Investment assessment of the top ten projects with the most potential for development in Cambodia

Over the years, China has been the largest source of investment, the largest export market and the largest trading partner of Cambodia. The relationship between the two countries has been "partner + brother".

According to Cambodian statistics, China's cumulative investment in the agreement with Cambodia has exceeded 17 billion US dollars. The investment areas cover agriculture, infrastructure construction, hydropower stations, power transmission and distribution networks, tourism, aviation, telecommunications and the development of special economic zones.

The following is a brief introduction of ten investment projects of Cambodia's upward trend for preliminary reference only!

1. Cambodian Real Estate Profile

According to a report issued by the World Bank, Cambodia's economy has grown at an average annual rate of 7.7% in the past 20 years, ranking sixth in the world, and its GDP has grown at about 7% year-on-year for five consecutive years since 2011.

Cambodia's housing market has risen rapidly since 2012, with an annual growth rate of 10-20%. The growth rate of housing prices in some areas is even higher, especially in Phnom Penh, the capital, where real estate develops rapidly and prices soar.

According to the Research Report of Cambodia's urban development strategy, there are 4.5 million people living in Phnom Penh and other provincial and metropolitan cities in 2014, accounting for 27.1% of the national population. By 2030, the urban population of Cambodia will increase to 792,000, accounting for 44% of the national population.

The data show that in the 15 years from 2015 to 2030, Cambodian cities need at least 800,000 dwellings, that is, more than 50,000 dwellings per year. The development of urbanization directly promotes the growth of real estate demand.

Investment in Phnom Penh and Xigang Real Estate Advantages

(1) The supply-demand relationship of apartments is unbalanced, and supply is far less than demand;

(2) Phnom Penh rent is on the rise;

(3) Land prices in Phnom Penh continue to rise;

(4) Rich resources such as transportation, medical treatment, education and commerce;

(5) Good public order;

(6) The needs of the local people;

(7) International institutions have entered many international real estate enterprises;

(8) One of the youngest countries in the world with low labor costs;

(9) West Port is the only foreign trade and economic channel to overseas. Real estate investment is of high value and low cost.

Project docking

Industrial parks, pension real estate, row houses, Hotel villas, under construction acquisition, land and so on.

2. Cambodian Infrastructure Industry

Cambodia's recent plan is to build more roads from 2015 to 2019, with considerable investment prospects.

Apart from highways and railways, transportation facilities such as ports and airports, as well as the Internet, telecommunications, drinking water, sewage treatment, electricity, television and other fields have many investment opportunities.

Advantages and opportunities:

The growth of international investment, especially from the Asian Development Bank, has brought momentum to Cambodia's infrastructure development.

The cost of infrastructure construction in Cambodia is lower in Southeast Asia, and the return on investment is higher. Cambodia's tourism industry is relatively developed, which has stimulated the demand for infrastructure construction.

The lack of existing infrastructure indicates that Cambodia's infrastructure market has a lot of room for development. The Greater Mekong Development Plan has brought many new projects to Cambodia.

With its superior geographical position, it is an important road for transportation. Future transportation links will bring more opportunities for Cambodian infrastructure construction.

In order to achieve Cambodia's goal of receiving 8 million international tourists by 2020, the Ministry of Tourism of Cambodia is committed to developing projects related to the tourism industry, which will also bring opportunities to the infrastructure of the transportation industry.

Project introduction

(1) The 33Km expressway project (connecting Highway 4 to Highway 1) will alleviate traffic in Phnom Penh. A total of $500 million is needed to buy land and build roads. (Revenue from investment earned through maintenance of operating roads, operating for 35 years)

(2) Waste water treatment plant: Phnom Penh currently has no decent waste disposal site, the market demand is huge, the project needs a large amount of funds, imagine Chinese assistance, the Asian Investment Bank loan.

(At present, Cambodia's garbage and sewage treatment business is facing great opportunities for development. The revenue is collected from the government regularly during the operation period.)

(3) Island development: 15 kilometers away from the center of Xigang City, the island is 3 kilometers long, 20 kilometers coastline and 500 hectares. For mass or high-end tourism development, diesel and solar power can be used.

(Revenue brings considerable benefits through the construction of facilities in hotels and tourist attractions)

3. Cambodian Finance

With the rapid economic growth, Cambodia's financial industry is developing rapidly. Acquisition and equity injection have become a shortcut for foreign investors to enter Cambodian banking industry.

Investment advantage

(1) Cambodia has a high interest margin on bank deposits.

(2) Cambodia belongs to a "free financial port" and implements a policy of free exchange of foreign exchange.

(3) Fewer restrictions on foreign banks.

Financial projects: Acquisition of professional banks.

Source of Profit: (Loan business: Cambodia has a high interest margin between deposit and loan, with the exception of various expenses, the net income of bank loan business is about 20%.

Intermediary business: including handling fees, remittance fees, account opening fees, inquiry fees, deposit box rental fees, peer lending, acceptance bill discount interest income, trusteeship business, gold, futures, agency business.) Preliminary forecasts show that the project is expected to recover costs within three years and start profiting in the fourth year.

Project docking

According to Cambodia's national conditions, all officials at or above the ministerial level of the cabinet of bank and securities companies will hold about 10% of their stakes. In this way, they can win-win, which ensures security and obtain strong support within Cambodia.

4. General situation of mineral resources in Cambodia

At present, 91 enterprises in Cambodia enjoy the rights of exploitation and utilization of mineral resources, including 139 prospecting licenses and 13 mining licenses.

Both state-owned enterprises and foreign-funded enterprises in Cambodia can participate in the development of mineral resources in Cambodia

Cambodia's proven mineral resources include iron, manganese, coal, salt, phosphorus, precious stones, gold, silver, copper, lead, aluminum, tin, tungsten, marble and quartz sand.

Cambodia's mineral resources authority is the Ministry of Mineral Energy.

The Cambodian Mining Law stipulates that the government must license mining activities in Cambodia.

Manual mining license; mine and quarry mining license; Gemstone mining license; Exploration license; Industrial mining license

Investment prospect

There are abundant mineral resources, which are not universally explored. Mining infrastructure has begun to be built. Diamonds, gems, gold, jade and other jewelry are very popular in Cambodia.

According to the survey, Cambodia has high purity gold deposits, which are distributed in various provinces. Cambodia's Ruby production enjoys high reputation all over the world. At present, we also see that Cambodia has diamond and jade mineral resources, which are being further followed up.

5. Cambodia's Tourism Profile

Tourism is Cambodia's second pillar industry.

It accounts for more than 10% of GDP, and the contribution rate of related industries driven by tourism is close to 40%. It is one of the countries with the highest percentage of tourism in Asia.

According to Cambodia's Ministry of Tourism, if the country's goal of attracting 6 million visitors a year can be achieved, the capacity of supporting hotels will need to increase from 25,000 rooms at present to 70,000 rooms by 2020.

Domestic tourism resources are abundant.

Cambodia has developed more than 2,000 tourist attractions, including natural landscape, historical and cultural attractions, leisure and holiday resorts. Famous tourist attractions include Angkor, Lichi Mountain, Sihanoukvil Port, Donglisa Lake, Tashan, AngkorChumLake, Phnom Penh Palace, Mekong River Ecotourism Area and Cambodian Northeast Ecotourism Area.

Cambodian Tourism Policy Preference

The Cambodian government has implemented an open policy and no foreign exchange control. It encourages foreign companies to invest in the tourism industry in Cambodia.

The vast majority of countries in the world implements the policy of exempting or landing signatures, and simplifies the entry procedures at airports.

"Open Sky": There are 11 airlines flying directly to Phnom Penh and 5 companies flying directly to Siem Reap from abroad.

Investment prospect

Development of tourism facilities: Cambodia's transportation, hotel, catering and other infrastructure is not perfect, supporting services are not complete;

The Cambodian government has invested in Phnom Penh, Siem Reap and Sihanoukvil provinces, built and developed tourist areas, developed tourism facilities, and gradually improved transportation, catering and other tourism facilities. The market is huge.

Hotel room development potential is huge: the capital Phnom Penh, the coastal port of Sihanouk hotel room gross is seriously inadequate, although the traditional tourist city Siem Reap has a large number of hotels, but the increase of tourists is great, the development potential is still huge.

Project docking

(1) Siem Reap Eco-tourism Project in Cambodia: The development scope of the project is 3102 hectares, and 100 hectares (1500 mu) are mainly used for the comprehensive development of tourist areas. Water hotels, restaurants, shopping centers and other leisure and recreational shopping places will be built.

The remaining 3002 hectares are the original ecological mangrove wetland ecological protection area, which retains the original wetland appearance and the original ecological mangrove; it is proposed to invest US$100 million.

(Angkor Scenic Area in Siem Reap Province is Cambodia's most attractive tourist destination. More than 50% of tourists in Cambodia choose Siem Reap Province as their destination.)

(2) Water amusement park project - the construction of water amusement park covers an area of 180 hectares (38 kilometers away from Phnom Penh urban area, arriving by car in about an hour). The area is densely populated. There are railways beside the logistics terminal for the construction of water entertainment projects (tourism, water entertainment, swimming, agricultural products exhibition).

6. Agriculture in Cambodia

Agriculture is the first pillar of Cambodia's national economy, and attaching importance to agricultural development is the national policy of the Cambodian government.

Cambodia has more than 6 mu per capita arable land (4 mu per capita in the world and 1.2 mu per capita in China). There are about 6.7 million hectares of arable land available, and the cultivation rate is less than 40%. There are still 4 million hectares to be developed.

Investment advantage

(1) Good investment environment.

(2) Rich human resources and low labor costs.

(3) The value of land resources is high.

Advantage Agricultural Products

Pepper; Fruit; Rice; Vegetables; Seafood; Rubber and Cassava and other industrial raw materials; Livestock and poultry breeding; Agricultural investment

Project docking

(1) If we want to buy agricultural products, we will provide supply.

(2) If we want to contract for ourselves, we will provide land.

(3) To be a processing plant, we provide license site and transportation services.

7. Cambodian Chamber of Commerce

With the increasing demand for supermarket shopping in Phnom Penh, new supermarket items in Cambodia are increasing.

Although more and more shopping malls and supermarkets have begun to operate, they still can not meet the needs of domestic and foreign customers.

Investment prospects:

(1) Change in consumption patterns.

(2) Large supermarkets are in great demand.

(3) Entertainment consumption complex has great potential.

(4) There is a large space for the growth of shopping mall area.

As Cambodians have strong demand for renewal of household appliances and consumption of daily necessities, they have introduced China's high-quality and low-cost household appliances and daily necessities into Cambodia, and established a super brand to sell middle and high-end Chinese goods.

For example, Dazhang, Dennis and Fat East have introduced Chinese business super management concepts and business models to provide affordable and high-end enjoyable shopping experience at low prices and good services.

Competition with Japanese supermarkets is bound to quickly occupy the market and achieve unimaginable huge profits.

Project docking

We have already selected the core location of the city center. In addition, it provides resources and channels in brand building, product supply, marketing promotion, franchise agency and other business models.

8. Cambodian Medical Market

At present, Cambodia's medical and health situation is at a low level in Asia. Medical care can not meet the needs of medical development. Medical infrastructure is lagging behind. At present, the situation of Cambodian people's medical treatment is as follows:

1. Most ordinary people in Cambodia pay for better and trusted medical services in Thailand and Vietnam and other neighboring countries.

2. If it's a common cold or fever, people usually buy over-the-counter drugs at roadside drugstores.

Many Cambodians do not trust domestic medicines. People with a slightly more affluent economy use imported medicines. Therefore, Cambodian society relies heavily on foreign imported medicines, most of which are imported from neighboring countries such as India and China.

3. The lack of medical insurance in Cambodia has resulted in a large amount of income being spent on medical care.

Medical business opportunities

Governments and development partners from around the world are committed to improving health systems;

All hospitals and more than 1,000 medical centers in Cambodia are in urgent need of high-quality medicines, medical supplies and equipment.

The establishment of international and private hospitals and clinics has led to the demand for high-quality medicines and medical products.

Cambodia is the emerging pharmaceutical market in the future. Fifty-five percent of the pharmaceutical market is imported, and the local preference for foreign drugs is of great significance.

Cambodia's medical market is actively concerned about the introduction of foreign countries to increase medical market opportunities.

Docking project

Construction of large-scale international hospital and medical care hospital investment cooperation projects.

Large international hospitals will be built in Phnom Penh, Cambodia, including 500 beds of inpatient wards (currently 150-400 beds in major hospitals in Phnom Penh), which can accommodate 2,000 outpatient clinics and emergency centers per day.

The hospital is equipped with advanced inspection and treatment equipment, which is geared to the general public and provides all medical services such as internal medicine, surgery, gynecology and obstetrics, pediatrics and so on.

The adjacent high-level medical and health care hospitals provide high-level medical examination, outpatient service, hospitalization and other services, introduce the advanced medical and health care model of Chinese hospitals, and purchase international advanced equipment.

It can not only improve the medical and health level of Cambodia and its neighboring countries, benefit neighboring countries and people, and promote the social and economic development of Cambodia.

Total Income: Outpatient Income + Inpatient Income + Acute Medical Service + Specialized Services + Drug Income deducts the salary of all medical and nursing personnel (200-500 US dollars per month), welfare, medical equipment and operating costs.

9. Cambodian Leisure and Entertainment Industry

Cambodia has a low tax rate on tobacco and alcohol abroad, and the price of tobacco and alcohol consumption is much lower than that in China, which is also one of the important reasons for the popularity of KTV and nightclubs in Cambodia.

There are several main types of leisure and entertainment places in Phnom Penh: KTV, bar nightclubs, beer bars, saunas and so on.

Investment prospects:

1) The KTV entertainment facilities in Cambodia are poorly decorated, but the consumption is not cheap. 3-4 people consume the ordinary KTV in a night without special services, and the minimum cost is 500 dollars.

Cambodian KTV practitioners have low level of English, which is far from the quality of service in China.

KTV: For example, in Bottom Up Bar, Royal No. 1 (No. 105, 456 Road), casino NAGA, KTV is mainly Chinese customers: the routine is exactly the same as in China, room fee, wine fee, and tips. For the above three venues, tips generally range from $20 to $30.

(2) Bar nightclubs

There are no more than 5 famous and top-grade nightclubs in Phnom Penh. There is a strong demand for nightclubs customers. Every night, from 10:00 to 3:00 a.m., the nightclubs are hard to find and overcrowded. However, there are some shortcomings in the nightclubs: small space, light and sound DJ quality, and there is a huge gap compared with domestic ones.。

(3) Cafe

Southeast Asian people have the habit of drinking coffee. Large-scale coffee shop chains have developed rapidly in the past two years, including Starbucks.

Such global chains also have local brands such as Brown coffee; in the case of Amazon coffee, there are 70 in Phnom Penh alone, and a single cup of coffee costs $5, which is profitable.

(4) Children's playground

At present, Cambodia's playground is near Naga, and its scale is not comparable to that of the small playground in the third-tier cities in China. Phnom Penh playground is crowded every night and in great demand. Therefore, children's playground has great market potential in Cambodia. In addition, Internet cafes, SPA, fitness clubs, swimming pools and other projects also have great investment potential.

10. Overview of Cambodian Jewelry Industry and Investment Prospects

Cambodia has high-purity gold mines, diamonds, jade resources, diamonds, gems, gold, jade and other jewelry in Cambodia has a very good market, its ruby is world-renowned.

Cambodian Ruby prices have risen nearly 40 times in the past 20 years, with great potential for appreciation.

Cambodia has a very rare "Cambodian sunset ruby", which is 50 times rarer than diamonds, and the value of nail-cap-sized flawless rubies is as high as 250,000 dollars.

Other prices include emeralds, topaz and Sapphires at around $100-200 per carat, while rubies are the highest at $1-2000 per carat.

Cambodian Gem Resources and Origin

(1) Ruby origin - Bojiao, Pailinand Kiri provinces in the southwest.

Ruby mines in riverbeds and alluvial terraces in the Samlot mining area (22km south-east of Pailin) near the Thai border; Ruby mines in OTang Mountain (7km north-west of PailinTown) and Kongoap Mountain (6km north-west of Bailin Town); Ruby prices have risen nearly 10 times in 20 years, which also means Cambodian ruby. The appreciation potential is huge, and Bailin has become the national gem production center.

(2) Sapphire, Sapphire Origin - Sapphire Mine inRatanakiriProvince, Baying Iat (Yat) Mountains

(3) Sapphire Origin - KampongThomProvince

(4) Origin of topaz and grayish-white gemstones -TakéoProvince

(5) Zircon Origin -BattambangProvince

(6) Gold Mineral Areas - Northern Siem Reap, Pavisia and Ratanakiri Provinces

(7) Amethyst Origin - Amethyst is also found in Mesozoic rhyolite or granite fissures and crystal caves in StungTrengand KampongThom Provinces.

(8) Origin of Black Jade -KohKongand Preah Vihear Provinces

(9) Origin of marble - KampongSpeuand StungTrengProvinces

(10) Pyrophyllite Origin -PursatProvince