Cambodia’s thriving investment landscape, characterized by a stable political climate, robust economic growth, and a favorable investment environment, has become a beacon for international business expansion. The country’s unique economic and cultural milieu offers invaluable insights and opportunities, particularly for German and European companies looking to broaden their business horizons.
In a significant move to explore these diverse market landscapes, AHK Vietnam, in partnership with the German Business Association (GBA), organized a three-day delegation trip to Phnom Penh from May 9 to 11. The delegation, comprising 20 representatives from GBA members and German companies based in Vietnam, underscores the burgeoning interest in the region.
Phnom Penh, Cambodia – May 9, 2024
MEETING WITH MINISTER OF COMMERCE OF CAMBODIA H.E. MRS. CHAM NIMUL
The highlight of the trip was the strategic conference held on May 9, where the German delegation, led by GBA Vietnam Chairman Mr. Alexander Ziehe and Chief Representative of AHK Vietnam Mr. Peter Kompalla together with the German Ambassador to Cambodia H.E. Stefan Messerer and EuroCham Chairman Mr. Tassilo Brinzer, had the honor of meeting with Cambodia’s Minister of Commerce and other high-ranking officials.
The discussions focused on identifying industries with rising interest and activities, government’s focus sectors, and plans to enhance trade infrastructure between Vietnam and Cambodia to support further business activities in the region.
H.E. Mrs. CHAM Nimul highlighted Cambodia’s bright future, emphasizing its commitment to attracting German business through digital transformation.
Mr. Ziehe remarked, “Our first delegation to Cambodia, co-organized with the AHK regional team, marks a milestone in supporting our members to create new business opportunities, using Vietnam as a base for international expansion. The proximity to Vietnam and the development potentials in Cambodia provide a solid foundation for market expansion and supply chain extension.”
He further added, “The cross-border activities already present among our community, and the firsthand experiences shared during this delegation, have allowed our attending GBA members to diversify and grow their businesses.”
Mr. Kompalla echoed these sentiments, affirming the successful cooperation between AHK Vietnam and GBA. He highlighted the delegation’s role in setting a strong example for our strategy to leverage partnerships among the German business community in the region.
The delegation’s visit to Cambodia serves as a testament to the strong ties and mutual interests between the two nations, paving the way for a future of collaborative growth and prosperity.
BUILDING NEW BRIDGES AT THE EUROPE DAY IN CAMBODIA WITH THE GBA / AHK DELEGATION
On Thursday, 9 May, the German delegation in Cambodia, led by GBA Chairman Mr. Alexander Ziehe and Chief Representative of AHK Vietnam Mr. Peter Kompalla, was graced with the honor of attending a dinner reception hosted by the German Ambassador, H.E. Stefan Messerer, followed by the Europe Day reception at the residence of the EU Delegation’s Ambassador, H.E. Igor Driesmans.
This day was not just a celebration of Europe Day; it enabled also our members from Vietnam to build cross border business ties with the European community in Cambodia. As we gathered in Phnom Penh, the air was filled with a sense of unity and dedication. It was a fantastic Europe Day celebration that went beyond festivities. At the end of the day, we recognize that relationships grow stronger across borders and organizations.
We extend our heartfelt appreciation to German Ambassador H.E. Stefan Messerer and the entire Europe Team in Cambodia for their warm hospitality and support to extend our business opportunities from Vietnam to Cambodia.
Phnom Penh, Cambodia – May 10, 2024
GERMAN DELEGATION EXPRESSES OPTIMISM FOR BUSINESS EXPANSION AND INVESTMENT IN CAMBODIA
Following a fruitful dialogue with Cambodia’s Commerce Minister, the German delegation from GBA & AHK Vietnam engaged in a pivotal meeting with H.E. Nuth Un Vanra, Deputy Secretary General of the Investment Committee of Cambodia and other officers. The delegation received a warm welcome at the Council for the Development of Cambodia (CDC) on May 10, 2024.
The primary focus of the delegation was to explore plans related to trade infrastructure between Vietnam and Cambodia, gaining further insights into the country’s social, economic, and developmental potential.
During their visit, the Deputy Secretary-General provided valuable insights into Cambodia’s macroeconomic situation, investment laws and sub-decrees, priority sectors, investment incentives, registration and facilitation processes, development of special economic zones (SEZs), infrastructure projects, and key logistics. The CDC’s commitment to supporting investors was also emphasized.
GBA Chairman, Mr. Alexander Ziehe, and AHK Vietnam Chief Representative, Mr. Peter Kompalla, expressed optimism about strengthening and expanding their business network while actively seeking additional investment opportunities in Cambodia. They appreciated the chance to comprehend the leadership structure and pivotal role of the CDC, as well as the current investment climate and prospects in the country.
The delegation showed particular interest in investment projects related to construction, tourism, water supply, recycling, information technology, green investment, and industrial development in Cambodia.
Additionally, the delegation explored the Phnom Penh Special Economic Zone (PPSEZ) and gained valuable insights from best practices exemplified by the Textile, Apparel, Footwear & Travel Goods Association (TAFTAC) and the Adidas supplier Factory (PPSEC Ltd). They also engaged with key economic player World Bridge Group.
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Cambodia’s economy has demonstrated remarkable improvement, with industrial production contributing to a 5.4% GDP growth in 2023. The World Bank predicts an optimistic 6% GDP growth for 2024. The CDC played a pivotal role in this progress, having established a transparent legal framework through the Law on Investment (LoI) in 2021. This framework provides one-stop services, long-term tax holidays, and incentives for Qualified Investment Projects.
Find the Handbook on Investing in Cambodia [2023 Edition] here>>>
Learn more on the Special Briefing: Law on Investment in Cambodia here>>>
FIND THE FULL PHOTO ALBUM HERE>>>
As the Delegation of German Industry and Commerce in the CLMV region, including Cambodia, AHK brings unparalleled expertise in navigating Cambodia’s market landscape (available information on website). While the GBA and EuroCham Cambodia serve as on-site partners for businesses, fostering vital cross-border connections, AHK distinguishes itself by offering deep insights into Cambodia’s market dynamics. For those seeking to tap into this knowledge, reaching out to Fiona Thu email or Vu Hong Thuy email from the Regional Management Team is a wise move. Their comprehensive understanding of local nuances ensures that German businesses can deftly navigate the Cambodian market, thus streamlining the transition process for companies expanding from Germany or Vietnam into this vibrant country.
A big thank you to Terraverde Travel for handling our trip’s logistics in Cambodia, which played a crucial role in making the trip a resounding success. Terraverde Travel is one of Asia’s premier family-owned Destination Management Companies with 20 years in crafting journeys. They are passionate about responsible travel and offer unique, off-the-beaten-track destinations. Visit their website.