Cambodia’s economic growth in 2023 will be slightly lower than earlier forecast, down to 5.3 per cent from 5.5 per cent, mainly due to slower-than-expected industry growth in the first half (H1), as per the Asian Development Bank (ADB). The country’s 2024 growth forecast stands at 6.0 per cent.
Exports of goods including garments and footwear declined by 18.6 per cent year-on-year (YoY) in H1 2023. This was partly offset by a 22.9 per cent increase in exports of goods other than garments, according to the Asian Development Outlook (ADO) September 2023, ADB’s latest flagship economic report.
The forecast for industry output growth is revised from 5.8 per cent to 4.8 per cent. The report maintains the inflation forecast for this year at 3.0 per cent and next year at 4.0 per cent. Improved merchandise trade and tourism recovery should continue to reduce the current account deficit.
