations (ASEAN) and is ranked as one of the top twenty highest GDP growth economies in the world (7% growth in 2016) by International Monetary Fund (IMF). Cambodia offers an exciting and outstanding investment environment and SOHO Diversified Group is proud to work with its international partners to provide the best opportunities possible.
Investing In Cambodia
Cambodia is central to southeast asia, making it easy for travel and transportation logistics throughout the region. The country promotes foreign invesment and allows for 100% foreign ownership of companies. Cambodia is a member country of the association of southeast asian nations (ASEAN) and a participant in the asean free trade agreement. Cambodia is also a member of the world trade organization (WTO) and the world intellectual property organization (WIPO).
REASONS WHY CAMBODIA IS A GREAT PLACE TO EXPAND YOUR BRAND
INFRASTRUCTURE - Cambodia has multiple deep water and dry ports throughout the country that make maritime trade convenient. Most key roads to neighboring countries have been upgraded for convenient trucking transportation. The telecommunication systems in Cambodia are very accessible and affordable for business customers needing telephone, internet and wireless services. Numerous hotel and office building developments have helped keep overhead costs down for businesses.
WORKFORCE - Cambodia has a very young and educated workforce with 70% of the country's population in their 20's and 30's. A high number of the new generation of young workers have completed or are pursuing undergraduate and graduate degrees in Accounting, Finance, Law, Economics and other business subjects. Wages in Cambodia are still relatively low compared to neighboring Asian countries. The cost of lower wages combined with an abundance of highly motivated and dedicated workers in Cambodia make it economically feasible for businesses to grow.
TOURISM - Cambodia's tourism has been increasing by double-digit figures since 2010 with over 4 million visitors per year. It is internationally known as the Kingdom of Wonder and has some of world's most famous cultural attractions spanning over 1,000 years in history. Angkor Wat is highly regarded as one of the unofficial Wonders of World, being the largest religious complex in the world with original construction dating back to 8th Century A.D. There are numerous natural attractions in Cambodia including beaches, islands, mountains and many eco-resorts which travelers can explore and enjoy. The Cambodian people are generally very welcoming of tourists and many businesses cater to the tourism industry.
DOMESTIC MARKET - Cambodia has a fast-growing domestic market that has shown consistent growth over the last decade. Per Capita Gross Domestic Product (GDP) has more than doubled over the last decade and will continue to rise. There is a lack of supply of branded and international standard class goods and services in the country relative to growing demand. This coupled with increasing purchasing power make Cambodia an attractive market to launch your brand product or service.
GOVERNMENT - Cambodia is a member country of the Association of Southeast Asian Nations (ASEAN) with preferential tariffs on traded goods within the Southeast Asian regions to fully take effect in 2015. Cambodia is a World Trade Organization (WTO) developing country giving it preferential access to markets in Europe and North America. Cambodia is also a member of the World Intellectual Property Organization (WIPO). The government allows for 100% foreign ownership of companies. In addition, Cambodia is pro-investment and has one of the most open economies with numerous benefits and incentives for investors.
TAXATION - Cambodia has a very low taxation rate on corporate income (capped at 20% on profits) and allows for tax holidays or special depreciation allowance of Qualified Investment Projects (QIP). In addition, Cambodia offers 100% import duty exemption for production equipment, construction materials and production input to be used in the production of export goods and 100% export tax exemption.
For additional questions regarding doing business in Cambodia, you can download a report by KPMG on Investing in Cambodia or contact us at info@soho.com.kh.