28-05-2025
Cambodia cuts GDP growth projection to 5.2% for 2025, 5% for 2026
Cambodia has cut its gross domestic product (GDP) growth projection to around 5.2 per cent for this year and to 5 per cent for the next from over 6 per cent earlier due to the anticipated impact of US trade tariffs.
Before the tariffs were announced, the growth projection stood at around 6.3 per cent for both 2025 and 2026 and around 6.5 per cent for the medium term (2027-2028).
'The decrease is due to the expected impact of reciprocal tariffs policy on export-serving sectors,' according to a recent report on the 'Budget Strategy Plan 2026-2028 and the Preparation of the Finance Management Bill for 2026'.
Cambodia has cut its GDP growth projection to around 5.2 per cent for this year and to 5 per cent for the next from over 6 per cent earlier due to the anticipated impact of US trade tariffs. If the external situations worsen and the talks with the US do not yield expected results, the growth will further decline, a government report noted. The first round of talks with the US recently got over.
If the external situations worsen and the talks with the United States do not yield expected results, the growth will further decline, the report noted.
The ad hoc Cambodia-US bilateral relations coordination working group led by Deputy Prime Minister Sun Chanthol recently wrapped the first round of talks with the United States, a domestic media outlet reported.
Fibre2Fashion News Desk (DS)
