The International Finance Corp (IFC) signed a deal on Wednesday with the Cambodian government to set up a public-private partnership (PPP) to construct a US$200 million logistics complex in Cambodia’s coastal province of Sihanoukville.
Once completed, the complex, according to the IFC, is expected to cut logistics costs in Cambodia, which are among the highest in east Asia and represent a key constraint to the country’s competitiveness and diversification.
“The Sihanoukville Logistics Complex is one of the two priority logistics hubs to be developed in Cambodia,” says Sun Chanthol, the country’s transport minister. “Our objective is to position Cambodia as a regional logistics transfer hub in Southeast Asia. [And] by working with the IFC, we can leverage their global expertise as we explore best options to leverage private sector engagement in the development of this critical logistics infrastructure.”