'Too much money’ replaces too little as key risk for local banks.
ASHORTAGE of “attractive” lending opportunities is posing profitability risks for the Kingdom’s banks given a growing deposit base and high interest rates, the International Monetary Fund said last week.
The international financial organisation made the warning Wednesday as it presented its findings from two weeks of discussions with government ministers and senior officials on economic and financial developments in Cambodia.
David Cowen, the deputy division chief in the IMF’s Asia and Pacific Department, told reporters that “healthy deposit growth” meant there was “ample liquidity” in the banking system, but that high rates on deposits could dent profitability given a slowdown in new lending. Click to read more...
Wednesday, September 30, 2009
Siem Reap Airlines set to resume on all routes
Govt says the troubled line will resume its international flights and Phnom Penh-Siem Reap route – most likely in October.
SIEM Reap Airways will resume international flights – as well as the domestic Phnom Penh-Siem Reap route – when it relaunches, most likely next month, a government aviation official said Sunday.
Sinn Chansereyvutha, director of the department of policy planning at the State Secretariat of Civil Aviation (SSCA), said that the airline would again fly to Thailand, Vietnam and Hong Kong. Click to read more...
Investment worth $84m approved in August
THE Cambodian government approved US$84 million in investment applications in August, taking the total value of approvals for the year to date to $1.564 billion, official figures released Friday show.
The new approvals included three agriculture and three industrial projects, said the Council for the Development of Cambodia (CDC), the government’s chief investment body.The names of the companies behind the proposed investments were not disclosed.
In August last year, the government approved $652 million worth of investments, and the first eight months of 2008 saw the approval of $8.992 billion worth of investment projects.
Youn Heng, deputy director of the Evaluation and Incentive Department at the Cambodian Investment Board (CIB), a body of the CDC, said he was too busy to comment Friday. Click to read more...
The new approvals included three agriculture and three industrial projects, said the Council for the Development of Cambodia (CDC), the government’s chief investment body.The names of the companies behind the proposed investments were not disclosed.
In August last year, the government approved $652 million worth of investments, and the first eight months of 2008 saw the approval of $8.992 billion worth of investment projects.
Youn Heng, deputy director of the Evaluation and Incentive Department at the Cambodian Investment Board (CIB), a body of the CDC, said he was too busy to comment Friday. Click to read more...
Digi set to launch phone services
Broadband service provider also plans to offer cable television in a bid to crack open the ultra competitive internet market in Phnom Penh through a ‘triple play’ bundled offering.
BROADBAND service provider DTV Star is set to bring the second component of its “triple play” communications offering to the Phnom Penh market at the start of next month with the launch of internet protocol (IP) telephone services.
Digi will bundle the telephone services with its broadband internet offerings from October 1 and add cable television services later this year or early next when testing and negotiations with content providers are completed, Chief Marketing Officer Maria Teplukhina said.
The company has been offering broadband internet services under its Digi brand since December last year but had not yet tried to crack the residential market. Click to read more...
BROADBAND service provider DTV Star is set to bring the second component of its “triple play” communications offering to the Phnom Penh market at the start of next month with the launch of internet protocol (IP) telephone services.
Digi will bundle the telephone services with its broadband internet offerings from October 1 and add cable television services later this year or early next when testing and negotiations with content providers are completed, Chief Marketing Officer Maria Teplukhina said.
The company has been offering broadband internet services under its Digi brand since December last year but had not yet tried to crack the residential market. Click to read more...
PM again dismisses 2009 GDP forecasts
PRIME Minister Hun Sen on Monday dismissed recent GDP growth forecasts by international organisations, urging the population to concentrate on work rather than predictions on the Kingdom’s economic output for 2009.
Speaking Monday at an inauguration ceremony for a new Ministry of Tourism building in Phnom Penh, Hun Sen again predicted that the agricultural sector would flourish this year.
“Whatever the forecast is – positive or negative – it is not important because it is just a figure,” he said.
The Asian Development Bank (ADB) last week projected that the agricultural sector would be one of the few bright spots for the Kingdom’s economy, forecasting 5 percent year-on-year growth for 2009.
But ADB and the International Monetary Fund both lowered their predictions last week for Cambodian growth in 2009, to 1.5 percent and 2.75 percent contractions respectively. Click to read more...
Speaking Monday at an inauguration ceremony for a new Ministry of Tourism building in Phnom Penh, Hun Sen again predicted that the agricultural sector would flourish this year.
“Whatever the forecast is – positive or negative – it is not important because it is just a figure,” he said.
The Asian Development Bank (ADB) last week projected that the agricultural sector would be one of the few bright spots for the Kingdom’s economy, forecasting 5 percent year-on-year growth for 2009.
But ADB and the International Monetary Fund both lowered their predictions last week for Cambodian growth in 2009, to 1.5 percent and 2.75 percent contractions respectively. Click to read more...
US embassy to host Mekong subregion energy conference
THE US embassy in Phnom Penh will host a Greater Mekong Subregion (GMS) energy conference starting today in the capital, with delegates set to discuss energy needs in the region which encompasses Cambodia, Laos, Vietnam, Thailand and southern China.
The event will include the participation of a number of energy companies – including Chevron, General Electric and ConocoPhillips – that will present energy implementation plans for the GMS region, according to a press statement released on Friday by the US Embassy.“Steady supplies of energy will be a critical element of future GMS trade and growth,” it said.
Among the presentations likely to be relevant to Cambodia’s energy situation are those by Bill Lafferrandre, vice president of ConocoPhillips, who will deliver a talk on the joint development of overlapping claims, and a presentation on best practices in the sector by Gerry M Flaherty, Chevron’s general manager of exploration and new ventures.
Cambodia in 2001 agreed a joint-development agreement with Bangkok over a disputed area in the Gulf of Thailand, but discussions over the exact breakdown of revenues that would come from such an arrangement have never been concluded, a result that has stalled development of the area. Click to read more...
The event will include the participation of a number of energy companies – including Chevron, General Electric and ConocoPhillips – that will present energy implementation plans for the GMS region, according to a press statement released on Friday by the US Embassy.“Steady supplies of energy will be a critical element of future GMS trade and growth,” it said.
Among the presentations likely to be relevant to Cambodia’s energy situation are those by Bill Lafferrandre, vice president of ConocoPhillips, who will deliver a talk on the joint development of overlapping claims, and a presentation on best practices in the sector by Gerry M Flaherty, Chevron’s general manager of exploration and new ventures.
Cambodia in 2001 agreed a joint-development agreement with Bangkok over a disputed area in the Gulf of Thailand, but discussions over the exact breakdown of revenues that would come from such an arrangement have never been concluded, a result that has stalled development of the area. Click to read more...
Top trade official urges WTO to ease membership rules
Commerce Minister Cham Prasidh warns meeting of trade representatives from least-developed nations of ‘systemic’ barriers to admission to trade body.
Commerce Minister Cham Prasidh called on the World Trade Organisation (WTO) Monday to address “systematic” obstacles to the admission of least-developed countries (LDCs) into the trade body.
Only three countries categorised as least-developed had been admitted to the global organisation since it was launched in 1995, he told officials from the WTO, World Bank, the European Commission and United Nations as they met in Phnom Penh with trade representatives from 12 LDCs to discuss ways of speeding the entry process.
“We think that it is time we faced the problem, and it is also time we re-examined the systematic problem more thoroughly because these [admission] problems can cause negative effects for the development of the future members of the organisation and can also be an obstacle for balance in the organisation,” Cham Prasidh said. Click to read more...
Commerce Minister Cham Prasidh called on the World Trade Organisation (WTO) Monday to address “systematic” obstacles to the admission of least-developed countries (LDCs) into the trade body.
Only three countries categorised as least-developed had been admitted to the global organisation since it was launched in 1995, he told officials from the WTO, World Bank, the European Commission and United Nations as they met in Phnom Penh with trade representatives from 12 LDCs to discuss ways of speeding the entry process.
“We think that it is time we faced the problem, and it is also time we re-examined the systematic problem more thoroughly because these [admission] problems can cause negative effects for the development of the future members of the organisation and can also be an obstacle for balance in the organisation,” Cham Prasidh said. Click to read more...
Monday, September 28, 2009
US offers $7.79m in aid for rural businesses
THE government signed an amendment to an existing bilateral agreement with the United States on Wednesday that will provide US$7.79 million in funds for a programme aimed at boosting productivity in rural businesses.
Deputy Prime Minister Sok An said the money, which will be provided through the US Agency for International Development (USAID), would provide a welcome boost to the economy given the impact of the global economic downturn on Cambodia.
The original bilateral agreement, signed last November, called for $6 million in funding. Sok An said the increase reflected “improved cooperation between Cambodia and the United States of America” and would "help strengthen the relationship between the two governments, particularly in the field of economic cooperation”.
Under the amendment, inked on behalf of the US government by USAID Mission Director Flynn Fuller, the government is expected to provide $425,000 of in-kind support.
The money will be used to expand USAID’s Strengthening Micro, Small and Medium Enterprises in Cambodia project, which aims to alleviate poverty in rural areas. Click to read more...
Deputy Prime Minister Sok An said the money, which will be provided through the US Agency for International Development (USAID), would provide a welcome boost to the economy given the impact of the global economic downturn on Cambodia.
The original bilateral agreement, signed last November, called for $6 million in funding. Sok An said the increase reflected “improved cooperation between Cambodia and the United States of America” and would "help strengthen the relationship between the two governments, particularly in the field of economic cooperation”.
Under the amendment, inked on behalf of the US government by USAID Mission Director Flynn Fuller, the government is expected to provide $425,000 of in-kind support.
The money will be used to expand USAID’s Strengthening Micro, Small and Medium Enterprises in Cambodia project, which aims to alleviate poverty in rural areas. Click to read more...
Govt to stop Bangkok Air's domestic flights
Civil aviation body says that Thai airline will not have its agreement extended for Phnom Penh-Siem Reap route
THE government will not renew its agreement with Bangkok Airways, under which the Thai-owned airline flies domestic routes, when it expires on October 25, a senior aviation official told the Post late Wednesday.
State Secretariat of Civil Aviation (SSCA) Secretary of State Mao Havannal said the decision was made to give a boost to the new national carrier Cambodia Angkor Air (CAA), which made its maiden flight on July 28.
“Now that we have our own domestic airline, Bangkok Airways will not be allowed to continue their flights when the agreement finishes on October 25,” he said.
Bangkok Airways has been flying four flights daily between Phnom Penh and Siem Reap since taking over the route last November when its subsidiary, Siem Reap Airways, was grounded by the SSCA. Click to read more...
Friday, September 25, 2009
Cambodia’s Economy Will Contract 2.75% in 2009, IMF Forecasts
Sept. 25 (Bloomberg) -- Cambodia’s economy will contract 2.75 percent this year amid a slump in garment exports, tourist spending and construction, the International Monetary Fund said in its annual assessment.
“The global economic crisis is giving a larger impact on Cambodia’s economy than previously anticipated,” the IMF said in the Article IV report published in Washington.
Garment export volumes may slump 15 percent this year, it said.In Cambodia, the proportion of garment shipments to total exports is higher than any country except Bangladesh and Haiti, according to World Trade Organization data.
The U.S. purchases about 70 percent of production from the nation’s apparel plants. Garment exports are falling because of lower U.S. consumption and increased competition from manufacturers in other Asian nations, the IMF said. Click to read more...
“The global economic crisis is giving a larger impact on Cambodia’s economy than previously anticipated,” the IMF said in the Article IV report published in Washington.
Garment export volumes may slump 15 percent this year, it said.In Cambodia, the proportion of garment shipments to total exports is higher than any country except Bangladesh and Haiti, according to World Trade Organization data.
The U.S. purchases about 70 percent of production from the nation’s apparel plants. Garment exports are falling because of lower U.S. consumption and increased competition from manufacturers in other Asian nations, the IMF said. Click to read more...
Asean states eye rice cartel
25-09-2009
The Nation (Thailand)
Major Asean rice-producers Thailand, Viet Nam, Laos, Cambodia and Myanmar plan to form an association to create a sustainable system for trading and production.
The plan was unveiled in August following Cambodian leader Hun Sen’s initiative at the Asean Summit in Cha-am in late February. It focuses on price stabilisation, food security in the region and rice development.
It aims for price stability next year.It comprises the five countries of the Ayeyawady-Chao Praya-Mekong Economic Cooperation Strategy (Acmecs) and will set up an Acmecs Rice Traders Association.
Thailand, Laos and Cambodia have agreed in principle and planned talks with Cambodia and Burma in last month's Asean Economic Ministers Meeting.For some years Thailand and Viet Nam have cooperated to curb price-cutting in the export market through data exchange. Click to read more...
The Nation (Thailand)
Major Asean rice-producers Thailand, Viet Nam, Laos, Cambodia and Myanmar plan to form an association to create a sustainable system for trading and production.
The plan was unveiled in August following Cambodian leader Hun Sen’s initiative at the Asean Summit in Cha-am in late February. It focuses on price stabilisation, food security in the region and rice development.
It aims for price stability next year.It comprises the five countries of the Ayeyawady-Chao Praya-Mekong Economic Cooperation Strategy (Acmecs) and will set up an Acmecs Rice Traders Association.
Thailand, Laos and Cambodia have agreed in principle and planned talks with Cambodia and Burma in last month's Asean Economic Ministers Meeting.For some years Thailand and Viet Nam have cooperated to curb price-cutting in the export market through data exchange. Click to read more...
Growth forecast slashed by ADB
CAMBODIA’S reliance on exports, tourism and foreign direct investment has led the Asian Development Bank to slash its 2009 growth projection for the country, even as it says developing Asia as a whole will lead the world’s emergence from its deepest recession since the 1930s.
The country’s economy will contract 1.5 percent this year, compared with a March estimate of 2.5 percent growth, the Manila-based institution said in a report Tuesday.
Asia, excluding Japan, will expand 3.9 percent, up from an earlier estimate of 3.4 percent, it said.
“A sharper-than-expected downturn in clothing exports, construction activity and tourism arrivals has prompted a downward revision in the GDP forecast [for Cambodia],” the ADB said in its Asian Development Outlook 2009 Update. Click to read more...
The country’s economy will contract 1.5 percent this year, compared with a March estimate of 2.5 percent growth, the Manila-based institution said in a report Tuesday.
Asia, excluding Japan, will expand 3.9 percent, up from an earlier estimate of 3.4 percent, it said.
“A sharper-than-expected downturn in clothing exports, construction activity and tourism arrivals has prompted a downward revision in the GDP forecast [for Cambodia],” the ADB said in its Asian Development Outlook 2009 Update. Click to read more...
Cambodia, Vietnam ink deal on rubber
CAMBODIA and Vietnam have jointly agreed to build a rubber processing plant in a Memorandum of Understanding (MoU) signed Tuesday, a government official said, adding that the initiative would help boost the Kingdom's exports.
“This MoU will ... help increase productivity of Cambodia’s rubber plantations, creating more jobs and higher profits to help alleviate rural poverty,” said Agriculture, Forestry and Fisheries Minister Chan Sarun.
A location for the plant had not yet been decided, he said, but it would be developed alongside a rubber plantation by the Vietnam Rubber Group, a consortium.
In the MoU, Cambodia offered Vietnam a 100,000-hectare rubber concession likely to be distributed over sites in Mondulkiri, Rattanakkiri, Kampong Thom, Kratie and Preah Vihear provinces. Click to read more...
“This MoU will ... help increase productivity of Cambodia’s rubber plantations, creating more jobs and higher profits to help alleviate rural poverty,” said Agriculture, Forestry and Fisheries Minister Chan Sarun.
A location for the plant had not yet been decided, he said, but it would be developed alongside a rubber plantation by the Vietnam Rubber Group, a consortium.
In the MoU, Cambodia offered Vietnam a 100,000-hectare rubber concession likely to be distributed over sites in Mondulkiri, Rattanakkiri, Kampong Thom, Kratie and Preah Vihear provinces. Click to read more...
In Brief: Bank of China interested
THE Bank of China is exploring the possibility of setting up a subsidiary in Cambodia, National Bank of Cambodia Director General Tal Nay Im said Wednesday after meeting with a delegation from the Chinese bank.
“We have met with them, they are interested in investing in Cambodia, but they want to study the banking market in Cambodia first,” she said.
The delegation, which was led by Wang Lijun, the president of its overseas operations administration, did not set a timetable for entry, she added.
The delegation also met with Finance Minister Keat Chhon. The bank had 10,789 domestic and overseas branches, subsidiaries and outlets as of the start of 2009. Original source from Phnom Penh Post...
“We have met with them, they are interested in investing in Cambodia, but they want to study the banking market in Cambodia first,” she said.
The delegation, which was led by Wang Lijun, the president of its overseas operations administration, did not set a timetable for entry, she added.
The delegation also met with Finance Minister Keat Chhon. The bank had 10,789 domestic and overseas branches, subsidiaries and outlets as of the start of 2009. Original source from Phnom Penh Post...
Artisans to show wares in Lyon
THE Artisans Association of Cambodia (AAC) is hoping to boost exports of Cambodian handicrafts when it attends a fair trade exhibition in Lyon, France early next month, a member said Wednesday.
AAC Executive Director Men Sinoeun said a four-person delegation would attend the second European Fair Trade Fair, which will run for three days in France from October 2.
“We hope that our participation at the trade exhibition will help Cambodian handicrafts gain in popularity in international markets,” he said.
The delegation, which is due to leave Cambodia on Tuesday, will show a range of handmade products, including bags, scarves and silver jewellery.
Cambodian handicrafts are currently sold in around 10 countries worldwide, including the United States, Japan and countries in Europe, but Men Sinoeun said orders tended to be small. The delegation was looking for wholesale buyers, he said. Click to read more...
AAC Executive Director Men Sinoeun said a four-person delegation would attend the second European Fair Trade Fair, which will run for three days in France from October 2.
“We hope that our participation at the trade exhibition will help Cambodian handicrafts gain in popularity in international markets,” he said.
The delegation, which is due to leave Cambodia on Tuesday, will show a range of handmade products, including bags, scarves and silver jewellery.
Cambodian handicrafts are currently sold in around 10 countries worldwide, including the United States, Japan and countries in Europe, but Men Sinoeun said orders tended to be small. The delegation was looking for wholesale buyers, he said. Click to read more...
Mobitel files lawsuit in row with Beeline
MOBITEL has filed a lawsuit against Beeline for alleged “dishonest competition” and for using the market leader’s prefixes without permission, a deputy prosecutor confirmed Wednesday.
Sok Roeun told the Post that the case was filed with the Phnom Penh Municipal Court in “early August” before the 14th of that month, the last time both companies are known to have met with officials from the Ministry of Posts and Telecommunications and representatives from the rest of the sector in a bid to resolve the dispute.
Sok Roeun said Mobitel has already selected a lawyer and submitted its evidence to the court, but that he had not heard from Beeline. He said the Moscow-based operator would be expected to submit a defence before either case is examined with the help of specialists.
Mobitel’s accusations relate to what it has termed unfair competition from Beeline’s controversial “Boom” tariff that offers users cross-network calls at US$0.05 per minute. Click to read more...
Sok Roeun told the Post that the case was filed with the Phnom Penh Municipal Court in “early August” before the 14th of that month, the last time both companies are known to have met with officials from the Ministry of Posts and Telecommunications and representatives from the rest of the sector in a bid to resolve the dispute.
Sok Roeun said Mobitel has already selected a lawyer and submitted its evidence to the court, but that he had not heard from Beeline. He said the Moscow-based operator would be expected to submit a defence before either case is examined with the help of specialists.
Mobitel’s accusations relate to what it has termed unfair competition from Beeline’s controversial “Boom” tariff that offers users cross-network calls at US$0.05 per minute. Click to read more...
IMF lowers GDP forecast to 2.75pc contraction for 2009
The fund cites continued downturn in key garment sector and big drop in foreign direct investment for revision, despite expected agricultural growth
THE International Monetary Fund (IMF) has downgraded its forecast for economic growth this year and warned the Cambodian government that it needs to steer spending from civil service wage growth towards social and infrastructure spending.
The fund said it now expected the Cambodian economy to contract 2.75 percent this year, a much more pessimistic forecast than it made in March when it said the economy would contract just 0.5 percent.
In December last year, the body predicted a 4.75 percent expansion in the economy for 2009. “Several areas of the economy are not performing as well as we expected in March,” said David Cowen, the deputy division chief in the IMF’s Asia and Pacific Department. Click to read more...
Wednesday, September 23, 2009
Silk imports set to slide as sector suffers from crisis
But weavers say Cambodia needs to boost local production of raw silk to reduce reliance on thread from Vietnam and China.
IMPORTS of silk thread into Cambodia are expected to drop 25 percent this year on lower demand for silk products in the wake of the global economic crisis, the Khmer Silk Village Association said Monday.
Association Deputy Secretary Ke Muny said he anticipated that just 300 tonnes of the raw material would be brought into the country this year, down from 400 tonnes in 2008. “We believe that this year’s importation of silk thread will decrease at least 100 tonnes compared to last year because many entrepreneurs have been reducing their productivity because of the ... global economic crisis,” Ke Muny said.
Almost all the silk thread used in Cambodia to produce scarves, sampots (traditional costumes) and purses for local and international markets is imported, with around 90 percent of imports coming from Vietnam and the remainder from China. Click to read more...
IMPORTS of silk thread into Cambodia are expected to drop 25 percent this year on lower demand for silk products in the wake of the global economic crisis, the Khmer Silk Village Association said Monday.
Association Deputy Secretary Ke Muny said he anticipated that just 300 tonnes of the raw material would be brought into the country this year, down from 400 tonnes in 2008. “We believe that this year’s importation of silk thread will decrease at least 100 tonnes compared to last year because many entrepreneurs have been reducing their productivity because of the ... global economic crisis,” Ke Muny said.
Almost all the silk thread used in Cambodia to produce scarves, sampots (traditional costumes) and purses for local and international markets is imported, with around 90 percent of imports coming from Vietnam and the remainder from China. Click to read more...
In Brief: Red corn demand high
A LOCAL agricultural firm owned by the head of the Cambodian Rice Millers Association (CRMA) said Monday that it had exported more than 13,000 tonnes of dried red corn to Vietnam since early August.
CRMA President Phou Puy said Vietnamese buyers could not get enough of the crop, which is a popular animal feed.
The company has sourced the red variety of corn from Pailin, Battambang and Banteay Meanchey provinces in western Cambodia, he said. It paid farmers about US$0.12 per kilogram and sold dry corn for $183.52 per tonne, or around $0.18 per kilogram. Click to original source...
CRMA President Phou Puy said Vietnamese buyers could not get enough of the crop, which is a popular animal feed.
The company has sourced the red variety of corn from Pailin, Battambang and Banteay Meanchey provinces in western Cambodia, he said. It paid farmers about US$0.12 per kilogram and sold dry corn for $183.52 per tonne, or around $0.18 per kilogram. Click to original source...
Fibre-optic link to open by 2010
CAMBODIA’S connection to a high-bandwidth fibre-optic cable linking Southeast Asia to the United States is expected to go live before the end of this year, an engineer with the Cambodian member of the consortium building the network said last week.
The engineer, who asked not to be named, said Telcotech was aiming to “synchronise its launch” with the switching on of the US$550 million, 20,000-kilometre-long Asia-America Gateway (AAG) network, predicting a lag time of less than a month for testing and integration.
Mohamad Izani Karim, a spokesman for Telekom Malaysia, one of 17 members of the consortium building the network, said by email that the AAG was due to be launched in the final quarter of this year. Click to read more...
The engineer, who asked not to be named, said Telcotech was aiming to “synchronise its launch” with the switching on of the US$550 million, 20,000-kilometre-long Asia-America Gateway (AAG) network, predicting a lag time of less than a month for testing and integration.
Mohamad Izani Karim, a spokesman for Telekom Malaysia, one of 17 members of the consortium building the network, said by email that the AAG was due to be launched in the final quarter of this year. Click to read more...
Building of Yamaha factory put back again
THE construction of a Yamaha assembly plant in Cambodia will be further delayed, at least until early next year, the minority shareholder in the joint venture said Monday.
Assembly of motorcycles from premanufactured parts was originally slated to begin in October this year with the aim of producing about 30,000 motorcycles in the first year at a site in the Phnom Penh Special Economic Zone (PPSEZ).Construction was halted in March.
In June, Kong Nuon, the joint venture’s chairman, said building would start by year’s end, but he told the Post Monday that it was unlikely there would be any activity this year.“We may begin the construction sometimes early next year because in December this year we will fly to Japan to discuss the commencement of construction with our shareholders,” he said.
“We still hope that we will be able to assemble Yamaha motorcycles in Cambodia by the end of next year because it will take only six to nine months to build the assembly factory.” Click to read more...
Assembly of motorcycles from premanufactured parts was originally slated to begin in October this year with the aim of producing about 30,000 motorcycles in the first year at a site in the Phnom Penh Special Economic Zone (PPSEZ).Construction was halted in March.
In June, Kong Nuon, the joint venture’s chairman, said building would start by year’s end, but he told the Post Monday that it was unlikely there would be any activity this year.“We may begin the construction sometimes early next year because in December this year we will fly to Japan to discuss the commencement of construction with our shareholders,” he said.
“We still hope that we will be able to assemble Yamaha motorcycles in Cambodia by the end of next year because it will take only six to nine months to build the assembly factory.” Click to read more...
Sunday, September 20, 2009
Fuel prices unchanged in Vietnam despite global fall
Vietnam's Finance Ministry on Friday asked traders to keep retail fuel prices on hold despite drops in the global markets in order to contribute to its price stabilization fund.
The fund will be used to offset losses incurred when world prices go up, the ministry said. It asked traders to contribute VND100 for every liter of diesel sold and VND200 for every liter of kerosene sold from Saturday onwards.
The ministry also said that the recent decline in global oil prices was very slight.
Oil product prices fell by 1.3-5.1 percent from August 30 to September 17, according to the ministry.
On Friday, US crude for October delivery fell 43 cents to settle at US$72.04 a barrel, while London Brent fell 23 cents to $71.32.
The ministry said Vietnamese fuel traders are earning a profit of VND300 per liter of petrol, VND396 per liter of diesel, and VND563 per liter of kerosene.
The popular 92-octane petrol price now retails at VND15,700 per liter. Kerosene is sold at VND14,000 per liter and diesel at VND13,100 per liter.
Source: Agencies
ANZ Vietnam to double its capital
Australia and New Zealand Banking Group (ANZ) has received permission from the State Bank of Vietnam to double the registered capital of its subsidiary, ANZ Vietnam, to VND2 trillion (US$112 million).
“Commercial banks, especially foreign ones, operating in Vietnam continue to raise their registered capital despite the global financial crisis and economic slowdown.
It means that Vietnam is a safe destination for foreign investors,” the central bank said on its website on Friday.
ANZ had obtained the license to open a wholly-owned bank in Vietnam last October.
Reported by Thanh Nien staff
Filipino lawmaker learns Vietnam agri system in APEC meet
If there is one thing the fourth district Representative Ana York Bondoc learned from her recent trip to Vietnam, that is the country�s agricultural system.
Bondoc, together with four other members of Congress, namely, Representatives Erlie Villarosa, Lorna Silverio and Nerissa Soon-Ruiz joined President Gloria Macapagal-Arroyo during the Asia Pacific Economic Congress (APEC) in Vietnam.
Bondo praised Vietnam�s rising economy saying that �agriculture in Vietnam is well-organized and we learn many things from the country�s rising economy.� She said that what she learned from Vietnam will be relayed to our country men here particularly to her constituents to improve their livelihood.
The Philippine delegation was accompanied by Secretaries Alberto Romulo (Foreogn Affairs), Peter Favila (Trade), Rafael Lotilla (Energy) and Jesamin Defensor, the Ambassadorial pool of adviser for anti terrorism for South East Asia.
She said she also had the chance to meet a number of Kapampangans there and had a chance to chat with them to know and to check their current situation. During the interview, Bondoc bared some of her ongoing projects for her constituents in the fourth district.
Source: Sun Star
Bondoc, together with four other members of Congress, namely, Representatives Erlie Villarosa, Lorna Silverio and Nerissa Soon-Ruiz joined President Gloria Macapagal-Arroyo during the Asia Pacific Economic Congress (APEC) in Vietnam.
Bondo praised Vietnam�s rising economy saying that �agriculture in Vietnam is well-organized and we learn many things from the country�s rising economy.� She said that what she learned from Vietnam will be relayed to our country men here particularly to her constituents to improve their livelihood.
The Philippine delegation was accompanied by Secretaries Alberto Romulo (Foreogn Affairs), Peter Favila (Trade), Rafael Lotilla (Energy) and Jesamin Defensor, the Ambassadorial pool of adviser for anti terrorism for South East Asia.
She said she also had the chance to meet a number of Kapampangans there and had a chance to chat with them to know and to check their current situation. During the interview, Bondoc bared some of her ongoing projects for her constituents in the fourth district.
Source: Sun Star
World Bank sends more loans Vietnam’s way to offset inflation
The World Bank will loan an additional US$160 million to a number of infrastructure projects in Vietnam to fill a financing gap caused by high 2007-09 inflation.
The urban projects are located in Can Tho, Hai Phong, Nam Dinh and Ho Chi Minh City, according to a World Bank press release, which said the international lender and the central bank of Vietnam signed an agreement on the credit Thursday.
The loan will also be used to finance the improvement of the Tan Hoa-Lo Gom Canal in Ho Chi Minh City, which is a source of direct pollution and flooding, according to the release.
The statement quoted Victoria Kwakwa, World Bank’s Country Director for Vietnam, as saying the urban upgrading projects demonstrate “the government’s commitment to addressing the urbanization challenge in a sustainable manner.”
“Urbanization will remain one of the country’s central development challenges over the next several decades,” she said.
WB pledges $60 million to agriculture in Vietnam
The World Bank approved nearly US$60 million in loans towards Vietnam�s efforts to improve agricultural competitiveness, the global lender said in a press release Thursday.
The money, which comes from the International Development Association (IDA), the World Bank�s concessionary lending arm for low income countries, will be used for the country�s Agriculture Competitiveness Project.
At the macro level, the Agriculture Competitiveness Project supports the government�s strategy towards market-oriented agricultural development, an important element in Vietnam�s drive to eradicate poverty.
At the local level, it aims to strengthen the competitiveness of small farmers, with a focus on eight provinces in central Vietnam, in collaboration with the agribusiness sector.
The project is expected to improve small farmers� access to markets through the provision of technology services, critical public infrastructure for agriculture and facilitating farmer organizations and linkages to agribusiness.
Reported by Huu Tho (Original source from: Thanhniennews.com)
Milled rice exports up over 2008
CAMBODIA has this year already surpassed total milled rice exports for 2008, a government official said Wednesday.
Through the end of August, the Kingdom exported 8,000 tonnes of milled rice, mainly to Europe, Africa and the rest of Asia, Mao Thora, secretary of state at the Ministry of Commerce said on the sidelines of a rice-production seminar in Phnom Penh.
Although he was unable to give an exact figure for 2008, he said Cambodia exported about 5,000 tonnes of milled rice last year. Mao Thora said he expected the country to export more than 10,000 tonnes in 2009.
The government has this year made available US$18 million to the sector for purchasing rice and improving processing capacity through the Rural Development Bank, its Chairman and CEO Son Koun Thor told Wednesday’s conference.
However, Mao Thora said, more funds are needed to develop the rice industry.
“The problem for us now is whether we have enough milled rice for export,” he told the Post, adding that lacking technology and capacity, as well as insufficient credit in agricultural continue to pose problems. Click to original source...
Through the end of August, the Kingdom exported 8,000 tonnes of milled rice, mainly to Europe, Africa and the rest of Asia, Mao Thora, secretary of state at the Ministry of Commerce said on the sidelines of a rice-production seminar in Phnom Penh.
Although he was unable to give an exact figure for 2008, he said Cambodia exported about 5,000 tonnes of milled rice last year. Mao Thora said he expected the country to export more than 10,000 tonnes in 2009.
The government has this year made available US$18 million to the sector for purchasing rice and improving processing capacity through the Rural Development Bank, its Chairman and CEO Son Koun Thor told Wednesday’s conference.
However, Mao Thora said, more funds are needed to develop the rice industry.
“The problem for us now is whether we have enough milled rice for export,” he told the Post, adding that lacking technology and capacity, as well as insufficient credit in agricultural continue to pose problems. Click to original source...
Cambodia, Thailand agree to deal on traffic
Border-crossing agreement announced Thursday would see daily exchange of trucks in bid to minimise trade obstacles
CAMBODIA and Thailand signed a memorandum of understanding on the exchange of traffic rights Thursday in an effort to boost trade and tourism links between the two countries.
The agreement, which was signed by Cambodia’s Minister of Public Works and Transport Tram Iv Tek and Virachai Virameteekul, a minister attached to the Thai prime minister’s office, will allow a daily quota of trucks to cross the border without having to unload cargo and reload to a second truck on the other side.
Forty trucks from each side would initially be allowed to cross daily, but the quota is expected to be raised progressively.
It was signed on the sidelines of the Second Greater Mekong Subregion (GMS) Economic Corridors Forum in Phnom Penh, a meeting of ministers from the six countries through which the Mekong River flows.
Arjun Goswami, head of the Southeast Asia Regional Cooperation Group for the Asian Development Bank (ADB), which brokered the deal, said it was an important step in boosting trade between the two ASEAN neighbours. Click to read more...
CAMBODIA and Thailand signed a memorandum of understanding on the exchange of traffic rights Thursday in an effort to boost trade and tourism links between the two countries.
The agreement, which was signed by Cambodia’s Minister of Public Works and Transport Tram Iv Tek and Virachai Virameteekul, a minister attached to the Thai prime minister’s office, will allow a daily quota of trucks to cross the border without having to unload cargo and reload to a second truck on the other side.
Forty trucks from each side would initially be allowed to cross daily, but the quota is expected to be raised progressively.
It was signed on the sidelines of the Second Greater Mekong Subregion (GMS) Economic Corridors Forum in Phnom Penh, a meeting of ministers from the six countries through which the Mekong River flows.
Arjun Goswami, head of the Southeast Asia Regional Cooperation Group for the Asian Development Bank (ADB), which brokered the deal, said it was an important step in boosting trade between the two ASEAN neighbours. Click to read more...
Mobile firms dominate spending on advertising
Research conducted for the first eight months of 2009 shows telcos top the list of the biggest spenders on TV and print ads
SEVEN of Cambodia’s nine mobile phone companies were among the top 10 spenders on print advertising in the first eight months, figures released to the Post by Indochina Research Wednesday showed.
The research, which tracks advertising spend based on published rate cards and does not account for discounts, showed a 30 percent drop in total advertising spending over the period from US$52.8 million in the first eight months of 2008 to $37.5 million. Click to read more...
Chevron submits latest bid for Area IV
US energy firm Chevron met with Prime Minister Hun Sen Tuesday after submitting a bid to the Cambodian National Petroleum Authority to explore offshore Area IV, a spokesman confirmed Wednesday.
The area, which lies in an region disputed by Phnom Penh and Bangkok, is also subject to a bid by Japan’s Mitsui Oil Exploration, which met with the prime minister earlier Tuesday.
“Many oil and gas companies have submitted applications [for Area IV],” Ieng Sophalleth, the prime minister’s spokesman, said.
It remains unclear whether Mitsui and Chevron would plan to take on Area IV together – they are already jointly developing offshore Block A and have signed agreements with Bangkok to team up on part of Area IV, or blocks B12A, B12B and B13 as they are known in Thailand.
Chevron’s regional spokesperson Gareth Johnstone said Wednesday he could not comment “for commercial and contractual reasons”. Click to read more...
The area, which lies in an region disputed by Phnom Penh and Bangkok, is also subject to a bid by Japan’s Mitsui Oil Exploration, which met with the prime minister earlier Tuesday.
“Many oil and gas companies have submitted applications [for Area IV],” Ieng Sophalleth, the prime minister’s spokesman, said.
It remains unclear whether Mitsui and Chevron would plan to take on Area IV together – they are already jointly developing offshore Block A and have signed agreements with Bangkok to team up on part of Area IV, or blocks B12A, B12B and B13 as they are known in Thailand.
Chevron’s regional spokesperson Gareth Johnstone said Wednesday he could not comment “for commercial and contractual reasons”. Click to read more...
Muslim world ally in garment access to US
Cambodia’s efforts to win duty-free access to the United States market may have taken an unlikely step forward on the coattails of US moves to improve ties with the Muslim world.
In a meeting with her Bangladeshi counterpart Dipu Moni on Wednesday, US Secretary of State Hillary Clinton pledged to look at the possibility of a trade and investment framework to make it easier for US companies to invest in the democratic and secular Muslim-majority nation.
In response, Dipu Moni said she asked Clinton to work for duty-free and quota-free access for Bangladeshi goods to the US market.
While it is far too early to tell if Clinton’s words will ever translate into action, US President Barack Obama’s signature policy of repairing ties with the Islamic world can only nudge talks in the right direction.
And Cambodia stands to benefit if the US chooses the easiest way forward and passes legislation already before its Congress extending duty-free access to 14 least-developed countries, including Bangladesh and Cambodia.
Few give Democratic Senator Dianne Feinstein’s Trade Act of 2009, which is currently before the US Senate’s finance committee, much hope of becoming law purely on trade-assistance grounds.
Critics say Cambodia, Bangladesh and Sri Lanka account for 99 percent of the total exports to the US from the 14 countries, meaning it will do little to improve the fortunes of those most in need of asssistance. Click to read more...
In a meeting with her Bangladeshi counterpart Dipu Moni on Wednesday, US Secretary of State Hillary Clinton pledged to look at the possibility of a trade and investment framework to make it easier for US companies to invest in the democratic and secular Muslim-majority nation.
In response, Dipu Moni said she asked Clinton to work for duty-free and quota-free access for Bangladeshi goods to the US market.
While it is far too early to tell if Clinton’s words will ever translate into action, US President Barack Obama’s signature policy of repairing ties with the Islamic world can only nudge talks in the right direction.
And Cambodia stands to benefit if the US chooses the easiest way forward and passes legislation already before its Congress extending duty-free access to 14 least-developed countries, including Bangladesh and Cambodia.
Few give Democratic Senator Dianne Feinstein’s Trade Act of 2009, which is currently before the US Senate’s finance committee, much hope of becoming law purely on trade-assistance grounds.
Critics say Cambodia, Bangladesh and Sri Lanka account for 99 percent of the total exports to the US from the 14 countries, meaning it will do little to improve the fortunes of those most in need of asssistance. Click to read more...
FAO set to launch silk initiative
THE UN’s Food and Agricultural Agency announced Thursday the launch of a US$475,000 programme with the government aimed at assisting Cambodia’s struggling silk sector.
The money will be spent on a silkworm egg-production centre, the location for which is still to be determined, the FAO’s country representative Ajay Markanday said Thursday. The FAO has not yet set a time frame for the initiative, which he described as a “pilot exercise”.
Seven demonstration farms will also be established in Kampong Speu, Takeo, Kampot, Kampong Cham, Kratie, Pursat, Siem Reap and Banteay Meanchey provinces, displaying new techniques for silkworm-rearing, an FAO press statement said.
Agriculture ministry officials will be trained under the programme, it added.“Silk is very important for [the Cambodian] rural economy, and poverty reduction, because it generates higher value-added than general crops such as rice,” said Markanday.
Domestic demand for silk is estimated at 400 tonnes per year, the FAO said, but less than 5 tonnes is produced annually, with the shortfall imported from China and Vietnam. Click to original source...
The money will be spent on a silkworm egg-production centre, the location for which is still to be determined, the FAO’s country representative Ajay Markanday said Thursday. The FAO has not yet set a time frame for the initiative, which he described as a “pilot exercise”.
Seven demonstration farms will also be established in Kampong Speu, Takeo, Kampot, Kampong Cham, Kratie, Pursat, Siem Reap and Banteay Meanchey provinces, displaying new techniques for silkworm-rearing, an FAO press statement said.
Agriculture ministry officials will be trained under the programme, it added.“Silk is very important for [the Cambodian] rural economy, and poverty reduction, because it generates higher value-added than general crops such as rice,” said Markanday.
Domestic demand for silk is estimated at 400 tonnes per year, the FAO said, but less than 5 tonnes is produced annually, with the shortfall imported from China and Vietnam. Click to original source...
Local governors seen as key to boost GMS trade
Asian Development Bank's Southeast Asia director says region must work at provincial level to better develop trade corridors
GREATER involvement by provincial governors and officials in efforts to boost economic ties between Greater Mekong Subregion (GMS) countries could lead to a “doubling or quadrupling” of trade in the region, a senior Asian Development Bank official said Wednesday.
Speaking on the sidelines of the opening day of a new economic forum in Phnom Penh, ADB Director General for Southeast Asia Arjun Thapan told the Post that provincial governors from the six member countries hold the key to facilitating trade and investment in the region through the development of so-called economic corridors.
“Intraregional trade in the GMS has remained resilient despite the global crisis,” he said. “Now we are looking at the potential of doubling or quadrupling this intraregional trade by opening up the borders, making the borders work more efficiently and more effectively, and by pulling in investments along the transport corridors to drive economic growth.” Click to read more...
ABA banking on future expansion
Despite a crowded banking sector, Advance Bank of Asia CEO Madi Akmambet says his bank can compete with the largest lenders in Cambodia as it battles to reduce non-performing loans
When Kazakhstan-based investment bank Visor Group bought Advanced Bank of Asia (ABA) in 2007, it inherited some problems in terms of its lending portfolio.
What is your strategy for dealing with your non-performing loans (NPL), among the worst in Cambodia?
I wouldn’t say it’s a big problem. Of course we are facing an issue with NPLs, but every bank in Cambodia faces this issue now as a result of the global downturn and the structure of the domestic economy.
Our NPL ratio was quite high in 2007, around 25 percent, and we decreased it to around 12 to 13 percent last year.
But it’s a question of economies of scale. We had a small loan portfolio, and there were a few – and only a few – loans that could be classified as doubtful or bad loans.
We created allowances, provisioning, in accordance with National Bank of Cambodia (NBC) requirements, but this year we recovered a major part of these NPLs and expect to decrease our NPL ratio to around 7 percent. Click to read more...
Kingdom, Philippines to set up air routes
CAMBODIA and the Philippines signed a memorandum of understanding on Wednesday towards allowing direct flights between the two countries, a State Secretariat of Civil Aviation official told the Post Thursday.
“Wednesday’s MoU opens our skies to direct flights from the Philippines. This will be good for our tourism sector," said SSCA Cabinet Chief Long Chheng.
He said that the Philippines’ proposal would open seven weekly flights from Manila to Phnom Penh, 14 flights a week from Clark to Phnom Penh, plus 14 weekly flights to the capital from elsewhere in the Philippines.
“We have not reached a decision on their request yet because we still have to review the possible routes,” said Long Chheng. “I hope that both governments will reach an Air Service Agreement by the end of the year.”
So far in 2009, Cambodia has signed four agreements on direct flights: with Switzerland, the United Arab Emirates, Qatar and now the Philippines. Feasibility studies leading up to the pact have been jointly conducted by Cambodia and the Philippines since 2007.Kong Sophearak, director general of statistics for the Tourism Ministry, said that his ministry had long been advocating the much-awaited deal as part of a broad effort to draw larger numbers of tourists from regional countries to Cambodia.
“Recently we’ve seen the number of tourists visiting our country from the Philippines increase year on year,” Kong Sophearak said, adding that since both countries are ASEAN members, their citizens do not require visas. Click to original source...
“Wednesday’s MoU opens our skies to direct flights from the Philippines. This will be good for our tourism sector," said SSCA Cabinet Chief Long Chheng.
He said that the Philippines’ proposal would open seven weekly flights from Manila to Phnom Penh, 14 flights a week from Clark to Phnom Penh, plus 14 weekly flights to the capital from elsewhere in the Philippines.
“We have not reached a decision on their request yet because we still have to review the possible routes,” said Long Chheng. “I hope that both governments will reach an Air Service Agreement by the end of the year.”
So far in 2009, Cambodia has signed four agreements on direct flights: with Switzerland, the United Arab Emirates, Qatar and now the Philippines. Feasibility studies leading up to the pact have been jointly conducted by Cambodia and the Philippines since 2007.Kong Sophearak, director general of statistics for the Tourism Ministry, said that his ministry had long been advocating the much-awaited deal as part of a broad effort to draw larger numbers of tourists from regional countries to Cambodia.
“Recently we’ve seen the number of tourists visiting our country from the Philippines increase year on year,” Kong Sophearak said, adding that since both countries are ASEAN members, their citizens do not require visas. Click to original source...
Thursday, September 17, 2009
ACLEDA to open more institutions across Laos
ACLEDA Bank plans to open a new branch and two more service posts in Laos by the end of this year, Yin Virak, a vice president and the head of international cooperation, said Monday.
ACLEDA Bank’s Laos subsidiary operates a headquarters in the capital, Vientiane, three branches and five service posts. Yin Virak said the bank had already received the licences and would open the two service posts in Vientiane – one in October and the other in November.
The new branch would be opened in Khammouan province, in central Laos, in November.“The expansion is part of our planned strategy to meet the financial needs of Laos, and our expansion will cover Laos nationwide soon,” he said. Click to read more...
ACLEDA Bank’s Laos subsidiary operates a headquarters in the capital, Vientiane, three branches and five service posts. Yin Virak said the bank had already received the licences and would open the two service posts in Vientiane – one in October and the other in November.
The new branch would be opened in Khammouan province, in central Laos, in November.“The expansion is part of our planned strategy to meet the financial needs of Laos, and our expansion will cover Laos nationwide soon,” he said. Click to read more...
Smart Mobile in ACLEDA top-up deal
CAMBODIAN mobile service provider Smart Mobile announced Monday it will cooperate with ACLEDA Bank to offer credit top-ups at ATMs.
The provider, which has already signed a deal with ANZ Bank’s WING to offer electronic top-ups, said in a press release the system would be based on a pin-code access service to add to the scratch card credit system offered by Smart Mobile.
The deal with ACLEDA was signed in February , said Smart Mobile’s Chief Marketing Officer Kiril Mankovsky.“In the near future top-up through ATM will be available at other banks as well,” Monday’s statement said without elaborating. Click to read more...
SKorean president's visit set to include trade agreement
SOUTH Korea’s President Lee Myung-bak will make a two-day visit to Cambodia in October, a Foreign Affairs Ministry spokesman said Monday, on official business that will include the signing of trade deals.
Spokesman Koy Kuong said the exact date was still to be confirmed.Cambodia Chamber of Commerce Director General Nguon Meng Tech said he had been told the visit would likely take place October 6-7.
He said the chamber would use the visit to sign a memorandum of understanding with the South Korean Chamber of Commerce on trade.
“The MoU is very important for both countries to exchange trade information and to help boost trade links between the two countries,” Nguon Meng Tech said. Click to read more...
PM tells transport firms to follow weight limits
Companies that overload trucks beyond legal limits damage roads and bridges and will be shut down, Hun Sen says
PRIME Minister Hun Sen ordered senior transport and public works officials Monday to close down logistics firms that violate weight limits for trucks.
Speaking at the launch of the Cambodia-China Friendship Bridge across the Tonle Sap River at Prek Kdam in northern Kandal province, the premier said overloaded trucks damaged the country’s roads and bridges, putting life and property at risk.
“There is only one way to ensure our roads and bridges, to ensure our people’s safety,” he said. Click to read more...
Inflation slows to 0.7 percent in August
INFLATION in Cambodia continued to slow in August as the consumer price index (CPI) rose just 0.7 percent on the previous month, according to official figures obtained Tuesday.
The CPI data for August compares with a 1.5 percent rise in CPI from June to July and a 1.8 percent increase from May to June, suggesting that inflationary pressure in the Cambodian economy is waning. August saw a 2.9 percent fall in prices year on year compared with the same month in 2008, when inflation was running at more than 20 percent, marking the sixth consecutive month of annualised deflation.
“Cambodia will experience a year of deflation in 2009, in stark contrast to the record pace of inflation of 25 percent that was recorded in 2008,” the London-based Economist Intelligence Unit (EIU) said in its September outlook for Cambodia. Click to read more...
The CPI data for August compares with a 1.5 percent rise in CPI from June to July and a 1.8 percent increase from May to June, suggesting that inflationary pressure in the Cambodian economy is waning. August saw a 2.9 percent fall in prices year on year compared with the same month in 2008, when inflation was running at more than 20 percent, marking the sixth consecutive month of annualised deflation.
“Cambodia will experience a year of deflation in 2009, in stark contrast to the record pace of inflation of 25 percent that was recorded in 2008,” the London-based Economist Intelligence Unit (EIU) said in its September outlook for Cambodia. Click to read more...
Mitsui delivers bid for disputed offshore area
Tokyo-based exploration company meets with Hun Sen after submitting application for rights to Area IV in Gulf of Thailand
JAPANESE oil and gas company Mitsui Oil Exploration Co submitted an application Tuesday to Prime Minister Hun Sen for exploration rights in an overlapping offshore area in the Gulf of Thailand, the prime minister’s spokesman said.
Ieng Sophalleth said Mitsui Chairman Yoshiyuki Kagawa led a company delegation at a meeting in Phnom Penh that applied for Cambodia’s Area IV off the coast of Preah Sihanouk province.
“Yoshiyuki Kagawa told Hun Sen that the company had already submitted its proposed documents to the Cambodian National Petroleum Authority (CNPA) in bidding for oil and gas in offshore Area IV,” said Ieng Sophalleth, adding that the prime minister welcomed the plan and highlighting the need for transparency in the bidding process. Click to read more...
Monday, September 14, 2009
Workers' ally urges US to cut garment tariffs
Labour advocate backs industry in calling for end to US duties on Cambodian garment exports ahead of Washington hearing
ALABOUR activist called on the US Congress on Thursday to provide Cambodian textile and footwear makers duty-free access to its markets on condition they met certain minimum labour laws and standards.
Moeun Tola, head of the Labour Programme Unit at the Community Legal Education Centre in Cambodia, says the concession should be granted along the lines of Democratic Senator Dianne Feinstein's Trade Act of 2009, according to a copy of his testimony seen by the Post in advance of his appearance before a human rights commission hearing in Washington later Thursday. Click to read more...
OK sought for fertiliser production in Kandal
VIETNAMESE firm Five Star International Group has asked for approval to build a US$65 million natural fertiliser plant in Kandal province, an economic consultant to Vietnam's embassy in Phnom Penh said Thursday.
Le Bien Cuong said the Council for the Development of Cambodia (CDC) was mulling the application."We hope that the construction of the new plant will be able to start in October this year," he said.
The group said the plant, to be built in Samraong Thom commune in Kandal province's Kien Svay district, 20 kilometres east of Phnom Penh, will have capacity to produce 350,000 tonnes of fertiliser per year.
The construction of the plant is expected to finish within 20 months of being approved by the CDC, Le Bien Cuong said. CDC officials could not be contacted for comment Thursday. Click to read more...
Le Bien Cuong said the Council for the Development of Cambodia (CDC) was mulling the application."We hope that the construction of the new plant will be able to start in October this year," he said.
The group said the plant, to be built in Samraong Thom commune in Kandal province's Kien Svay district, 20 kilometres east of Phnom Penh, will have capacity to produce 350,000 tonnes of fertiliser per year.
The construction of the plant is expected to finish within 20 months of being approved by the CDC, Le Bien Cuong said. CDC officials could not be contacted for comment Thursday. Click to read more...
Connecting in a crowded market
Despite the highly competitive nature of the Cambodian mobile-phone sector, Smart Mobile’s CEO Thomas Hundt says it’s still possible to build loyalty with customers in a developing market
Cambodia's mobile phone market has become increasingly competitive, and we've seen companies report reduced revenues in recent months. How have you been affected?As you rightfully said, it's a very tough market.
I suppose that the majority of operators are losing money at the moment - that is a matter of fact. We have not planned to earn money at this moment of time.
I mean, we launched in February, so, as a mobile phone operator, you cannot be expected to earn a profit after six months. Click to read more...
In Brief: $10m City Mall opens
TAIWANESE firm Fu Yang Investment opened its more-than-US$10 million City Mall Shopping Centre in Phnom Penh's Prampi Makara district Wednesday.
Fu Yang Director Lee Hsieh Yu said the four-storey retail space on the corner of streets 217 and 274 contains more than 700 shops.
Tenants include Lucky Supermarket, Pizza World, BB World, OSK Indochina Bank and mobile phone shops, he said. Sydney Supermarket Chief Accountant In Sopheap and Sorya Mall General Manager Lam Sopheap said they were concerned to open at a time of falling retail sales in the capital. Click to original source...
Fu Yang Director Lee Hsieh Yu said the four-storey retail space on the corner of streets 217 and 274 contains more than 700 shops.
Tenants include Lucky Supermarket, Pizza World, BB World, OSK Indochina Bank and mobile phone shops, he said. Sydney Supermarket Chief Accountant In Sopheap and Sorya Mall General Manager Lam Sopheap said they were concerned to open at a time of falling retail sales in the capital. Click to original source...
In Brief: OSK to open branches
SK Indochina Bank plans to open two branches in Phnom Penh today, and the bank's country head said two more would follow by the end of the year.
Lim Loong Seng, who also serves as chief operating officer for the Malaysian-owned bank, said he hoped the expansion would help boost public confidence in Cambodia's banking and financial sector.
The branches are at the newly opened City Mall and in Steung Meanchey district. OSK, which is 100 percent owned by Malaysia-listed OSK Investment Bank Berhad, commenced banking operations in Cambodia in October last year. Click to original source...
Lim Loong Seng, who also serves as chief operating officer for the Malaysian-owned bank, said he hoped the expansion would help boost public confidence in Cambodia's banking and financial sector.
The branches are at the newly opened City Mall and in Steung Meanchey district. OSK, which is 100 percent owned by Malaysia-listed OSK Investment Bank Berhad, commenced banking operations in Cambodia in October last year. Click to original source...
Corn plant to begin exporting by year's end
HLH Agriculure Cambodia Co Ltd, a Singaporean-owned company that this year invested US$15 million in a corn-processing factory in Kampong Speu province, told the Post Thursday it would begin exporting by the end of the year.
Rort Veasna, purchasing officer at HLH, said his company would export about 300 tonnes of processed red corn to Singapore in November.
"It is our first phase of exports to foreign markets," he said, adding that the corn would be sold at $200 a tonne.
HLH has recently produced 800 tonnes of corn on its 450-hectare farm in Omlaing commune in Thpong district, Kampong Speu, he said, adding that it purchased an additional 1,000 tonnes from local companies and farmers. An additional 10,000 hectares are being planted in nearby Oral district, he added. Click to read more...
Rort Veasna, purchasing officer at HLH, said his company would export about 300 tonnes of processed red corn to Singapore in November.
"It is our first phase of exports to foreign markets," he said, adding that the corn would be sold at $200 a tonne.
HLH has recently produced 800 tonnes of corn on its 450-hectare farm in Omlaing commune in Thpong district, Kampong Speu, he said, adding that it purchased an additional 1,000 tonnes from local companies and farmers. An additional 10,000 hectares are being planted in nearby Oral district, he added. Click to read more...
Friday, September 11, 2009
Vietnamese products still trailing behind Thai products in Cambodia due to unfiendliness
Vietnamese producers urged to cement position in Cambodia
10/09/2009
VietNamNet/TBKTVN
VietNamNet Bridge – Vietnam-made products have become the second-most favoured products in the neighbouring market of Cambodia, just after Thai goods, a survey has found. However, Vietnam could be dislodged from the second position if it does not come up with suitable business strategies for the market.
Second to one
The survey of Cambodian retailers and Vietnam-, Thailand- and China-made goods in the Cambodian market, conducted by BSA and Truong Doan Market Survey Company in August 2009 in Phnom Penh and Battambong, showed that Vietnam-made goods are popular in the country.
There are two main factors that are responsible for this: they are cheaper than Thai products and have acceptable quality. Click to read more...
10/09/2009
VietNamNet/TBKTVN
VietNamNet Bridge – Vietnam-made products have become the second-most favoured products in the neighbouring market of Cambodia, just after Thai goods, a survey has found. However, Vietnam could be dislodged from the second position if it does not come up with suitable business strategies for the market.
Second to one
The survey of Cambodian retailers and Vietnam-, Thailand- and China-made goods in the Cambodian market, conducted by BSA and Truong Doan Market Survey Company in August 2009 in Phnom Penh and Battambong, showed that Vietnam-made goods are popular in the country.
There are two main factors that are responsible for this: they are cheaper than Thai products and have acceptable quality. Click to read more...
More economic research needed
VISITING research fellow called on the Cambodian government Wednesday to do more to boost the country's research sector for the good of its economic development.
Pou Sothearak, a senior research fellow at the Institute of Southeast Asian Studies in Singapore, told a gathering of 200 researchers from local and foreign institutes in Phnom Penh that government initiatives should also include a research network to facilitate the exchange of ideas.
"If Cambodia can form a group of autonomous researchers, it will be very good for the development of the country in the future," he said.
"Development based on research yields a more satisfying result."Larry Strange, executive director of the Cambodia Development Resource Institute, said better research was needed at the national level to create effective development strategies for Cambodia. Click to read more...
Pou Sothearak, a senior research fellow at the Institute of Southeast Asian Studies in Singapore, told a gathering of 200 researchers from local and foreign institutes in Phnom Penh that government initiatives should also include a research network to facilitate the exchange of ideas.
"If Cambodia can form a group of autonomous researchers, it will be very good for the development of the country in the future," he said.
"Development based on research yields a more satisfying result."Larry Strange, executive director of the Cambodia Development Resource Institute, said better research was needed at the national level to create effective development strategies for Cambodia. Click to read more...
In Brief: New iOne in Canadia
AN official reseller for Apple Inc products in Cambodia, iOne Company, opened its fourth store Wednesday in Phnom Penh's Canadia Tower, which is set to be the tallest building in the Kingdom. Minister of Justice Ang Vong Vathana, who attended the opening ceremony, said the new store was a further sign that IT is developing in Cambodia.
"This shows that Cambodia's economy is growing ... and I hope that there will be more investors coming here in the future," he said. The store will sell a range of Apple MacBooks and iPods along with accessories and software. Click to original source...
"This shows that Cambodia's economy is growing ... and I hope that there will be more investors coming here in the future," he said. The store will sell a range of Apple MacBooks and iPods along with accessories and software. Click to original source...
In Brief: Qb launches new tariff
Qb, the mobile phone brand by Cambodia Advance Communication Co, became the latest company to announce a new tariff Wednesday, "Talk all you want", offering unlimited calls and messaging services at a fixed price of US$3 per month.
The provider follows Hello, Mobitel and Beeline in announcing new tariffs within the past fortnight. Also Wednesday, qb announced it would finish a project extending coverage to major roads in Kampong Thom, Svay Rieng, Kampong Speu, Takeo, Kampot, Kampong Chhnang, Pursat and Banteay Meanchey provinces. Click to original source...
The provider follows Hello, Mobitel and Beeline in announcing new tariffs within the past fortnight. Also Wednesday, qb announced it would finish a project extending coverage to major roads in Kampong Thom, Svay Rieng, Kampong Speu, Takeo, Kampot, Kampong Chhnang, Pursat and Banteay Meanchey provinces. Click to original source...
Business no easier, rankings reveal
CAMBODIA'S slide of six places in the World Bank's latest annual ease-of-business report released Wednesday shows it is "all the more important" for the Cambodian government to press ahead with its economic-reform agenda, the bank's senior country economist for Cambodia, Stephane Guimbert, said Wednesday.
The fall to 145th of 183 economies surveyed worldwide in the bank's Doing Business 2010 report, prepared in conjunction with the International Finance Corporation (IFC), came after the country climbed 11 places in the rankings a year earlier.
The rise was at the time attributed to the passage of the Secured Transactions Law and the Law on Bankruptcy, as well as Cambodia's success in cutting import and export delays.
The reversal suggests that the pace of business-regulation reform has slowed in Cambodia even as other countries accelerated changes to remain competitive in a global market rocked by an ongoing economic crisis, the two agencies said in a media statement accompanying the report. Click to read more...
The fall to 145th of 183 economies surveyed worldwide in the bank's Doing Business 2010 report, prepared in conjunction with the International Finance Corporation (IFC), came after the country climbed 11 places in the rankings a year earlier.
The rise was at the time attributed to the passage of the Secured Transactions Law and the Law on Bankruptcy, as well as Cambodia's success in cutting import and export delays.
The reversal suggests that the pace of business-regulation reform has slowed in Cambodia even as other countries accelerated changes to remain competitive in a global market rocked by an ongoing economic crisis, the two agencies said in a media statement accompanying the report. Click to read more...
Trade with Thais falls 32pc
Government blames economic crisis – not border dispute – for decline in bilateral trade between Cambodia and Thailand in the first seven months
BILATERAL trade with neighbouring Thailand fell by almost a third in the first seven months of 2009 year on year, according to official figures supplied to the Post Wednesday by the Thai Embassy in Phnom Penh.
Total trade in the first seven months between the two countries dropped 31.7 percent to US$913.58 million, the figures collated by Thai customs showed, from $1.34 billion during the same period last year. Click to read more...
Workers seek factory reforms
PROTESTS against poor conditions in garment factories flared up on Wednesday as workers from two sites refused to work because of ongoing disputes.
More than 300 workers from the Sky High garment factory in Dangkor district took their protest, which started on August 24, to the National Assembly. Chan Dary, one of the workers' representatives, said a letter had been sent to National Assembly President Heng Samrin asking for help.
"We continue the protest so factory owners will agree with our conditions and allow workers to return to work as normal," he said.
Grievances at Sky High include a 1,000-riel reduction in monthly wages, a lack of help for those who lose vehicles on company property and unpredictable work stoppages. If the Assembly refused to help, Chan Dary said, the workers would take legal action. Click to read more...
More than 300 workers from the Sky High garment factory in Dangkor district took their protest, which started on August 24, to the National Assembly. Chan Dary, one of the workers' representatives, said a letter had been sent to National Assembly President Heng Samrin asking for help.
"We continue the protest so factory owners will agree with our conditions and allow workers to return to work as normal," he said.
Grievances at Sky High include a 1,000-riel reduction in monthly wages, a lack of help for those who lose vehicles on company property and unpredictable work stoppages. If the Assembly refused to help, Chan Dary said, the workers would take legal action. Click to read more...
Thursday, September 10, 2009
Sithi.org shows maps of the "EVIL" land concessions signed off by Hun Xen's regime
Development Trends in Cambodia
Maps presented here highlight the extent to which the government is signing off concessions for development which is monopolizing land, forest and other natural resources to private companies both Cambodian and international. Land conflict is a major issue which raises questions not only about poverty reduction and human rights but sustainable development in general.
Maps presented here highlight the extent to which the government is signing off concessions for development which is monopolizing land, forest and other natural resources to private companies both Cambodian and international. Land conflict is a major issue which raises questions not only about poverty reduction and human rights but sustainable development in general.
The development trends presented on these maps signifies a new approach to viewing the information on land allocation for concessions and other development initiatives.
It is hoped that by taking a holistic approach to viewing development trends across sectors national and international organizations, the RGC and their relevant departments along with development Donor groups can begin to analyse and potentially rethink development from a new paradigm perspective. Hopefully influencing more environmentally sustainable development models which are socially equitable and just. Click to read more...
Asian Development Bank - hindering or helping?
As Treasurer Wayne Swan arrived home from the G20 Finance Ministers meeting in London, the Australian Government is preparing to follow through on a commitment it made at the last G20 meeting in April.
This will see it provide additional funding for international financial institutions such as the IMF and the Asian Development Bank (ADB). The question for Australia now is to ensure that this money serves its intended purpose.
On the face of it, the G20’s decision to channel more money through international institutions in a bid to avert the worst of the global financial crisis makes sense. International financial institutions have a global reach which allows countries in need of resources to access them.
However, it can’t be assumed that resources channelled through international financial institutions are automatically well spent. Click to read more...
This will see it provide additional funding for international financial institutions such as the IMF and the Asian Development Bank (ADB). The question for Australia now is to ensure that this money serves its intended purpose.
On the face of it, the G20’s decision to channel more money through international institutions in a bid to avert the worst of the global financial crisis makes sense. International financial institutions have a global reach which allows countries in need of resources to access them.
However, it can’t be assumed that resources channelled through international financial institutions are automatically well spent. Click to read more...
Cambodia has room to improve business climate: WB
PHNOM PENH, Sep. 9, 2009 (Xinhua News Agency) -- Cambodia's ranking has remained low on the global ease of doing business in 2008/2009 while most economies in East Asia and the Pacific strengthened business regulations to help increase opportunities for local firms, the press release from the World Bank (WB) office here said on Wednesday.
"Cambodia was ranked No. 145 out of 183 countries on the ease of doing business as the global economic crisis prompted many countries to accelerate reforms, improving their ranking relative to Cambodia," the World Bank said.
"The World Bank and IFC, the member of the World Bank Group focused on private sector development, are working with the government on improving the business climate." Click to read more...
"Cambodia was ranked No. 145 out of 183 countries on the ease of doing business as the global economic crisis prompted many countries to accelerate reforms, improving their ranking relative to Cambodia," the World Bank said.
"The World Bank and IFC, the member of the World Bank Group focused on private sector development, are working with the government on improving the business climate." Click to read more...
No Duty for Rice to EU; Challenges Remain
By Ros Sothea, VOA Khmer
Original report from Phnom Penh
09 September 2009
The European Union began a deal this month to allow Cambodian rice to be imported duty-free, but many challenges remain before Cambodia can be a powerhouse rice producer.
The deal would open a market of 500 million people from 27 countries and “provide a price incentive for European importers to import the product from Cambodia,” said Rafael Dochao Moreno, Charge d’Affaires of the European Commission in Cambodia.
“So by providing this zero-duty entry for Cambodian rice, we are promoting Cambodia’s development, especially in the sector of rice production.”
The duty-free status for Cambodian rice is part of the EU’s “Everything But Arms” initiative, which was established in 2001 and gives preferences on all goods, except weapons, entering the EU from 50 least-developed countries. Click to read more...
Original report from Phnom Penh
09 September 2009
The European Union began a deal this month to allow Cambodian rice to be imported duty-free, but many challenges remain before Cambodia can be a powerhouse rice producer.
The deal would open a market of 500 million people from 27 countries and “provide a price incentive for European importers to import the product from Cambodia,” said Rafael Dochao Moreno, Charge d’Affaires of the European Commission in Cambodia.
“So by providing this zero-duty entry for Cambodian rice, we are promoting Cambodia’s development, especially in the sector of rice production.”
The duty-free status for Cambodian rice is part of the EU’s “Everything But Arms” initiative, which was established in 2001 and gives preferences on all goods, except weapons, entering the EU from 50 least-developed countries. Click to read more...
Thong Khon reelected as Cambodia president of NOCC
PHNOM PENH, Sept. 10 (Xinhua) -- Cambodia's Tourism Minister Thong Khon was reelected as president of the National Olympic Committee of Cambodia (NOCC) for its fifth mandate at a conference held at Phnom penh, local media reported on Thursday.Officials from 16 National Sports Federations voted unanimously to allow Thong Khon to resume his presidency from 2009 to 2012 andalso voted him president of the executive committee, it reported.
Thong Khon was quoted by the Phnom Penh Post as saying during his address that the conference was arranged in accordance with Asian and Intenational Olympic Committee mandates to evaluate the work done by the NOCC over the previous three-year term.
The minister said the meeting would also "set up goals for the fifth mandate ... as well as amend the committee's charter to comply with the present situation and constitutional law of the International Olympic Committee". Click to original source...
Govt sets up task force to solve telecoms feud
MPTC says new initiative will immediately address dispute between Mobitel and Beeline as well as plug legal loopholes
OFFICIALS at the Ministry of Posts and Telecommunications (MPTC) told the Post Tuesday that they have created a temporary task force to address the ongoing dispute between mobile operators Mobitel and Beeline over alleged price-dumping and blocking of competing networks.
Minister So Khun instructed the head of the new body, Sarak Khan, secretary of state at MPTC, about the initiative Tuesday morning, the Post was told, after a meeting on August 14 between the two operators, the government, Telecom Cambodia and the rest of the sector failed to resolve the feud. Click to read more...
Angkor Wat revenues drop 20pc
REVENUES from ticket sales to Cambodia's main attraction Angkor Wat fell almost 20 percent in the first half compared to last year, the Apsara Authority, one of the main bodies responsible for income from the temples, said Tuesday.
Bun Narith, director general of Apsara Authority, blamed the global economic crisis, political unrest in neighbouring Thailand and bad weather for the drop.
"Almost all countries have been affected by the global economic crisis, which has fully impacted our tourism sector.... [Foreigners] have cut down on travelling," he said.The first-half decline reported by Apsara represents the latest fall in visitor revenues from Angkor Wat - in 2008, revenues declined to US$30 million from $32 million the previous year.
However, as in the past, Apsara declined to supply a detailed breakdown of ticket sales or revenues. Svay Ritthy, a representative of Sokha Hotels, declined to comment Tuesday and referred questions back to Apsara. Click to read more...
Bun Narith, director general of Apsara Authority, blamed the global economic crisis, political unrest in neighbouring Thailand and bad weather for the drop.
"Almost all countries have been affected by the global economic crisis, which has fully impacted our tourism sector.... [Foreigners] have cut down on travelling," he said.The first-half decline reported by Apsara represents the latest fall in visitor revenues from Angkor Wat - in 2008, revenues declined to US$30 million from $32 million the previous year.
However, as in the past, Apsara declined to supply a detailed breakdown of ticket sales or revenues. Svay Ritthy, a representative of Sokha Hotels, declined to comment Tuesday and referred questions back to Apsara. Click to read more...
CEDAC welcomes rate cuts by MFIs
CAMBODIA'S largest farming NGO Tuesday welcomed the recent decision by microfinance institutions (MFIs) to reduce interest rates by up to 0.5 percent per month.
"The cut will help farmers earn profits from the money they borrow from MFIs that is used to invest in farming," Yang Saing Koma, president of the Cambodian Centre for Study and Development in Agriculture, said in a press statement.
The previous monthly rate of between about 2.3 percent and 2.85 percent had proved a major challenge to agricultural profitability while limiting farmers' investment, he said, and hurting competitiveness with neighbouring countries.
Yang Saing Koma added that interest rates should by lowered further - only at below 1 percent per month would farmers be able to sustain profitability, he said.
Uon Sophal, president of another agricultural NGO, Farmer and Nature Net, said farmers had struggled to repay loans at rates above 3 percent per month. "They were forced to sell property to repay debts," he said. Click to original source...
"The cut will help farmers earn profits from the money they borrow from MFIs that is used to invest in farming," Yang Saing Koma, president of the Cambodian Centre for Study and Development in Agriculture, said in a press statement.
The previous monthly rate of between about 2.3 percent and 2.85 percent had proved a major challenge to agricultural profitability while limiting farmers' investment, he said, and hurting competitiveness with neighbouring countries.
Yang Saing Koma added that interest rates should by lowered further - only at below 1 percent per month would farmers be able to sustain profitability, he said.
Uon Sophal, president of another agricultural NGO, Farmer and Nature Net, said farmers had struggled to repay loans at rates above 3 percent per month. "They were forced to sell property to repay debts," he said. Click to original source...
Company eyes $20m oil factory
CAMBODIAN conglomerate Mong Reththy Group plans to invest US$20 million to build a factory in Preah Sihanouk province to produce cooking oil from the group's palm plantations, President Mong Reththy said Tuesday.
Construction is due to begin next year, although the location has not yet been decided, he said, adding that the plant will have capacity to produce 100 tonnes of cooking oil per day. "We hope that the plant will help meet demand for cooking oil in both local and international markets," Mong Reththy said.
The group will target China as its first export market, he said.A staff member at Chip Mong Export and Import, which imports cooking oil from Thailand and Vietnam, said there is strong domestic demand; however, the firm "must ensure their product is of a good quality and reasonable price to compete with [imported] products in the markets," said the staff member, asking not to be named.
The Mong Reththy Group has around 800 hectares planted in palm in Preah Sihanouk province producing 70 tonnes of half-completed oil per day. Mong Reththy said this would expand to 30,000 hectares. Click to original source...
Construction is due to begin next year, although the location has not yet been decided, he said, adding that the plant will have capacity to produce 100 tonnes of cooking oil per day. "We hope that the plant will help meet demand for cooking oil in both local and international markets," Mong Reththy said.
The group will target China as its first export market, he said.A staff member at Chip Mong Export and Import, which imports cooking oil from Thailand and Vietnam, said there is strong domestic demand; however, the firm "must ensure their product is of a good quality and reasonable price to compete with [imported] products in the markets," said the staff member, asking not to be named.
The Mong Reththy Group has around 800 hectares planted in palm in Preah Sihanouk province producing 70 tonnes of half-completed oil per day. Mong Reththy said this would expand to 30,000 hectares. Click to original source...
Wednesday, September 9, 2009
Thais Blockade Cassava Crossing
By Chun Sakada, VOA Khmer
Original report from Phnom Penh
08 September 2009
Around 300 Thai citizens forced the closure of a border crossing on Tuesday, blocking attempts by Thai trucks to transport Cambodian cassava from the northern provinces of Banteay Meanchey and Oddar Meanchey.
An estimated 3,000 tons of cassava comes each day from the province’s Pouk district, angering Thai farmers, who used mechanical tillers to block the roadway, a Cambodian exporter said.
“The closing of the Boeung Trakuan border checkpoint destroyed our cassava export,” said Choeuv Taov, 56, a member of the Thmor Puak district council and a cassava trader.
“Cassava is a very important aspect of Cambodian’s livings in this area. The Cambodian people need to sell their cassava to support their living and to replant on time.” Click to read more...
Original report from Phnom Penh
08 September 2009
Around 300 Thai citizens forced the closure of a border crossing on Tuesday, blocking attempts by Thai trucks to transport Cambodian cassava from the northern provinces of Banteay Meanchey and Oddar Meanchey.
An estimated 3,000 tons of cassava comes each day from the province’s Pouk district, angering Thai farmers, who used mechanical tillers to block the roadway, a Cambodian exporter said.
“The closing of the Boeung Trakuan border checkpoint destroyed our cassava export,” said Choeuv Taov, 56, a member of the Thmor Puak district council and a cassava trader.
“Cassava is a very important aspect of Cambodian’s livings in this area. The Cambodian people need to sell their cassava to support their living and to replant on time.” Click to read more...
$56 million in customs revenue for August
Wednesday, September 9, 2009
Everyday.com.kh
Translated from Khmer by Socheata
The director of the Cambodian customs department indicated that the amount of revenue collected by his department for the month of August is 233 billion riels (~$56 million), this amount corresponds to the revenue for the 6th month of the 2009 fiscal year, as set in the government budget plan.
In the afternoon of 07 September 2009, Pen Siman, the government delegate in charge of the customs department, presided over a meeting to tally the customs department results.
The event also included the presence of other customs officials from all over the country. Pen Siman indicated that the August customs revenue amounts to 233 billion riels ($56 million) and that this revenue corresponds to the 6th month revenue of all the 8-month revenue collected by the customs department in 2009, as set up by the budget plan. He said that this revenue agrees with the prediction set for the 2009 fiscal year. Click to original source...
Everyday.com.kh
Translated from Khmer by Socheata
The director of the Cambodian customs department indicated that the amount of revenue collected by his department for the month of August is 233 billion riels (~$56 million), this amount corresponds to the revenue for the 6th month of the 2009 fiscal year, as set in the government budget plan.
In the afternoon of 07 September 2009, Pen Siman, the government delegate in charge of the customs department, presided over a meeting to tally the customs department results.
The event also included the presence of other customs officials from all over the country. Pen Siman indicated that the August customs revenue amounts to 233 billion riels ($56 million) and that this revenue corresponds to the 6th month revenue of all the 8-month revenue collected by the customs department in 2009, as set up by the budget plan. He said that this revenue agrees with the prediction set for the 2009 fiscal year. Click to original source...
NagaWorld's profits slide 55pc in first half
Phnom Penh's only licensed casino sees drop in revenues as VIP customer spending plummets despite slot machine gains
NAGAWORLD'S first-half profits fell 55 percent year-on-year as falling income from high-rolling gamblers dwarfed a more than 1,000 percent gain in income from slot machines, the owner of the casino and hotel operator said in a statement to the Hong Kong Stock Exchange.
First-half profits after tax fell to US$11.5 million, or $0.006 per share, in the six months to the end of June, down from $25.5 million, or US$0.012 a share last year as casino revenues slumped 41.7 percent to $63.6 million from $109.1 million, Saturday's statement said. Click to read more...
Hello says it will focus on 3G BlackBerry sales
HELLO, the mobile phone network operated by Kuala Lumpur-based Axiata, will discontinue sales of its 2G BlackBerry handsets to focus on sales of its 3G model Bold, CEO Simon Perkins said Monday.
The company has sold nearly 1,000 Pearl 8120 and Curve 8320 2G handsets, which are made by Canada-based firm Research in Motion (RIM), since launching at the end of April, Perkins said."Sales have been strong," he said, adding that Hello would not ship any more 2G models.
Perkins said Hello imported 200 Bold handsets for the end-of-July launch of its 3G BlackBerry service, and that another 1,000 were passing through Cambodian customs following importation from Canada."This model is very popular worldwide, if not the most popular of the BlackBerry smart phone range of products," Hello Brand manager Gary Foo said Monday. Click to read more...
The company has sold nearly 1,000 Pearl 8120 and Curve 8320 2G handsets, which are made by Canada-based firm Research in Motion (RIM), since launching at the end of April, Perkins said."Sales have been strong," he said, adding that Hello would not ship any more 2G models.
Perkins said Hello imported 200 Bold handsets for the end-of-July launch of its 3G BlackBerry service, and that another 1,000 were passing through Cambodian customs following importation from Canada."This model is very popular worldwide, if not the most popular of the BlackBerry smart phone range of products," Hello Brand manager Gary Foo said Monday. Click to read more...
Crocodile exports plummet
Figures compiled for the first time estimate live-animal sales fell up to 65 percent this season amid export-licensing push
ABOUT three-quarters of Cambodian crocodile farms applied for licences this year to comply with new export requirements, but the number of live young crocodiles and skins exported plummeted during the recent hatching season, according to official figures compiled for the first time.
Cambodia exported just 35,000 young crocodiles to Vietnam and 2,000 crocodile skins to Thailand between May and July, down from an estimated 100,000 live exports last year, said Heng Sovannara, chief of the Crocodile Development Division at the Ministry of Agriculture, Forestry and Fisheries. Click to read more...
Trade body seen as key to exploring new markets
Cambodian officials are eyeing membership of a regional trade body involving China and India as part of efforts to reduce the country's reliance on traditional export markets in the United States and Europe.
Senior government minister Ly Thuch said the Ministry of Commerce was well advanced in discussions with member countries of the Asia-Pacific Trade Agreement (APTA).
"Joining APTA will help us integrate further in the Asia-Pacific region as well as give us more access to the most dynamic markets in Asia," he said, referring specifically to India, China and South Korea.
APTA, previously known as the Bangkok Agreement, is a preferential tariff arrangement signed in 1975 as an initiative of the UN's Economic and Social Commission for Asia and the Pacific (ESCAP) to promote intra-regional trade through concessions between member countries. Click to read more...
Senior government minister Ly Thuch said the Ministry of Commerce was well advanced in discussions with member countries of the Asia-Pacific Trade Agreement (APTA).
"Joining APTA will help us integrate further in the Asia-Pacific region as well as give us more access to the most dynamic markets in Asia," he said, referring specifically to India, China and South Korea.
APTA, previously known as the Bangkok Agreement, is a preferential tariff arrangement signed in 1975 as an initiative of the UN's Economic and Social Commission for Asia and the Pacific (ESCAP) to promote intra-regional trade through concessions between member countries. Click to read more...
Tuesday, September 8, 2009
Cambodia seeks to attract more foreign investments
07 September 2009
By Channel NewsAsia's IndoChina Bureau Chief Anasuya Sanyal
PHNOM PENH: Cambodia is open for business, despite global economic uncertainty and a negative growth forecast.
For foreign investors in the country, the downturn could be a moment of opportunity.Cambodia has not been spared by the economic crisis - exports have dropped by 23 per cent and the construction industry has slowed almost to a standstill.
But it will take another quarter to determine any negative long-term economic effects.The country's Commerce Minister, Cham Prasidh, is confident that demand will pick up again, especially in the hard-hit garment sector. He explained why the country is a perfect springboard to foreign markets. Click to read more...
By Channel NewsAsia's IndoChina Bureau Chief Anasuya Sanyal
PHNOM PENH: Cambodia is open for business, despite global economic uncertainty and a negative growth forecast.
For foreign investors in the country, the downturn could be a moment of opportunity.Cambodia has not been spared by the economic crisis - exports have dropped by 23 per cent and the construction industry has slowed almost to a standstill.
But it will take another quarter to determine any negative long-term economic effects.The country's Commerce Minister, Cham Prasidh, is confident that demand will pick up again, especially in the hard-hit garment sector. He explained why the country is a perfect springboard to foreign markets. Click to read more...
Cambodian PM asks U.S. to cancel Cambodian debts
PHNOM PENH, Sept. 7 (Xinhua) -- Cambodian Prime Minister Hun Sen on Monday asked the United States to remit Cambodia's debts which the country has owed since 1970s by Lon Nol's regime.
"The U.S. should cancel the debts for Cambodia because the U.S. dropped large amount of bombs on Cambodia and many people suffered from it," he said at a ceremony of releasing final result of 2008 Population census at Chuktumok Theater Hall in Phnom Penh.Hun Sen put forwards the requirement directly to Carol A. Rodley, U.S. ambassador to Cambodia who also attended the ceremony.
"The U.S. should pay compensation for Cambodians but the U.S. side has always asked us to pay debt back," he said. Cheam Yeap, a lawmaker and chairman of the committee of finance, banking, economy and audition of Cambodian National Assembly, said that "we have been urging U.S. side to cancel debts for several times but they said they need decision from top level."He added that Cambodia has owed the United State in a total of over 300 million U.S. dollars by Lon Nol regime.
"The U.S. should cancel the debts for Cambodia because the U.S. dropped large amount of bombs on Cambodia and many people suffered from it," he said at a ceremony of releasing final result of 2008 Population census at Chuktumok Theater Hall in Phnom Penh.Hun Sen put forwards the requirement directly to Carol A. Rodley, U.S. ambassador to Cambodia who also attended the ceremony.
"The U.S. should pay compensation for Cambodians but the U.S. side has always asked us to pay debt back," he said. Cheam Yeap, a lawmaker and chairman of the committee of finance, banking, economy and audition of Cambodian National Assembly, said that "we have been urging U.S. side to cancel debts for several times but they said they need decision from top level."He added that Cambodia has owed the United State in a total of over 300 million U.S. dollars by Lon Nol regime.
Bad Loans on the Rise, Central Bank Warns
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By Ros Sothea, VOA Khmer
Original report from Phnom Penh
07 September 2009
Cambodia’s banking sector will not be able to avoid further consequences from the global economic downturn, with non-performing loans increasing, the National Bank’s director- told a workshop last week.
“For us, the economic crisis affected garment export, tourism, construction and real estate,” said Director-General Tal Nay Im said at a workshop on the nation’s banking system.
“So the banks’ borrowers are facing a hard time paying back [loans] when they can’t earn from their businesses. That will cause [non-performing loans] to increase, and that’s a second-round affect that the national bank is worried about.”The National Bank reported in June bad loans in 24 commercial banks had risen to 3.7 percent, about $2.4 billion, in 2008, up from 3.4 percent the year before. Click to read more...
No Sign of Recovery in Construction Sector
By Ros Sothea, VOA Khmer
Original report from Phnom Penh
07 September 2009
One year after an economic crisis swept across the globe, experts say Cambodia’s key construction sector—which had been booming—is showing no signs of recovery.
The crisis, which spread in August last year and eventually engulfed world markets and economies, shuttered several major construction projects in Cambodia, while delaying others.
A $400-million Korean project to build a mini-city on four hectares of land was dashed. Another project, to build a 53-story building, never got off the ground.
Other projects, big and small followed, as the price of land tumbled as much as 50 percent. Click to read more...
Original report from Phnom Penh
07 September 2009
One year after an economic crisis swept across the globe, experts say Cambodia’s key construction sector—which had been booming—is showing no signs of recovery.
The crisis, which spread in August last year and eventually engulfed world markets and economies, shuttered several major construction projects in Cambodia, while delaying others.
A $400-million Korean project to build a mini-city on four hectares of land was dashed. Another project, to build a 53-story building, never got off the ground.
Other projects, big and small followed, as the price of land tumbled as much as 50 percent. Click to read more...
Stung Treng Farmers Choosing Rubber
By Chiep Mony,
VOA Khmer
Original report from Phnom Penh
07 September 2009
Farmers in the eastern province of Stung Treng have begun replacing fruits and nuts, once thought profitable, with old-fashioned rubber. The trees grow well, and government aid is available for their cultivation.
Koh Muon, a 57-year-old farmer in Sre Krasaing commune, said he began planting rubber trees on four hectares of land last year after he was told by Kampong Cham province farmers the trees could earn him more money and the resin could be tapped nearly every day.
He spent about $500 for a hectare of rubber saplings bought from nurseries in Kampong Cham.Ly Phalla, director-general of the Ministry of Agriculture’s rubber department, said rubber trees were planted only in Kampong Cham, Kratie and Rattanakiri provinces in until recently, but they are appearing now Stung Treng, Mondulkiri, Kampong Thom and Preah Vihear. Click to read more...
VOA Khmer
Original report from Phnom Penh
07 September 2009
Farmers in the eastern province of Stung Treng have begun replacing fruits and nuts, once thought profitable, with old-fashioned rubber. The trees grow well, and government aid is available for their cultivation.
Koh Muon, a 57-year-old farmer in Sre Krasaing commune, said he began planting rubber trees on four hectares of land last year after he was told by Kampong Cham province farmers the trees could earn him more money and the resin could be tapped nearly every day.
He spent about $500 for a hectare of rubber saplings bought from nurseries in Kampong Cham.Ly Phalla, director-general of the Ministry of Agriculture’s rubber department, said rubber trees were planted only in Kampong Cham, Kratie and Rattanakiri provinces in until recently, but they are appearing now Stung Treng, Mondulkiri, Kampong Thom and Preah Vihear. Click to read more...
U.S. provides $34.8 mln for Cambodian health, education
PHNOM PENH, Sept. 8 (Xinhua) -- The United States on Tuesday signed amendments to two agreements with Cambodia to provide 34.8 million U.S. dollars in 2009 to support Cambodian priorities in health and education.
Hor Namhong, Deputy Prime Minister and Minister of Foreign Affairs and International Cooperation, and Flynn Fuller, USAID (U.S. Agency fro International Development) Mission Director, signed on behalf of their respective governments with U.S. Ambassador to Cambodia Carol A. Rodley as a witness.
The new funding brings to over 250 million U.S. dollars that the United States has provided in support of health and education in Cambodia since 1999, according to the press release from U.S. Embassy. Click to read more...
Hor Namhong, Deputy Prime Minister and Minister of Foreign Affairs and International Cooperation, and Flynn Fuller, USAID (U.S. Agency fro International Development) Mission Director, signed on behalf of their respective governments with U.S. Ambassador to Cambodia Carol A. Rodley as a witness.
The new funding brings to over 250 million U.S. dollars that the United States has provided in support of health and education in Cambodia since 1999, according to the press release from U.S. Embassy. Click to read more...
Kampot city and parts of National Road No. 4 flooded by rainfall
Tuesday, September 08, 2009
Everyday.com.kh
Translated from Khmer by Socheata
The consecutive rainfalls in the last few days led to flooding in a number of areas in Kampot and Preah Sihanouk provinces.
In Kampot province, the rainfall caused the flooding of 10 communes in Teuk Chhou district, as well as 5 communes in Kampot city as of the morning of 07 September 2009. Ouk Lay, the Teuk Chhou district governor, said that 10 communes in his district were flooded and this situation seriously affects fruit crops and rice crops, but the exact amount of damage is not known yet.
He indicated that the flooding cut the Spean Yaul Teuk Chhou bridge and a 35-year-old man disappeared after he was dragged by the water while he was traveling.
Up to now, the body of this man has not been found yet. In Kampot city, Neak Sovannary, the Kampot city governor, indicated that 5 communes in his city are completely flooded. As of 07 September morning, the flood water cut off National Road No. 4 in two spots: at the Stung Chhay bridge, and at the Samrong bridge located in O’Bak Rotess commune, Kampong Seila district.
At the Stung Chhay bridge, 50 houses were also flooded. At the Samrong bridge, 20 houses are under flood water.
Everyday.com.kh
Translated from Khmer by Socheata
The consecutive rainfalls in the last few days led to flooding in a number of areas in Kampot and Preah Sihanouk provinces.
In Kampot province, the rainfall caused the flooding of 10 communes in Teuk Chhou district, as well as 5 communes in Kampot city as of the morning of 07 September 2009. Ouk Lay, the Teuk Chhou district governor, said that 10 communes in his district were flooded and this situation seriously affects fruit crops and rice crops, but the exact amount of damage is not known yet.
He indicated that the flooding cut the Spean Yaul Teuk Chhou bridge and a 35-year-old man disappeared after he was dragged by the water while he was traveling.
Up to now, the body of this man has not been found yet. In Kampot city, Neak Sovannary, the Kampot city governor, indicated that 5 communes in his city are completely flooded. As of 07 September morning, the flood water cut off National Road No. 4 in two spots: at the Stung Chhay bridge, and at the Samrong bridge located in O’Bak Rotess commune, Kampong Seila district.
At the Stung Chhay bridge, 50 houses were also flooded. At the Samrong bridge, 20 houses are under flood water.
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Untangling the information about getting cable television
Why do some people get channels you don’t? How come your landlord insists on a provider, and could you get both? And what’s the skinny on widescreen?
AFTER years of crackly static, lines through the picture and complaints about the programming, Cambodian television is slowly coming of age.
In the last six months, new channels have sprung up regularly, as digital television makes inroads into Phnom Penh.
All over the world, broadcasters are changing from analogue to digital signals, providing noise-free pictures and superior sound quality, with the added bonus of Electronic Programme Guides (EPGs) showing daily information.
With the recent launch of a digital cable television service, we've put together the answers to all your questions about cable TV in Phnom Penh. Click to read more...
Investing means sounding out markets
THE market sentiment is accompanied by a distinct sound, according to one particular American financial expert, and lately that sound might just be laid-back ballads.
According to Phil Maymin, an assistant professor of finance and risk engineering at the Polytechnic Institute of New York University, there is a direct correlation between the volatility of the stock markets and the type of music people like.
Surprisingly enough, at times of high volatility (as has been the case since the start of the downturn), people tend to like soothing music. During periods of low volatility, they prefer heavier music with a more frenetic beat. Click to read more...
Microfinanciers slash rates
Micro-lending institutions have been forced to cut their rates to attract customers amid tight competition across the sector
Microfinance lenders have cut interest rates by between 0.2 and 0.5 percent in a bid to attract customers amid an intensely competitive market, the chairman of the Cambodian Microfinance Association (CMA) said Friday.
The cut follows heavy criticism of the Microfinance Institutions (MFIs) in recent months over high rates, which sector representatives claimed were necessary to cover costs.
But Hout Ieng Thong said the rate cut would neither threaten profitability nor expose the sector to bankruptcies, as lenders had streamlined operations in recent months."Earlier this year we felt that we could not reduce rates because we had some difficulties in terms of operational costs, but we have improved our operations," he said.
"We have also taken some measures to improve risk management."Hout Ieng Thong said Hattha Kaksekar Limited, of which he is chief executive officer, has reduced rates from around 3 percent per month to 2.5 percent. The lender had disbursed $28 million to 44,000 customers, he said. Click to read more...
Microfinance lenders have cut interest rates by between 0.2 and 0.5 percent in a bid to attract customers amid an intensely competitive market, the chairman of the Cambodian Microfinance Association (CMA) said Friday.
The cut follows heavy criticism of the Microfinance Institutions (MFIs) in recent months over high rates, which sector representatives claimed were necessary to cover costs.
But Hout Ieng Thong said the rate cut would neither threaten profitability nor expose the sector to bankruptcies, as lenders had streamlined operations in recent months."Earlier this year we felt that we could not reduce rates because we had some difficulties in terms of operational costs, but we have improved our operations," he said.
"We have also taken some measures to improve risk management."Hout Ieng Thong said Hattha Kaksekar Limited, of which he is chief executive officer, has reduced rates from around 3 percent per month to 2.5 percent. The lender had disbursed $28 million to 44,000 customers, he said. Click to read more...
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