Cambodian growth projected 4.5 pct this year, 6 pct for 2011: ADB

PHNOM PENH, Apr. 20, 2010 (Xinhua News Agency) -- The Asian Development Bank said on Tuesday that Cambodian growth is projected 4.5 percent for 2010 and higher to 6 percent for next year thanks to good crops, increasing services, tourism and constructions.

"If the weather allows for reasonable crops in Cambodia, GDP is projected to rebound by 4.5 percent in 2010," said the Bank release.

"In 2011, a return to higher--though still below trend--growth in garment exports and tourism, together with some expansion of non-garment manufacturing and a pickup in other services sub- sectors, is projected to raise GDP growth to around 6 percent," it said.

Agricultural output is projected to expand by 4.7 percent assisted by efforts to increase irrigation and the greater availability of high-yield seeds, it said.

The Bank also detailed that the growth in services is projected to resume at around 5 percent for this year and construction activity will likely grow at a moderate rate of about 4 percent, as appetite for bank credit gradually recovers and inflows of foreign direct investment, particularly from South Korea, resume for some projects.

Cambodia received 2.2 million tourists last year. The kingdom produced 7.3 million tonnes of rice for 2009/2010 of which the country saw another surplus of rice of 3.1 million tonnes available for export, according to the agriculture ministry.ADB also said that Cambodian growth was almost double digits from 1998 to 2008, but the country's growth was estimated contracted 2 percent in 2009 due to the global downturn in 2008.

The World Bank on April 7 said that Cambodian growth is projected at 4.4 percent for 2010, expects 6 percent for next year.

(Source: iStockAnalyst )