The AFD operates in Cambodia since 1993.

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In Cambodia, the main target sectors for AFD intervention are agriculture, infrastructures, the productive sector and vocational training.

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The projects


1st Business Forum on textile, financed by AFD


On May 27th, 2009, nine international buyers met the representatives of twenty factories established in Cambodia, in the presence of His Excellency, the Minister of Commerce, Dr Cham Prasidh, and a group of development partners. This encounter, organized by the GMAC, the Garment Manufacturing Association of Cambodia, and financed by AFD through its Trade Capacity Building Program (PRCC), gave the opportunity to buyers and factory representatives to voice their concerns about the current economic turmoil and the ensuing drastic decrease in trade affecting the Cambodian textile industry.

Themes addressed frankly and openly ranged from “What does it take for investors to continue and expand their investment in Cambodia?” or “How can we encourage buyers to source more out of Cambodia?” to “What new strategies can the Government introduce to help the industry compete against other countries?” This meeting was a first of its kind in Cambodia, since it gathered buyers and factories to address crucial issues for the development of the sector, with the ministry of commerce lending an active ear to the debates.

It is in line with AFD’s strategy in the textile industry, and was deemed particularly appropriate in regards to the current economic crisis which has severely impacted the Cambodian textile industry. AFD is also supporting the development of this industry by working with the GMAC on a project of National Garment Training Institute and financing a pilot health insurance scheme. What’s more, this event also provided an answer to the current crisis by enhancing business relations between actors of the sector through one to one buyer-producer meetings during which new commercial transactions and partnerships were discussed.

Ariz : an answer to the crisis !


In developing countries, one of the main factors hindering development is the lack of access to finance. Moreover, the business environment, often unpredictable, deters commercial banks from lending to corporate clients other than the largest companies.

To enhance SME lending by banks, AFD has created the ARIZ guarantee mechanism which covers 50% of medium and long term loans extended to SMEs. Thus, this tool presents appropriate features to help weather the economic crisis affecting Cambodia.  

On the occasion of workshops focusing on how to tackle the current crisis (« Access to finance for SMEs », May 26th in Phnom Penh and “Aid for Trade”, May 29th in Siam Reap), attended by the Royal government of Cambodia, the private sector and various donors and development partners, AFD presented its intervention tools to respond to the crisis, among which the ARIZ guarantee. <More about Ariz>

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