Cambodia’s loss of LDC status will bring challenges: World Bank

[geovalin]

Kali Kotoski and Hor Kimsay

 

As Cambodia continues its upward trajectory towards becoming a lower-middle-income country, it will face even greater challenges in reducing high levels of poverty as the Kingdom loses its preferential trade privileges and donor funding dries up, according to a new World Bank report.

 

The World Bank’s Systematic Country Diagnostic, presented yesterday in Phnom Penh, stated that while Cambodia has made large strides in reducing poverty over the last two decades, it cannot rely on the same agricultural and low-cost labour base to assist its reduction of poverty rates in the future.

 

“Cambodia’s eventual graduation from being a least-developed country (LDC) will bring a progressive decline in donor financing and an erosion of preferential trade treatment,” the report said. “At the same time, salaries are rising, and it will be increasingly difficult for Cambodia to keep exporting unprocessed rice and low-end garments.”

 

read more http://www.phnompenhpost.com/business/cambodias-loss-ldc-status-will-bring-challenges-world-bank

 

 

-- © Copyright Phenom Pen Post 19/08

[phycokiller]

thats just too bad, because nothing will change till the PM dies