Diversification of both export products and their destinations are reportedly behind the Asian Development Bank’s (ADB) revised economic predictions for Cambodia, after reporting in June 2020 that they forecast negative GDP growth of -5.5 percent for the year. This has been adjusted to include more recent developments and now the ADB is expecting a slightly better year for Cambodia, with an economic contraction of -4.0 GDP growth.
“The projection for 2020 is quite conservative,” explained ADB’s Country Director Sunniya Darrani-Jamal. “It is definitely higher than the government’s own predictions of -1.9 percent.”
However, while Cambodia is set to weather the economic storm of COVID-19 this year, the ADB sees the economy on track for a strong resurgence in 2021 with GDP growth of 5.9 percent.
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