The European Union has pledged more than $22 million to Cambodia this year, aiming to strengthen reforms in education, fisheries and public finance. The announcement came during a bilateral dialogue in Phnom Penh between EU Ambassador Igor Driesmans and Cambodia’s Minister of Economy and Finance, Aun Pornmoniroth.

 

The funding, worth €19.5 million, is part of a wider push to deepen cooperation under the EU’s Global Gateway strategy. Alongside financial support, both sides discussed new initiatives in taxation and public financial management, including a joint project with France and Finland to accelerate reforms.

 

Driesmans emphasised the importance of transparency and effective tax systems, saying they help create a predictable business environment that encourages investment and long-term growth. Cambodia, for its part, reaffirmed its commitment to the Public Financial Management Reform Programme, which seeks to improve budget credibility, accountability and efficiency.

 

The partnership extends beyond finance. Under Global Gateway, the EU is expanding cooperation in energy, water, education and skills development, reflecting a broader ambition to support Cambodia’s economic stability and social equity.

 

Trade ties between the two partners remain strong. According to Cambodia’s Ministry of Commerce, bilateral trade reached $4.9 billion in the first ten months of 2025, up more than 12 percent compared with the same period last year. Cambodian exports accounted for the bulk of this figure, at $4.21 billion, while imports from the EU stood at $737 million.

 

The latest pledge underscores Europe’s role as a key partner in Cambodia’s reform journey, combining financial backing with technical expertise. For Cambodia, the support offers both immediate relief and long-term prospects, as it seeks to modernise its economy and strengthen governance in the face of regional and global challenges.

 

 

-2025-12-20

I'm struggling to get my head around why the EU would do this.  The Business Case for this investment really should be made public, along with at least quarterly updates to prove the Business case was valid.

EU funds Thailand's enemy.

 

In the EU , the EU funds its people's enenies.