Cambodia is taking another decisive step toward a more inclusive economy with the launch of a new National Financial Inclusion Strategy for 2026 to 2030, led by the National Bank of Cambodia in collaboration with the Asian Development Bank and the UN Capital Development Fund. Announced in Phnom Penh on April 23, the strategy signals a clear commitment to making financial services more accessible, practical, and resilient for people and businesses across the country, reinforcing Cambodia’s broader economic ambitions.

Building on Progress and National Priorities

Officials highlighted that this updated strategy is not starting from scratch but building on meaningful progress made in recent years. During a technical working group meeting, leaders emphasized that the new framework aligns closely with Cambodia’s long term development direction, including the government’s Pentagonal Strategy and its financial sector development roadmap for 2025 to 2030. Deputy Governor Yem Lat noted that the initiative reflects both continuity and ambition, aiming to deepen the impact of earlier reforms while adapting to new economic realities and opportunities.

Five Key Pillars to Drive Inclusion

At the heart of the strategy is a focused framework built around five priority areas designed to address gaps and unlock growth. These include advancing financial inclusion for women, expanding digital financial services, strengthening financial literacy and consumer protection, promoting sustainable finance, and ensuring better access for persons with disabilities. To turn these priorities into real outcomes, dedicated technical working groups will bring together government institutions, private sector players, non governmental organizations, and development partners in a coordinated effort.

Expanding Access for Growth and Resilience

The broader goal is clear: ensure that households and businesses can access the right financial tools to support their growth and stability. Cambodia has already seen encouraging results from its first financial inclusion strategy launched in 2019, which increased the use of formal financial services from 59 percent to 70 percent and helped narrow the gender gap. With this new phase, the central bank aims to build on that momentum, further strengthening financial inclusion while improving the overall financial well being of its citizens.

Conclusion

Cambodia’s new National Financial Inclusion Strategy represents a forward looking approach to economic development, one that prioritizes access, equity, and sustainability. By focusing on practical solutions and collaborative implementation, the country is positioning itself to create a more inclusive financial ecosystem that supports long term growth and resilience for all segments of society.

At a high level meeting led by Hun Manet, the Royal Government gathered senior officials at the Peace Palace in Phnom Penh to take a close look at several major policy priorities shaping the country’s economic direction.

The session brought together top leadership from across ministries to evaluate progress and refine strategies aimed at reinforcing economic resilience while keeping Cambodia on track toward long term development goals.

According to an official statement, the discussions centered on strengthening fiscal discipline, improving how public funds are invested, and expanding support systems for Cambodian workers returning from overseas.

Strengthening Public Finance for Long Term Growth

A major focus of the meeting was the Draft Medium Term Public Finance Framework for 2027 to 2029, a strategic roadmap designed to ensure that Cambodia’s financial management remains stable and forward looking.

The framework outlines how government spending and revenue policies can better align with national priorities while maintaining macroeconomic stability. It emphasizes smarter budget allocation, clearer fiscal rules, and a stronger link between public spending and development outcomes.

The broader ambition is to support sustained economic growth and guide Cambodia toward its long term vision of becoming a high income nation by 2050.

Improving Public Investment Efficiency

Another key agenda item was the Draft Three Year Public Investment Programme for 2027 to 2029, which serves as a rolling plan to track and manage high priority development projects across ministries. This framework is designed to ensure that infrastructure and public investment projects deliver maximum value and align closely with national strategies such as the Pentagon Strategy Phase One and the National Development Strategic Plan.

By improving oversight and coordination, the government aims to make public investment more efficient and impactful, while also feeding into the preparation of future national budgets, including the Draft Law on Finance Management 2026.

Supporting Returning Migrant Workers

The council also reviewed ongoing efforts to support Cambodian workers returning from Thailand, particularly in response to the surge in returns during border tensions in 2025. With nearly one million workers coming back home, the government has been working to ensure they can reintegrate smoothly into local communities.

Key measures include job placement support, access to social protection, and initiatives to stabilize livelihoods.

These efforts are led in part by the Ministry of Labour and Vocational Training, which has accelerated programs to match returning workers with domestic job opportunities and meet growing labor demand within the country.

Coordinated Governance and Policy Reform

The meeting highlighted a strong emphasis on coordination across government institutions, with participation from deputy prime ministers, senior ministers, and other high level officials. This collaborative approach reflects a broader commitment to effective governance, policy alignment, and reform implementation.

By bringing multiple stakeholders together, the government aims to ensure that policy decisions are cohesive and responsive to evolving economic and social conditions.

Expanding Focus to National Security and Humanitarian Goals

Beyond economic policy, the council also examined several important draft laws and national strategies. These included the Draft Law on Military Conscription, aimed at strengthening national defense capabilities and ensuring readiness to meet security challenges.

In addition, the Draft National Mine Action Policy for 2026 to 2035 was reviewed, reaffirming Cambodia’s ongoing commitment to clearing landmines and unexploded ordnance while supporting communities affected by decades of conflict.

Conclusion

The latest Council of Ministers meeting underscores Cambodia’s proactive approach to managing its economic future while addressing social and security priorities. By tightening public finance strategies, improving investment efficiency, and supporting vulnerable groups such as returning migrant workers, the government is laying the groundwork for more resilient and inclusive growth.

At the same time, continued attention to national defense and humanitarian efforts reflects a balanced strategy that goes beyond economics, positioning Cambodia for stable and sustainable progress in the years ahead.

During a sideline meeting on the opening day of the “2+2” strategic dialogue between Cambodia and China, Prime Minister Hun Manet reaffirmed the Kingdom’s long standing commitment to its relationship with China. Meeting with Wang Yi and Dong Jun in Peace Palace on April 22, he highlighted how ties between the two nations have reached a new level of depth and trust. Cambodia views this relationship as a foundation for continued cooperation and shared development in the years ahead.

Building a Community with a Shared Future

The discussions underscored a growing sense of unity between the two countries, with both sides recognizing the emergence of a Cambodia China community built on mutual interests. China described the relationship as strong and enduring, emphasizing that it reflects a shared vision for the future. The meeting also reinforced the idea that cooperation goes beyond diplomacy and extends into long term strategic alignment across multiple sectors.

Commitment to Core Principles and National Development

Hun Manet reiterated Cambodia’s firm adherence to the One China Principle while expressing appreciation for China’s ongoing support in advancing the country’s socio economic progress. He acknowledged the role China has played in improving livelihoods and contributing to national development. The Prime Minister also noted that both nations continue to strengthen their status as comprehensive strategic partners and iron clad friends, working together to build a closer and more integrated partnership.

Regional Stability and Peaceful Dialogue

In addition to bilateral ties, Hun Manet provided updates on the situation along the Cambodia Thailand border, reaffirming Cambodia’s commitment to resolving any issues peacefully. He emphasized that all efforts would be guided by international law and existing agreements between Cambodia and Thailand. This approach reflects Cambodia’s broader stance on maintaining regional stability through dialogue and cooperation rather than conflict.

Expanding Cooperation Across Key Sectors

Both sides explored opportunities to deepen collaboration across a wide range of sectors including politics, trade, investment, national defence, clean energy, infrastructure, and agriculture. They also discussed strengthening coordination within regional and international frameworks, signaling a shared ambition to play a more active role on the global stage. The “2+2” strategic dialogue itself marks a significant step in aligning foreign policy and defence priorities between the two countries.

From Agreements to Action

The foundation for this growing partnership was further strengthened following the visit of Xi Jinping to Cambodia in April 2025. During that visit, both countries signed 37 agreements and agreed to establish the “2+2” strategic dialogue mechanism. This framework now serves as a platform to translate commitments into concrete actions, ensuring that cooperation continues to deliver real benefits for both nations.

Conclusion

The latest meeting highlights how Cambodia and China are moving beyond traditional diplomacy toward a deeper, more strategic partnership. With strong political trust, expanding economic cooperation, and a shared vision for the future, both countries are positioning themselves for sustained collaboration. As the “2+2” dialogue evolves, it is likely to play a central role in shaping regional dynamics and strengthening Cambodia’s development trajectory.

Record Support to Tackle Uncertainty

The Asian Development Bank has stepped up its role across Asia and the Pacific, committing 29.3 billion US dollars from its own resources in 2025. The announcement, made in Manila through its latest annual report, highlights how the institution is responding to a rapidly changing global environment by helping countries manage risks while unlocking new opportunities. The scale of support reflects a clear push to strengthen resilience, drive development, and support long term economic stability across the region.

Stronger Impact with Expanded Financing

ADB President Masato Kanda emphasized the significance of this milestone, noting the bank delivered unprecedented levels of support during the year.

This marks a 20 percent increase compared to 2024, signaling a major expansion in financing capacity and outreach. The expected outcomes are substantial, with more than 3.3 million jobs projected to be created and over 180 million people set to benefit from these initiatives. This demonstrates how financial commitments are being translated into real economic and social impact across member countries.

Diverse Financing Channels Drive Development

The 29.3 billion US dollars in commitments includes a wide mix of financial tools such as loans, grants, equity investments, guarantees, and technical assistance. These efforts were further strengthened by an additional 14.7 billion US dollars mobilized from development partners. A strong emphasis was placed on private sector development, which received 5.5 billion US dollars, reflecting the bank’s strategy to stimulate business growth and investment. At the same time, about half of public sector financing was directed toward infrastructure and reform programs designed to unlock further investment and improve economic efficiency.

Regional Allocation Highlights Strategic Focus

ADB’s funding was carefully distributed across regions to address specific development needs and priorities. South Asia received the largest share, followed closely by Southeast Asia and Central and West Asia. East Asia and the Pacific also benefited from targeted support, alongside funding for regional cooperation projects. The allocation can be summarized as follows for clarity:

1. South Asia received 9.7 billion US dollars
2. Southeast Asia received 9 billion US dollars
3. Central and West Asia received 8.3 billion US dollars
4. East Asia received 1.4 billion US dollars
5. Pacific received 680 million US dollars
6. Regional projects received 302 million US dollars

Key sectors funded include finance, transport, and public sector management, all of which play a central role in driving sustainable growth and improving governance.

Reforms Strengthen Future Capacity

Beyond financing, ADB made significant progress in institutional reform during 2025. One of the most notable changes was an amendment to its charter that removes lending limits, allowing the bank to increase its financing capacity by up to 50 percent. Additional reforms include an updated energy policy aimed at improving access and strengthening energy security, as well as streamlined procurement processes to accelerate project delivery. The bank also introduced a new approach to support critical minerals value chains, recognizing their importance in renewable energy and digital technologies. These reforms position ADB to respond more effectively to evolving development challenges in the years ahead.

Conclusion

ADB’s 29.3 billion US dollar commitment in 2025 reflects more than just financial scale. It signals a strategic shift toward greater flexibility, stronger partnerships, and deeper impact across Asia and the Pacific. With expanded funding, targeted sector support, and meaningful institutional reforms, the bank is reinforcing its role as a key driver of regional development. As countries continue to navigate uncertainty, ADB’s approach offers a clear pathway to transform challenges into long term opportunities.

Cambodia Pushes for Stronger Economic Cooperation with Canada

Cambodia is preparing to deepen its cooperation with Canada across multiple sectors, with a strong focus on trade and economic development. Prime Minister Hun Manet confirmed the plan during a meeting with Canadian Ambassador Christian DesRoches at the Peace Palace on April 20. The discussions highlighted both countries’ shared commitment to strengthening bilateral and multilateral relations, especially in areas that can drive long term economic growth.

Long Standing Relations and Growing Investment

During the meeting, Ambassador DesRoches praised the long history of diplomatic ties between Cambodia and Canada, noting steady progress in trade relations and increasing Canadian investment in the Kingdom. He reaffirmed Canada’s commitment to expanding cooperation with Cambodia, particularly in the economic sector. The ambassador also expressed strong support for Cambodia’s role as host of the upcoming 20th Francophonie Summit, confirming that Canada will send a high level delegation to participate.

Support for Regional Trade and ASEAN Cooperation

Canada also acknowledged Cambodia’s role in advancing regional economic integration. DesRoches thanked the Cambodian government for its support in promoting Canada ASEAN economic cooperation and for helping move forward negotiations on the ASEAN–Canada Free Trade Agreement, known as ACFTA. Both sides expect the agreement to be finalized and signed in the near future, which could further open trade opportunities between Canada and Southeast Asia.

Cambodia’s Strategy to Boost Trade and Investment

Prime Minister Hun Manet expressed confidence that bilateral relations will continue to strengthen under the current diplomatic leadership. He also thanked Canada for its contributions to Cambodia’s peace building process and long term development efforts. To further support trade expansion, the Cambodian government has instructed the Ministry of Commerce and the Cambodia Chamber of Commerce to establish a representative office in Canada. This office will act as a bridge to promote business connections and attract more investment opportunities between the two countries.

Trade Performance and Market Trends

According to the General Department of Customs and Excise, trade between Cambodia and Canada continues to grow steadily.

2025 total trade reached 1.33 billion US dollars
Cambodian exports to Canada reached 1.27 billion US dollars
Imports from Canada stood at 63.41 million US dollars

In the first quarter of 2026, trade maintained positive momentum with total exchange reaching 297.05 million US dollars. Exports slightly declined to 277.73 million US dollars, while imports from Canada increased sharply to 19.32 million US dollars, reflecting growing demand for Canadian goods in Cambodia.

Key Export Sectors and Business Outlook

Cambodia’s exports to Canada are largely driven by garments, travel goods, footwear, bicycles, and electronic components. In return, Cambodia imports electronics, vehicles, and other industrial products from Canada. Cambodia Chamber of Commerce vice president Lim Heng noted that Canada remains a key market for Cambodian manufacturing industries. He added that if global economic conditions improve and tourism demand rises, export orders are expected to increase further, strengthening the overall trade relationship.

Conclusion

Cambodia and Canada are clearly moving toward a deeper and more strategic economic partnership. With strong diplomatic engagement, rising trade volumes, and new institutional support such as a Cambodian representative office in Canada, both countries are laying the groundwork for expanded investment and stronger market access. The expected finalization of the ASEAN–Canada Free Trade Agreement could further accelerate this growth, making the partnership even more important in the years ahead.