Concerns over the unfold of coronavirus have severely broken Cambodia’s economic system, with the nation’s necessary tourism, export, and development sectors particularly exhausting hit, the World Bank mentioned in a brand new report on Friday.
These three sectors collectively account for greater than 70 p.c of Cambodia’s financial progress and about 40 p.c of its paid employment, the World Bank mentioned in its newest financial replace for the Southeast Asian nation, Cambodia within the Time of COVID-19.
“As a result, [Cambodia’s] economy is expected to register its slowest growth since 1994, contracting by between -1 percent and -2.9 percent,” the World Bank mentioned, including that poverty amongst affected households might enhance between 3 to 11 proportion factors greater than within the years earlier than the virus unfold.
At least 1.76 million jobs in Cambodia at the moment are in danger, in accordance to the report.
“The global shock triggered by the COVID-19 pandemic has significantly impacted Cambodia’s economy,” Inguna Dobraja, Cambodia Country Manager for the World Bank mentioned, urging that insurance policies be shortly put in place in Cambodia to present financial aid and defend public well being.
“The World Bank is committed to helping Cambodia deal effectively with the COVID-19 crisis and strengthen the economy for recovery and future resilience,” Dobraja mentioned.
Cambodian Ministry of Economy spokesman Meas Soksensan mentioned that the easing of the COVID-19 pandemic will restore normalcy to the economic system, however that the federal government can also be taking measures of its personal.
“It is up to the government measures that we are implementing now through 2021 and 2022,” he mentioned.
“We will then find any possibility to see if we can inject more cash [into the economy], and if we don’t have enough resources we will look into debt,” Soksensan mentioned, including that he thinks Cambodia’s debt ranges are manageable.
To date, 124 circumstances of coronavirus an infection have been confirmed in Cambodia.
Reported by RFA’s Khmer Service.Translated by Samean Yun. Written in English by Richard Finney.