Cambodia

Present in Cambodia since 1993, AFD is supporting the country in its territorial, ecological and social transition, whilst facilitating its integration into ASEAN. Half of our projects in Cambodia are being implemented via partnerships with other donors.
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Couple in front of their house, Cambodia
AFD AND CAMBODIA: SUPPORTING TERRITORIAL, ECOLOGICAL AND SOCIAL TRANSITION
rice producers, Cambodia, development

Guaranteeing access to basic services

irrigation program, Cambodia, development

Guaranteeing access to basic services

In a country where urban growth is very high and population dynamics mean there is a need to create large numbers of jobs, internal stability and social harmony require the restoration of a balance between all the country's territories. This involves public investment to provide access to basic services for all the population, whilst concentrating efforts on disadvantaged social groups (rural population, women, ethnic minorities).

AFD is supporting investments in infrastructure and economic projects (electricity, water, sanitation, irrigation systems) which concern both urban centres and rural areas. Another issue is to reinforce physical connectivity (transport infrastructure, markets, training centres, etc.) and virtual connectivity (information, tertiary services and so on). 

Promoting sustainable, planned urbanisation

Phnom Penh, Cambodia

Promoting sustainable, planned urbanisation

Cambodia's cities, and first and foremost the capital Phnom Penh, which already accounts for over 10% of the total population, are struggling to cope with the influx of migrants from rural areas: the country's urban population is expected to double by 2030 and by then the cities should be generating 70% of Cambodian GDP, compared to 50% today.

AFD's expertise in urban planning is recognised and its actions in the urban development sector are high profile: drinking water (through support for the Phnom Penh water authority), refurbishment of Phnom Penh's central market, drainage of Siem Reap, heritage promotion, etc.

Armed with this experience, AFD continues to focus on sustainable urban development projects through the funding of public amenities, communal services and urban public spaces targeting individual mobility, sanitation and drainage, waste management, restoration of remarkable buildings as well as public transport.

Managing water resources and adapting to climate change

Tap water

Managing water resources and adapting to climate change

Cambodia is reputed to be a country where water resources are plentiful. The uses of this water are multiple: hydro-electricity, drinking water, irrigation, fish farming, cultural heritage, etc. Its resources are under threat today from climate change, however. Adapting to the effects of climate change will require efficient management of all the country's water resources, both underground and surface water.

To address this challenge, AFD is supporting public investment in water resource management, through:

  • a support programme approach to national irrigation policy focused on the infrastructure and social management components in order to develop the areas irrigated and preks (irrigation channels), and to promote agricultural diversification;
  • a national development project for the aquaculture sector, fishery products being the main source of animal protein consumed in Cambodia;
  • watershed-based dynamic monitoring of water and fishery resources.

Promoting renewable energies and energy efficiency

our fields of action, electricity, Vietnam

Promoting renewable energies and energy efficiency

As for energy, Cambodia is still dependent on imports from neighbouring countries for almost 50% of its power. National production comes virtually half and half from fossil fuels (coal) and hydro-electric dams. The main obstacle identified for and by investors is the cost of energy. Reducing its cost has become a stated priority in the country's industrial development policy.

Boosted by its first experiences in this area and in order to give substance to the national commitments, AFD is supporting projects on both the supply (modernisation of the grid, increasing power generation capacity based on renewable energies) and demand (energy efficiency) sides of the power issue.

Reinforcing human capital and social inclusion

rubber producer, Cambodia, development

Reinforcing human capital and social inclusion

As a result of its very particular recent history, Cambodia is forced to invest massively and urgently in its human capital, targeting the younger generations especially. AFD is supporting the government on its priorities in terms of social inclusion, which concern:

  • water and electricity supplies, prioritising rural regions;
  • vocational training to adapt the workforce to the needs of the labour market and to tackle the demographic challenge. The Technical and Vocational Education and Training Sector Development Program project, cofunded with the Asian Development Bank, aims to improve access to vocational education, raise the quality of the training available and its relevance to companies' needs
  • the implementation of the national social protection strategy with the aim of setting up a compulsory sickness and retirement insurance scheme for both the formal and the informal sectors.
120
projects financed
566
million euros committed since 1993
100
million euros committed every year

The Kingdom of Cambodia, a country in Southeast Asia, has a population of about 15.8 million, with about 80% living in rural areas. The country is experiencing particularly dynamic economic growth: over the last two decades, this has varied around the 8% mark, one of the highest rates in the world. This momentum has been accompanied by a significant reduction in the level of poverty, which fell from 45% to 17% between 2004 and 2012.

Cambodia has opted for a resolutely open economic policy, one of integration into the world economy. But the foundations on which this growth are built remain fragile: infrastructures (transport, water, electricity) are not extensive enough and the economy not sufficiently diversified. The country nevertheless has high value-added potential: tourism, the textile and agrifood industries.

A partner of Cambodia since 1993, AFD supports the country by focusing on two key structural areas: the promotion of balanced regional development and support for business, industry and trade focused on the environmental and social aspects. To do this, it is able to draw on a wide range of tools: sovereign and non-sovereign subsidised loans, guarantees, European grants and funding through delegation of funds arrangements.

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Cambodia

In Cambodia, irrigation helps farmers weather climate change

It’s mid-November and the rice fields in Khvaek village are in full bloom. Fat, golden grains droop from their green stalks. Any day now, the farmers living here will hire a combine to harvest the rice. It will be threshed, dried, poured into 50 kilograms bags, and sold off. And then, they will begin planting it again.

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