Long Term Prospects of the Cambodian Economy:
A Quantitative Assessment of the WTO Membership      

            Cambodia's current economic prospects are hampered by a non-competitive private sector, extensive levels of corruption, and weak governance. Cambodia's bid to join the WTO could brighten its export prospects considerably and be a powerful force in alleviating poverty.
But to take advantage of these benefits, Cambodia's government must implement an economic development strategy that includes fiscal and monetary reform, effective usage of private investment and aid, and improved natural resource management. It must be willing to rehabilitate or rebuild all infrastructures - physical, economic and social - essential for a prosperous and peaceful society.
The government also must tackle huge problems within its own organisation and administration. It must make civil administration reform, improve the judicial system, and reform the police force and the army.
                To evaluate the impact of economic reforms in Cambodia, EIC has developed simulations using a newly-developed macroeconomic model and database. These simulations show that if the government is committed to and bold in its actions, its reform programmes could have a major impact on Cambodia's economy in the next two decades. Reform could accelerate GDP, vastly increase productivity, raise per capita income, and create jobs for a burgeoning workforce. By contrast, without reforms, the future for Cambodia could be a gloomy one, with only nominal GDP growth, inefficiency and corruption, and no real hope for poverty alleviation... [  For full story click here ]
 

Could Cambodian Farmers be Rich?
Lessons Learned from the Former Khmer Rouge Zones

             Most areas of northwest Cambodia near the border with Thailand were under Khmer Rouge control until 1996, when, under a deal struck with the Cambodian government, the local populace agreed to end fighting in return for land grants. Forested land was cleared, and 5 hectares each was given to former KR households. This is much larger than the typical farm size in Cambodia.
               The newly-cleared land is highly fertile. Farmers have been growing crops such as maize and soybeans, which generate higher income than rice. Trade is primarily with Thai merchants. The fertility of the land, and large size of farms, currently allow farmers in the former KR zones to generate incomes of up to twice what the average Cambodian rural household earns.
However, this relative prosperity will diminish if soil fertility is not maintained and if parcels are subdivided with succeeding generations. The advantages of farmers in the zones will peter away and leave them in comparable poverty with the rest of rural Cambodia... [  For full story click here ]
 

The Rice Industry in Cambodia
Could Cambodia Become a Major Rice Exporter Again?

Cambodia, which during the war years of the 1970s-80s could not grow enough rice to feed itself, now enjoys a surplus. This modest accomplishment is encouraging, but much remains to be done to improve the lot of the agricultural worker and to put Cambodia into position to be a significant trader in the international marketplace.
               Strategies must be developed to improve rice farming and marketing. Cambodia has not yet learned to utilize its full capacity of natural resour-ces, or to adopt more efficient farming techniques and advanced technology. The amount of irrigated land needs to be vastly expanded. Improvements in the type of seed used, and in the local capacity for quality rice milling, would increase the value of the rice crop.
              In addition, government must be an advocate for the agricultural worker, and must take steps to protect the farmer's livelihood. Current government policy is somewhat lacking in the areas of subsidies, export tariffs and trade barriers... [  For full story click here ]