Cambodia 20250825
Mekong Memo Cambodia Weekly: Business, politics, finance, trade & legal news.
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Headlines:
Deals Drop, Money Finds Cambodia
Hotel101 Bets on Cambodia
Regulator Expands Green Bond Push
Huawei Deal For a Smarter Grid
France Pushes 2026 Partnership
Australia Names Cambodia Deal Champion
EU Sends Aid to Border Victims
Boycott Spreads, Jobs at Risk
Urban Shift Lifts Property, Infra Demand
Cassava Talks to Stabilize Prices
Vcloudia Launches, Targets Enterprise Cloud
Worker Returns Force New Hiring Plans
Deals Drop, Money Finds Cambodia
Southeast Asia M&A fell to USD 84.5 billion in 2024, down 6.7%, but there’s still some cash sloshing around. KB Kookmin Bank’s USD 925 million acquisition of PRASAC, SinoPac’s USD 550 million stake in Amret, and Navis Capital’s acquisitions of Orienda International and Orchid Koh Pich Hospitals are recent transactions as investors get more selective and work under the new Competition Law. There is steady interest in renewables, technology, and agri-processing.
Read more: Cambodia Investment Review
Hotel101 Bets on Cambodia
DoubleDragon’s Hotel101 is rolling out two large projects - a 700‑room tower in Phnom Penh’s Tonlé Bassac that would set a new room-count record, and about 680 rooms within Sihanoukville’s Bay of Lights. Big bets. Both are expecting completion by 2028 and a combined sales take of around USD 110 million through Hotel101’s condo-hotel investment sales plan. Advisors at DFDL say the plan opens access for local and foreign investors as tourist arrivals stage a recovery.
Read more: Cambodia Investment Review (project details), Trendrod (room model)
Regulator Expands Green Bond Push
More than USD 60 million in green bonds are already in the market, with another USD 100 million in the pipeline. The Securities and Exchange Regulator of Cambodia has expanded the Cambodia Sustainable Bond Accelerator to try to hurry along climate-aligned investment. Launched in 2023, the program gives issuers technical support to meet international standards, investor outreach help, and cost-sharing opportunities to reduce expenses related to bond issuance. The focus is mostly on renewable energy and clean transportation; applications for the new phase remain open through the end of this month.
Read more: Green Central Banking
Huawei Deal For a Smarter Grid
The energy ministry signed a new MoU with Huawei to improve grid quality and integration of renewables into the power mix. The deal builds on earlier cooperation that delivered the country’s first grid-forming battery, certified by TÜV SÜD. Fuel imports have fallen 13.1% to USD 1.45 billion in the first seven months of 2025. Demand is expected to rise to 4.8 million tons by 2030, making grid modernization and energy efficiency a priority on the agenda.
Read more: Khmer Times (grid deal), Xinhua (import data)
France Pushes 2026 Partnership
France and Cambodia are pushing toward a partnership by 2026 under a roadmap that includes elements of politics, trade, and culture. New French ambassador Olivier Richard presented his credentials to King Norodom Sihamoni and spoke of plans to expand commerce and investment while preparing for the first French presidential visit in three decades, in line with the 20th Francophonie Summit.
Read more: Prensa Latina (roadmap), Cambodia Investment Review (ambassador)
Australia Names Cambodia Deal Champion
Australia named IDP Education CEO Tennealle O’Shannessy as Business Champion for Cambodia to drum up deals under Canberra’s Southeast Asia Economic Strategy to 2040. The job is to promote opportunities in education, agriculture, green energy, and infrastructure while using the bona fides of IDP’s 30 years of experience in the local education market. Canberra is matching Business Champions with priority countries to get more boardroom engagement and to try to remove friction for exporters and investors.
Read more: Cambodia Investment Review
EU Sends Aid to Border Victims
The EU said that it’s going to send €700,000 (about USD 817,000) in humanitarian aid to people affected by the Cambodia‑Thailand border conflict. The relief funds will pay for mental health support and displacement tracking for up to six months. Authorities say more than 134,700 people have been displaced, and 13 are dead so far. EU Ambassador Igor Driesmans spoke up about the need for both sides to stick to the ceasefire mediated by Malaysia and ASEAN, as well as the need for improved access to services in displacement centers.
Read more: Khmer Times
Boycott Spreads, Jobs at Risk
A boycott of Thai products has widened to cover non‑Thai companies after public anger over rumors of corporate views tied to the border conflict. Backlash centered around rapper Mann Vannda’s sponsorship with Coca‑Cola. Hun Sen warned that shunning Coca‑Cola, which produces its drinks locally, would hit domestic jobs and suppliers. The Ministry of Commerce said that it is every consumer’s right to boycott, but also talked about second-order trade and employment effects. Coca‑Cola hasn’t confirmed any contract decision and praised Vannda’s role with the nation’s youth.
Read more: CamboJA News
Urban Shift Lifts Property, Infra Demand
Population growth of around 1.5% a year and urban migration are increasing the demand for housing, retail space, and infrastructure. Urbanization stands at about 26.5% with Phnom Penh, Siem Reap, and Sihanoukville expanding faster than the national average. The population should get to 18.5–19 million by 2030 and is expected to pass 20 million by 2050.
Read more: Khmer Times
Cassava Talks to Stabilize Prices
Officials met with their Vietnamese counterparts in Ho Chi Minh City this week to talk about the cassava trade, build buyer networks, and harmonize processing standards. This is of interest to the Mekong Memo because, surprisingly, cassava is Cambodia’s second‑largest crop, with most exports currently going to Vietnam and Thailand for processing before shipments to China and other markets. Moves to increase the value of the industry, make it more efficient, and increase investments in domestic starch and derivatives will go a long way to supporting farmer sustainability.
Read more: Khmer Times
Vcloudia Launches, Targets Enterprise Cloud
Viettel IDC launched its international cloud brand Vcloudia, setting the platform up as a base for a regional digital infrastructure network. They’re targeting banks first, then expanding from there. Planned services include compute, storage, backup, networking, and security, with growth expected to be found in banking, e‑commerce, and education. The cloud market is expected to grow at a 17.1% CAGR and reach about USD 371 million by 2027. Viettel IDC called Cambodia the first step in its “Go Global” strategy and also teased potential future cooperation with Qualcomm.
Read more: Cambodia Investment Review
Chinese Investors Take a Gander at Textiles
A visiting group of Chinese investors looked for opportunities in fabrics, yarn, and garment manufacturing this week. Officials were keen to play up compliance with local rules and the value of hiring Cambodian workers, including (especially?) those coming back from Thailand. The Cambodia Investment Board gave a presentation covering current incentives, cost structures, and industrial zone options, pitching a move up the value chain with fabric and yarn capacity that will reduce dependence on imports. The visits come as apparel buyers look for supply chain diversity, with investors saying they are prioritizing power reliability, logistics, and workforce training for new projects.
Read more: Fibre2Fashion
Worker Returns Force New Hiring Plans
Thailand laid out a five‑point plan to tackle worker shortages after more than 900,000 Cambodian migrant workers returned home following border tensions. Measures include redeploying Thai workers, such as military personnel and youth, registering undocumented labor, recruiting from Sri Lanka and Nepal, employing more refugees from Myanmar, and increasing the rate of automation. On the home front, Cambodia’s Ministry of Labour has created daily job forums in all provinces to connect employers with local job hunters. The forums are intended to support quick placements in construction, manufacturing, services, and agriculture, as returning workers need to find jobs quickly for a steady income without cross‑border risks.
Read more: Khmer Times
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