Cambodia Grants Manufacturing Investors Three Years for Capital Compliance, Warns of Incentive Loss

PHNOM PENH, Sept. 3, 2026 (KPT) — Cambodia has given manufacturing investors three years to meet minimum capital requirements under the country’s investment regulations, warning that non‑compliant projects risk losing incentives, officials said Thursday. The guidance, issued by the Cambodian Investment Board (CIB) of the Council for the Development of Cambodia (CDC), applies to Qualified Investment Projects (QIPs) in the manufacturing sector. It requires investors to implement actual capital equal to or above the minimum threshold set out in the Negative List of the Sub‑Decree implementing Cambodia’s Law on Investment. For QIPs registered after the guidance takes effect, the three‑year period will be counted from the date of their registration certificate. For projects registered earlier, the period will be calculated from the date the guidance was issued. Officials said the capital requirement refers to the value of investment expressed in Cambodian riel or foreign currency, excluding land value and working capital. The measure is intended to ensure investors fulfill commitments and strengthen compliance with Cambodia’s investment framework. The CIB/CDC warned that projects failing to meet the requirement could face legal measures under applicable laws, including possible withdrawal of incentives such as tax breaks and import duty exemptions. The CDC urged manufacturing investors to implement the guidance responsibly, stressing that compliance would help build confidence in Cambodia’s investment climate and support the country’s push toward higher‑value industrial development.