cellcard cellcard

Phnom Penh construction investment hits $1.3 billion

Chhut Bunthoeun / Khmer Times Share:
Phnom Penh’s ever-rising skyline continues to receive record investment. KT/Pann Rachana

Construction investment projects in Phnom Penh were recorded at more than $1.3 billion from January to May, officials said yesterday.

Speaking at a news conference, Phnom Penh municipal Department of Land Management, Urban Planning, Construction and Cadastre Director Sarin Vanna  said while many sectors globally are facing a serious downturn in their fortunes because of the knock-on effects of COVID-19, the Kingdom’s capital received a total 583 projects during the five months period.

He added that the investment projects occupied 2,821,317 square metres. He acknowledged that the construction sector is facing challenges because most of the projects are invested in by foreigners stuck abroad by the COVID-19 pandemic.

“Some construction projects are obstructed because COVID-19 travel remains in place and most of the projects are invested in by foreigners,” he said.

Also, the government last week decided to charge all foreign visitors for laboratory testing, medical treatment and accommodation under health measures to prevent a second wave of COVID-19 transmission in the country. Upon arrival, all foreign passengers are required to deposit $3,000 at the airport to pay for the virus prevention services. They can pay either in cash or through credit card.

Vanna noted that the capital currently boasts 1,292 high-rise buildings up to five floors. There are also 244 borey (landed-housing) projects across the capital.

The sector has enjoyed an impressive growth curve in recent years. According to official figures from the Municipal Land Management Urban Planning and construction, investment ran to around $11 billion in 2019, an increase of nearly 90 per cent on 2018’s amount of $5.5 billion.

Ly Hour, president of the Housing development Association of Cambodia, recently said that development of the residential projects is growing year-on-year, citing the Kingdom’s sound macro-economic performance.

“Residential development projects have remained in high demand in the market and it will see more in the future,” he said.

Previous Article

Non-garment sectors predicted to remain healthy next year

Next Article

Market Watch