Cambodia is a very poor country and they have very few resources to help save and invest for the future economy. Most of the government’s finances have been allocated towards helping forming a stable governmental system, which has been successful. They have a wise group of financial advisors that are active in creating ways to help themselves create a better well-being.
However many other countries have come to the aid of Cambodia. They have a huge amount of international support; the United Nations Transitional Authority Committee has pledged $1.72 billion in funds to help stabilize the economy in turbulent times. The committees of rehabilitation and reconstruction met in Paris and Tokyo and collectively totaled an impressive $3.3 Billion towards Cambodia. This money has gone towards a better schooling system to help boost human capital and they have also invested heavily in the industries that export in huge quantity like clothing and rice ("Cambodia Economy”). Another way Cambodia has increased economic growth is through foreign investment, nearly 7% of their GDP is from foreign investment and it has helped to aid industries by making them more productive.
In the past two years there has been a 72% increase in the number of businesses started in the country ("Cambodia Economy”). This allows me to conclude that foreign investment and the different stability packages Cambodia received have really had an effect on the economy and people are generally feeling more confident in their nations economy. The country’s savings are very low, yet the investment and growth is at an all time high due to foreign aid ("The Cambodian Economy: Ready For Take-Off").
Works Cited
"Cambodia Economy." Expedited Visas, Visa Applications, Rush Passport, Passports, Travel. Web. 30 Nov. 2009.
"Cambodian Economy." AsianInfo.org. Web. 30 Nov. 2009.
"The Cambodian Economy: Ready For Take-Off?" IDEAS: Economics and Finance Research. Web. 30 Nov. 2009.
"Economy - Cambodia." Encyclopedia of the Nations - Information about countries of the world, United Nations, and World Leaders. Web. 30 Nov. 2009.
Infoplease: Encyclopedia, Almanac, Atlas, Biographies, Dictionary, Thesaurus. Free online reference, research & homework help. Infoplease.com. Web. 30 Nov. 2009.
(Cambodian Information Center (CIC) Homepage. Web. 10 Dec. 2009.
This is a very interesting post about the Savings and Investment aspect of Cambodia's economy. What are the main companies that have aided in Cambodia's investing. Are there any policies that have ensured that this funding is going directly to education, and if so what are the impacts that are being made? I'm interested to read more about Cambodia and to see its development through out my lifetime.
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