Investment opportunities in Cambodia

Investment opportunities in Cambodia

Presented by Mrs. Tui Pakarat-RuttenManaging Director of Intra Mekong / President of

TBCC Date Aug 08, 2012.H/P: +66 81 839 2452 /+855 16 912 832

E-mail: [email protected]

www.tbcccambodia.org www.intra-mekong.com

mailto:[email protected]

Cambodia

Bangladesh

ThailandVietnam

LaosMyanmar

China

India

Malaysia

Indonesia

Singapore

Brunei

Sri Lanka

Philippines

Japan(JTEPA)

Afghanistan

Pakistan

Korea

ACMECS

GMS

IMT-GT/JDS

BIMSTEC

Regional Cooperation: GMSACMECS BIMSTEC IMT-GT/JDS

Yangon

Lao PDR

ChnaKunming

Danang

Gulf of Thailand

Andaman Sea

Vietbam

Myanmr

Bangkok

Chiang Rai

Trat – Koh Kong

Ho Chi Minh

Cambodia

Haiphong

India

Malaysia

Source: Dr. Jula Sukmanupwww.tbcccambodia.org www.intra-mekong.com

3

Thailand

Land area: 513 thou sq km

Population: 65.3 M

GDP per capita: US$2,727

Cambodia


Population: 13.8 M

GDP per capita: US$393

Myanmar


Population: 54.8 M


People’s Republic of China


Population: 93.8 M


(figures for Yunnan and

Guangxi only)

Viet Nam


Population: 83.1 M


Lao PDR


Population: 5.6 M

GDP per capita: US$491The GMS in 2005

Land area: 2.6 M sq km

Population: 316 M


The Greater Mekong Sub Region (GMS)


4

GMS Connectivity

Road Transport Network

2015

5

อาเซยีน ASEAN

ปี 2510

ปี 2510

ปี 2510

ปี 2510

ปี 2510ปี

2527

อาเซยีน 6

ปี 2540

ปี 2542

ปี 2540

ปี 2538

สมาชกิใหม ่CLMV

• ก่อต้ังเมื่อปี 2510 (1967) ครบรอบ 45 ปี (วนัท่ี 8 ส.ค. 2555)• จุดประสงค์เริม่แรก สรา้งความมัน่คง เพื่อต้านภัย–คกุคามคอมมวินิสต์สมาชกิ และปีท่ีเขา้เป็น

สมาชกิ

CAMBODIA PROFILE Land area : 181,035 sq.km. Population: 14.720 Million Labor force (young) :

7,053,398 (Female: 3,608,345) Population growth rate :

1.54% GDP (2011) : 6.5% GDP per capita in 2011 : $909 Inflation (2011) : 5.5% Exchange rate: USD 1= 4053

Riels


Economic Performance

2002 2003 2004 2005 2006 2007 2008 2009 2010

GDP per capita 331 356 402 468 534 623 738 731 830

Source: SNEC & MEF

Average growth for last 5 years is 10.3%


Cambodia Population Pyramid for 2010Predicted age and sex distribution for the year 2010


PopulationYear 2008 2009 2010e 2011e

Population 13,957 14,206 14,454 14,702

Unit : million

(%) 2010 2011e

GDP Growth 6.5% 7.2%

Inflation 3.6% 8.3%

Minimum wage in Cambodia

$45.62 – $50.69 / month

Source : Cambodia Outlook 2010


Reasons to invest in CambodiaClose to Thailand similar language and cultureOpen economyCompetitive Investment IncentivesOne Stop Service – Fast-Track Investment

Approval Process (28 days)Low Labor CostStrategic LocationPreferential Trading Status: MSN & GSP ( Most

Favors Nation Treatment MSN; Generalized System Preferences)

Access to ASEAN and World Markets


1. Hat Lek, Thailand/Koh Kong, Cambodia:(Cham Yeam Checkpoint) (Most direct access to Sihanoukville)

2. Chong Jom, Thailand/O'Smach, Oddar Meanchey, Cambodia3. Chong Sa Ngam, Thailand/Anlong Veng, Oddar Meanchey4. Ban Pakard, Chantaburi, Thailand/Phsar Prom Pailin, Cambodia (Prom

Checkpoint)5. Ban Laem, Chantaburi, Thailand/Daung Lem, Battambang, Cambodia

(Daung Checkpoint)



Rail Link in South East Asia


Southern LinePhnom Penh-Sihanoukville Port

264km

Southern LinePhnom Penh-Sihanoukville

Port264km


AH Routes in Thailand• AH1: Aranyaprathet-Hin Kong-Bang pa –in

(-Bangkok)-Mae Sot: 701 Km• AH2: Sa Dao-Hat Yai-Bangkok-Chiang Rai-

Tachilek: 1,913 Km• AH3: Chiang Kong -Chaing Rai: 117 Km• AH12:Nong Lhai-Udon Thani-Nakhon

Ratchasima-Hin Kong: 511 Km• AH13: Nakhon Sawan-Phitsanulok-Huai Kon

: 557 Km• AH15: Nakho Phanom-Udon Thani : 243 Km• AH16: Tak- Khon Kaen-Mukhdahan: 689 Km• AH18: Hat Yai-Sungai Kolok: 268 Km• AH19: Bangkok-Laem Chabang-Kabin Buri –

Nakhon Ratchasima: 458 Km• AH112: Klong Loy-Bang Saphan: 29 Km• AH121: Mukdaharn-Yasothon-Buriram –

Sakaeo: 421 Km• AH123: BongTi-Kanchanaburi-Nakhon

Pathom-Bangkok-Chonburi-Laem Chabang-Maptaput-Rayong-Trat-Hat Lek: 574 Km

• Total: 6,693 kmSource : DTN Thailand


Investment Incentives20% Corporate Tax

Tax holidays: Trigger period +3years+n; 6y <TH<9y

Full Import Duty Exemption

Repatriation of profit (withholding tax)

Reinvestment of earning (special depreciation)


Investment ProtectionThe Investment Law and Sub-decree contains a number of important guarantees for the investors:

Equal treatment of all investorsNo requirement of local equity participationNo price controls on products or servicesNo restriction on forex convertibilityFree remittance of foreign currencies abroad


Bilateral agreement on the promotion and protection of investments between the Kingdom of Cambodia and other countries

1. Australia2. Austria3. China4. Croatia5. Cuba6. Czech 7. France 8. Germany9. Indonesia10. Japan11. Kuwait12. Lao PDR

13. Malaysia14. Netherlands15. N. Korea16. OPEC17. Pakistan18. Philippine19. ROK20. Singapore21. Switzerland22. Thailand23. USA (OPIC)24. Vietnam


.

Phnom PenhThe Philippines

Singapore

Indonesia

MyanmarSouthern China

ManilaBangkok

Kunming

Yangon

Brunei

Jakarta

Begawan

Hanoi

Laoso Vientiane

CAMBODIA

Malaysia

Kuala Lumpur

ThailandVietnam

1h:30 in average

19


MFN/GSP Market Access Australia Austria Belarus Belgium Bulgaria Canada China Czech Republic Denmark Finland

Poland Portugal ROK Russian Federation Slovakia Spain Sweden Switzerland UK USA EBA (everything but

arms initiative for LDCs)

France Germany Hungary Ireland Italy N-Korea Luxemburg Japan Netherlands New Zealand Norway

… and the ASEAN integration Systemof Preferences (AISP) from the ASEAN 6

20

Encouraged Investment Activities

Agriculture and agro-industryTransport and telecommunications Energy and electricityLabor-intensive industries, processing and manufacturing;

TourismHuman resource developmentOil & Gas, Mining



Agro-business

Basic agrarian economyNatural endowments:

Abundant land Rich fishery resources

Organic cropsValue-added emphasis/ Food processingNew product development

22


Manufacturing & Export

Competitive labor costTax incentives

Market access Regional arrangement

23


Tourism

World Heritage Monuments

Open Sky Policy to Siem Reap

Natural beauty - Beach - Islands

Ability to attract “add-on” trips

Novelty value

24

25

Cambodia Tourism Destinations

Phnom Penh & Its Surroundings

Costal Area

Eco-Tourism Area

Siem Reap


SIEM REAP, World Heritage Site


SIEM REAP, World Heritage Site

Eco-Tourism in the NortheastThe Adventure of a life time…

Visitors to Cambodia

0

500

1,000

1,500

2,000

2,500

3,000

177 220 260 219 289368 466

604786 701

1055

1421

1700

20152161

2500

2882

Thousand (000)

Visitor arrival from 2010 - 2020

YEAR 2010 2011 2015 2020Visitor Arrivals 2,508,289 2,882,000 3,700,000 6,000,00029


รายการ หน่วย 2549 2550 2551 2552 2553 2554 2554/2553 อัตราการเพิม่(ลด)%

มูลค่าเงินลงทนุ

ล้านดอลลาร์สหรฐัฯ

207.7 480.7 259.9 149.0 172.8

507.3

+334.5 ล้าน USD

194 %จำานวน

โครงการโครงการ 99 130 101 100 102 148 +38 โครงการ

37 %

คณะกรรมการสง่เสรมิการลงทนุกัมพูชา (Cambodian Investment Board : CIB) ได้อนุมติัโครงการสง่เสรมิการลงทนุในกัมพูชา ตัง้แต่ปี พ.ศ. 2537 ถึงวนัท่ี 31 ธนัวาคม 2554 จำานวน 1,978 โครงการ มูลค่าเงินลงทนุ 8,978.0 ล้านดอลลารส์หรฐัฯ

การลงทนุท่ีได้รบัอนุมติัจาก CIB ปี 2549 – 2554

ท่ีมา : Cambodia Investment Boardในปี 2554 CIB อนุมติัโครงการลงทนุรวม 148 โครงการ เงินลงทนุ 507.3 ล้านดอลลารส์หรฐัฯ เมื่อเทียบกับปี 2553 พบวา่ อนุมติัเพิม่ 38 โครงการ หรอืเพิม่รอ้ยละ 37 และเงินลงทนุเพิม่ 334.5 ล้านดอลลารส์หรฐัฯ หรอืเพิม่รอ้ยละ 194

Approved Investments by Country/Region (1994- Nov 2011)

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000 C

hina

Hon

g K

ong

Taiw

an EU

Mal

aysi

a

USA

Kor

ea

Sing

apor

e

Thai

land

Japa

n

Vie

tnam

8,849

346823

3,625

2,609

1,282

4,016

636 746251 812


Approved Investments by Sector1994 – Nov 2011


Invest in Cambodia and you have 600 million consumers at your doorstep


What should we aware of investing in Cambodia?

1. How to choose the partner ?2. Law and Regulation3. Information4. Implementation of ASEAN FTA5. Exchange Rate and Inflation6. Government Services Tariff


Useful link

http://www.investincambodia.comhttp:// www.ccb.com.khhttp:// www.tbcccambodia.orghttp://www.asean.orghttp://www.affalog.nethttp://www.adb.org/GMS/Cross-Border/about.asphttp://www.adb.org/GMS/Economic-Corridorshttp://www.eastasiawatch.in.thhttp://upload.wikimedia.org/wikipedia/commons/2/21/Asian_Highways.pnghttp://www.unescap.org/ttdw/FFmeeting/FFForum_2010/7.pdfhttp://info.worldbank.org/etools/tradesurvey/mode1b.asp#moreinfohttp://www.nesdb.go.th


http://www.investincambodia.com/

http://www.ccb.com.kh/

http://www.tbcccambodia.org/

http://www.asean.org/

http://www.affalog.net/

http://www.adb.org/GMS/Cross-Border/about.asp

http://www.adb.org/GMS/Economic-Corridors

http://www.eastasiawatch.in.th/

http://upload.wikimedia.org/wikipedia/commons/2/21/Asian_Highways.png

http://www.unescap.org/ttdw/FFmeeting/FFForum_2010/7.pdf

http://info.worldbank.org/etools/tradesurvey/mode1b.asp

http://www.nesdb.go.th/


THANK YOUSO MUCH

FOR YOUR ATTENTION

Presented by Mrs. Tui Pakarat-RuttenDate: 08-Aug-2012

Managing Director of Intra Mekong / President of TBCCH/P: +66 81 839 2452

E-mail: [email protected]


mailto:[email protected]

Documents

Investment opportunities in Cambodia