Cambodia sees eight per cent drop in construction investment in first half of 2024


Phnom Penh, Aug 31 (IANS): Cambodia's construction sector attracted a total investment of 2.53 billion US dollars in the first half of 2024, down eight per cent over the same period last year, a government report said on Saturday.

The Cambodian government granted licenses to 1,642 construction projects during the January-June period, down 11 per cent from a year earlier, said the report from the Ministry of Land Management, Urban Planning and Construction.

The approved projects included new towns, housing development, condominiums, industrial and commercial facilities, tourism resorts and hotels, the report said, Xinhua news agency reported.

The construction and real estate sector is one of four pillars supporting the Southeast Asian country's economy, in addition to garment, footwear and travel goods export, tourism and agriculture.

The Ministry of Economy and Finance forecast recently that the construction and real estate sector would see a sluggish growth in 2024.

Hoe Ee Khor, chief economist of ASEAN+3 Macroeconomic Research Office, said that Cambodia's construction sector may experience a slower recovery pace, with growth potentially falling short of pre-pandemic levels due to prolonged real estate downturn.

"The boost in infrastructure investment will partially offset the weakness in the real estate sector," he told Xinhua in an e-mail.

 

  

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Title: Cambodia sees eight per cent drop in construction investment in first half of 2024



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