Cambodia Sets Reform Priorities for High-Income Status by 2050

PHNOM PENH, Aug 5, 2026 (KPT) – Cambodia has outlined a series of reform priorities aimed at transforming the country into a high-income economy by 2050, with a strong emphasis on human capital development, export diversification, and enhanced competitiveness. The national agenda was presented at a Senate seminar on “Cambodia’s Economic Situation and the Path Toward 2050,” chaired by Second Vice President Thun Vathana on August 3. The event saw participation from approximately 270 individuals representing government, diplomatic missions, universities, and the private sector, underscoring support for Senate President Hun Sen’s vision of achieving upper-middle-income status by 2030 and high-income status two decades later. Representatives from the World Bank highlighted Cambodia’s economic resilience, noting US$5.1 billion in foreign direct investment (FDI) in 2025 which generated around 400,000 jobs. The Bank projected growth of 3.9 percent in 2026 and 4.9 percent in 2027, while urging faster export diversification, reduced agricultural costs, and greater investment in human capital before 2043. They reaffirmed support for 23 projects worth US$2 billion, focusing on STEM education, economic corridors, and climate-resilient farming. Finance ministry officials stated that the government will expand social protection under its “Leave No One Behind” policy, which currently covers 4.86 million people. The national social security system benefits 3.7 million individuals, and technical and vocational training initiatives aim to produce 1.5 million skilled workers. In his closing remarks, Vathana proposed five key reform priorities: a review of the tax system, strengthening STEM and English language education, improving nutrition and public health, bolstering Small and Medium-sized Enterprises (SMEs), and promoting higher-value agriculture, including coffee, cocoa, and domestic fertilizer production.