Cambodia's 2026 Minimum Wage Expected to Surpass Regional Peers

As of August 2026, the total minimum wage for workers in Cambodia's garment, textile, footwear, travel goods, and bag manufacturing sectors is projected to reach $229.5 per month. This includes a base wage of $210 and other benefits that workers are entitled to, amounting to $19.5. This total minimum wage is higher than in several neighboring countries. Specifically, it surpasses Sri Lanka by $93, Myanmar by $97, Bangladesh by $102, Laos by $114, Pakistan by $143, India by approximately $192, and Vietnam by a range of $147 to $211. Cambodia's garment sector has long been a cornerstone of its export-driven economy. While the projected increase in the minimum wage aims to improve the living standards of workers, it also raises questions about the cost competitiveness of its manufacturing industry. The narrowing wage gap with neighboring countries could influence investment decisions. The Cambodian government is navigating the challenge of balancing economic growth with the protection of workers' rights, seeking policies that maintain international competitiveness. This projected minimum wage outlook serves as a key indicator of the nation's industrial policy. Source: CPP Cambodia