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SOVANN
SOVANNExperienced
Asked: November 22, 2020In: Money

Can foreigners buy Cambodian property?

As you already understood the best way to have a high income is to buy a property, but can a non-resident or a foreigner buy a property in Cambodia and make money? Cambodia not only allows foreign investment, but also encourages ...Read more

As you already understood the best way to have a high income is to buy a property, but can a non-resident or a foreigner buy a property in Cambodia and make money?

Cambodia not only allows foreign investment, but also encourages them, perhaps more than anywhere else in Southeast Asia. Creating almost any type of business with 100 percent foreign ownership is easy.

An annual multiple entry visa costs $ 250 and is issued in a few days. Staying in Cambodia with a long-term visa is simple and cost-effective. For property buyers, foreigners may be entitled to own condominium apartments on their own behalf. The general consensus is that new condominium buildings are overrated.

You can often find the best deals in old apartment shops left over from colonial times. Land with development potential is also promising for active investors. However, for these two types of real estate, everything is becoming more difficult, since foreigners cannot directly own anything other than a condominium.

A land holding is more legally protected, but requires annual license fees and monthly tax returns. Profits can be worth the extra effort and expense if you buy property on a larger scale in Cambodia.

In addition to title rights, another feature on the Cambodian real estate market is the distinction between “hard rights” and “soft rights”. Both grant you the legal status of unconditional ownership and must belong to either a Cambodian person or a Cambodian company.

“Hard rights” are registered through the land registry of the national government and give property owners an undeniable right. Soft Rights are instead registered through the local government. “Soft”, at least theoretically, are not as iron as “hard.” In fact, more than 90 percent of real estate in Cambodia belong to “soft rights.” And they serve as legal, government-recognized proof of ownership. Soft are strong enough. Therefore, almost any local bank will accept them as collateral for a secured loan.

Most Cambodians even prefer soft-property because the transfer fee is much lower.

Not only this, but also the local government spends much less time processing information than the national government. Everything can be solved in a few days, not months – which makes life especially easy.

With that said, due diligence is a good idea. Real estate investors often hire a lawyer. To talk with neighbors, view the land registry. And make sure that the seller of real estate with “soft law” is truly the true owner and does not have burdens.

Source: adamfayed.com

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SOVANN
SOVANNExperienced
Asked: November 22, 2020In: Money

Why invest in Cambodia now?

As mentioned at the start of this article, the risks of investing in Cambodian property are too high for most people. But what are the arguments in favour of doing so? Well historically, countries at the crossroads of economic routes have ...Read more

As mentioned at the start of this article, the risks of investing in Cambodian property are too high for most people.

But what are the arguments in favour of doing so? Well historically, countries at the crossroads of economic routes have always been in a favorable position.

Cambodia is located at the crossroads of the economic flow of neighboring Thailand, and the developed trade through the Gulf of Thailand makes it a connecting country between fast-growing China and India.

Since 2004, Cambodia has been a member of the World Trade Organization (WTO) and the Association of Southeast Asian Nations (ASEAN). This provides privileged access to key markets in the USA, Korea and Europe.

Prime Minister Hun Sen has served in his post for over 30 years and retains significant support from a large network of business leaders in the region thanks to the strong economic growth of the Kingdom and its management of the national and military police.

Stable domestic policies influence the formation of a new middle class, which strives for urban centers. According to a study by Realestate.com.kh, in 2016, 79% of Cambodians expressed confidence in the purchase of real estate over the next several years.

Foreign agencies with a name on the real estate market have an important role in the urbanization process.

Therefore, the government is trying to create a stable favorable environment for foreign investors: 100% ownership of the company, except for land (rent for 99 years); creating incentives for investment; easy account opening and profit repatriation.

In addition to low land and labor prices, tax benefits, lower cost of living, investors are also attracted by the growing popularity of Cambodia as a tourist destination. Together with progressive urbanization, it raises the speed of infrastructure development to a new level.

Why is it important for real estate? The development of infrastructure in the conditions of the tourist flow multiplies development options in different directions and the emergence of new types of property and the improvement of existing ones: from the condominium to traditional Khmer wooden houses.

Along with nature, which makes the country a popular center for beach holidays, the rich cultural heritage of the Kingdom is also an enduring factor in attracting tourists.

The title of the world’s main tourist attraction, given in 2015 to the temples of the Angkor Wat Temples in Siem Reap (under the protection of UNESCO) caused a real tourist boom in Cambodia.

There are currently three operating international airports in Cambodia. The number of arrivals at the moment has already reached the figure of 5 million.

For neighboring Asian countries where gambling is prohibited, casinos are also particularly attractive. There are 60 of them in Cambodia.

Another 150 are planned to be built. Together with the development of various services for recreation and entertainment, this can earn Cambodia the status of the second Macau.

Options of investments.

What kinds of investments are available if you want to invest in Cambodia?

Long-term investment → Agriculture

If you have chosen a long-term investment strategy and want to create assets that will have value over the next 50 years, then you could look towards agriculture. Farming is widely supported by the government, so everyone wants to participate in this sector that is important for the country. In 2012, Cambodia received from China its FIRST order for the supply of rice. Jim Rogers argued that if you want to become rich, “become a Chinese farmer.” But even better, do not become a Chinese farmer and do not open your own business in a communist country, start an agricultural business and sell your rice to neighboring China. Cambodia is well positioned as an agricultural center in Southeast Asia. With the growth of economic development, an increase in population and middle class, Vietnam, China and Thailand need more food. In the 21st century, the general demand for food increased at times, but supply fell. Cambodia and Myanmar are strategically committed to running this business.

Short-term investments → Tourism

In the coming years, tourism on the southeast coast will develop rapidly, unless the coronavirus will change the equation for the long-term. The Thai tourist market is already very crowded, and in Cambodia there are pristine beaches that can compete with any Siamese. Cambodia’s annual tourism growth exceeded 10%. In 2011, 2.8 million tourists visited Cambodia, which is 12% more than in 2010 – 2.5 million. Compare this data with 15 million tourists who visited Thailand, with 55% of them were those who returned home. The authorities are confident that by 2014 the number of international tourists will increase to 4 million, and by 2020 – up to 7 million. Obviously, tourism is on the rise, and there are so many amazing desert beaches ready to use. Instead of spending your money in Phuket, why not invest it in opening your own Phuket. Foreigners cannot own land, but can buy apartments or other real estate. True, a passport is required for this.

Portfolio investments → Cambodian passports

In addition, if you have cash and you want to put it into business, then you should think about obtaining citizenship by investment. Now the average cost of citizenship is about $ 75,000, which is much more profitable than obtaining citizenship in the Dominican Republic – $ 95.00 (this is per person, and an additional $ 120,000 per family) or in Saint Kitts and Nevis (where this process is based real estate investment), where you pay over $ 500,000, including taxes. Among other things, a Cambodian passport will give you visa-free access to all ASEAN countries. Cambodia’s passport can be obtained without any problems through investing in the country. In many cases, this will be a slightly gray passport, so you need to be sure of the people you will contact.

Condominiums → Apartment investments

In recent years, the most profitable and reliable investment destination in Cambodia remains an apartment in a condominium. Condominiums are, as a rule, newly built high-rise buildings, fully equipped for housing. Condominium apartments are usually privately owned. The wide distribution of this type of housing gives freedom in choosing a district. From sleeping, far from tourist centres to the most streaming. However, there are concerns that the property market will collapse and that a bubble has been caused by the recent explosion in prices.

Source: adamfayed.com

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SOVANN
SOVANNExperienced
Asked: November 22, 2020In: Money

Why Is Cambodia The Best In The Region For Foreign Investment?

The answer is simple, it’s easy and it’s practical. Cambodia’s welcoming attitude towards foreigners is the selling point. This is the reason why foreigners from many countries choose to invest in Cambodia. The expat population is now approximately 150,000 and ...Read more

The answer is simple, it’s easy and it’s practical. Cambodia’s welcoming attitude towards foreigners is the selling point. This is the reason why foreigners from many countries choose to invest in Cambodia. The expat population is now approximately 150,000 and it will continually grow in the next few years.

Housing properties are cheap, the cost of living is low. The ease with which to open and own a business is easy. The government encourages and supports foreign investment. Key laws are created to benefit foreigners bringing in capital to the country. These are the reasons why Cambodia is the best country in Asia for foreign investments.

The country rose from a poor country to a middle-income economy in just a few years. The government supports the developments and the country is ready for the changes. With an economic outlook such as this, it is no wonder that Cambodia’s economy continues to thrive.

Source: southeastasiaglobe.com

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SOVANN
SOVANNExperienced
Asked: November 22, 2020In: Money

Can Foreigners Own Business Cambodia?

Can Foreigners Own Business Cambodia? It is absolutely yes. ...Read more

Can Foreigners Own Business Cambodia? It is absolutely yes.

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SOVANN
SOVANNExperienced
Asked: November 2, 2020In: Work

What’s it like to study in Cambodia?

Cambodia and Education 2018/19 This traditional education system was originally changed by the French occupation of Cambodia in 1863 before their eventual withdrawal in 1953. The French left a more formal, western style education system which was later developed and combined ...Read more

Cambodia and Education 2018/19

This traditional education system was originally changed by the French occupation of Cambodia in 1863 before their eventual withdrawal in 1953. The French left a more formal, western style education system which was later developed and combined with the traditional system to suit the Khmer people in the independence period circa 1960.

Private Tutoring in Cambodia

The Khmer Rouge and the civil wars that followed in the 1970’s would prove to be the most infamous and horrific time in Cambodia’s history. During this time a functional and productive education system that was the result of hundreds of years of fine tuning would be virtually destroyed much like the rest of the country and its people.

In the 1980’s and 1990’s the education system would be reconstructed from virtually zero and is gradually being developed and improved all the way up to the current day.

The formal education structure of Cambodia was reformed in 1996 and, at time of writing in 2018, there are many signs of improvement in the state and private education systems.

The State System

The state education system is made up of a 6 years + 3 years + 3 years program. This means that it takes 12 years to complete the Cambodian state education and divides up as 6 years spent at primary level (grade 1 to 6) and 6 years for secondary education (grade 7 to 12).

The secondary education consists of two stages of three years for lower (grade 7-9) and upper (grade 10-12) secondary school. This is currently the basic requirement in Cambodia does not include tertiary education at the kindergarten ages from between 3 and 9 years and university courses that vary from 4 to 6 years.

Two other important components of the Cambodian educational system is teacher training education. This allows graduated students that have successfully completed grade 12 to enroll on teaching training programs. The teacher training colleges and centres can be found both provincially and in the major Cambodian cities.&nbsp

The Private System

Currently, the educational system is run by the Cambodian state, but private education exists at all levels and is run by private companies. There are many private schools now offering pre-school education and general education programs, mainly in the cities but with an ever increasing presence in the provinces also.

Many of the privately run schools are often operated by ethnic and religious expatriates including Chinese, French, English and Vietnamese. Private higher education is accessible mainly in Phnom Penh and Siem Reap but it is also available in some of the provinces of Cambodia.

Cambodian general education is based on a national school curriculum that consists of two main parts: basic education and upper secondary education.

Related: How do you greet someone in Cambodia?

Primary Education

The basic education curriculum is divided into three cycles with three years in each. The first cycle (grade 1-3) consists of 27-30 lessons per week lasting 40 minutes which are allocated to the five main subjects; Khmer, maths, science and social studies, physical education and local life skills program.

The second cycle (grade 4-6) has the same number of lessons but is slightly different in the amount of time studied for each particular subject with more emphasis on Khmer, maths and social sciences.

Secondary Education

The third cycle (grade 7-9) consists of 32-35 lessons which are split between the 7 major subjects listed above with the addition of 4 lessons per week in a foreign language with a choice of English or French.

The upper secondary education curriculum consists of two different phases. The first phase (grade 10) is identical to the third cycle of primary education and the second phase (grade 11-12) has two main parts to the curriculum:

The compulsory phase involves four major subjects with different numbers of lessons divided between the subjects per week: Khmer literature, physical and health education, sports science, foreign language and basic or advanced mathematics.

The electives part includes three major subjects covering four or five sub-subjects with four lessons allocated per week for each one.

  • Science: Physics, Chemistry, Biology, Earth and Environmental Studies
  • Social Studies: Moral/Civics, History, Geography, Economics
  • ICT/Technology, Accounting Business Management, Local Vocational Technical Subject, Tourism and Arts Education

Tertiary Education

Despite Cambodia’s turbulent recent history, higher education is available at several universities and faculties. These include the Royal University of Phnom Phen, the Royal Agricultural University, the Royal University of Fine Arts, and various Faculties of Medicine, of Law and Economics, and of Business.

The Higher Technical Institute of Soviet-Khmer Friendship has been rebranded the Institute of Technology of Cambodia, while the Australian-funded Maharishi Vedic University functions in the far eastern Prey Veng Province.

The Royal University of Phnom Phen is Cambodia’s oldest university having been founded in 1960 by the Cambodian King with French money. It was reopened in 1998, and now approximately 4,000 students study Khmer literature, biology, chemistry, computer science, geography, mathematics, philosophy, psychology and sociology there.

The American University of Phnom Penh in Cambodia has partnered with the University of Arizona to offer Cambodian students a chance at a first-rate American style tertiary education. As of September 2016, students attending AUPP are now able to take courses from the University of Arizona and earn a dual degree from the two schools in undergraduate and master’s degrees in a range of subjects.

Education for Minority and Disability Peoples

As we now know, Cambodia has drastically improved overall access to basic education, however, many children who are from an ethnic minority or live with a disability may still have problems finding a school and staying in it. Breaking down these barriers of prejudice are core to Cambodia fully reforming its education system.

Cambodia has approximately 20 ethnic groups, the majority of whom live in Cambodia’s country’s isolated, mountainous northeastern provinces. Even when ethnic minority
children can attend school, language differences leave them severely lagging behind the rest of their class as few minority speak Khmer and similarly the teachers will not speak their family language.

Thankfully, education for children with disabilities is increasingly gaining attention in Cambodia and response by the government who are working to eliminate education inequalities.

The Future

The future is bright for Cambodia and its education system. More Cambodian children now regularly go to school than any other time in the country’s history. In addition, there is virtually no gender inequality in Cambodian schools with figures of 95.8 percent of boys and 94.6 percent of girls enrolling for school.

Related: What Is A Good Salary In Cambodia?

Traditionally, many Cambodian children would not receive secondary education as they would be needed for work on the family business or farm. As the country’s economy develops and attitudes towards education changes the numbers of children going to secondary school and university is increasing year on year.

However, the problem of children being taken out of school for work due to poverty is still a problem particularly in provincial and rural areas where schools may be poorly funded, staffed and far away from the family home.

To fix this requires a much greater investment in education – not only in vocational and higher education, but also at primary and secondary school.

The main goal is making sure all Cambodians have at least 10 years of formal education, forming the basic building block for a successful country economically, socially and artistically.

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