Cambodia Construction Industry Report 2022: Commercial, Industrial, Infrastructure, Energy & Utilities, Institutional & Residential Market Size, Trends and Forecast 2020-2026 – ResearchAndMarkets.com
DUBLIN–(BUSINESS WIRE)–The report “Cambodia Construction Market Size, Trends and Forecast by Sector – Commercial, Industrial, Infrastructure, Energy and Utilities, Institutional and Residential Market Analysis, 2022-2026” was added to from ResearchAndMarkets.com offer.
After registering a decline of 1.8% in 2020, the construction industry in Cambodia recorded a growth of 2.1% in 2021, with production mainly supported by resilient domestic and foreign investments.
According to the Ministry of Land, Urban Planning and Construction, construction investment in Cambodia amounted to KHR 22 trillion ($5.3 billion) in 2021, with investment coming mainly from from China, South Korea and Japan. In 2021, the government approved licenses for 4,303 construction projects.
Moreover, the garment industry, one of the main pillars of the Cambodian economy, performed well in 2021. According to the General Department of Customs and Excise, garment exports increased by 15.2% d year-on-year (YoY) in 2021, for an amount of KHR47. $0.2 trillion ($11.4 billion). The growth of the garment industry is expected to lead to an increase in demand for production capacity in the sector, thereby supporting the continued growth of the construction industry.
In November 2021, the government approved its KHR35.2 trillion ($8.5 billion) budget bill 2022, an increase of 8.4% from its 2021 budget. KHR 8.3 trillion ($2 billion) will be spent on national social work, KHR 2.1 trillion ($500 million) on general administration sector, KHR 6.6 trillion (1. $6 billion) for economic development, KHR 5 trillion ($1.2 billion) for defense and KHR 3 trillion ($730 million) for subnational spending. In terms of capital expenditure, KHR 6.6 trillion ($1.6 billion) will be spent on local finance and KHR 1.5 trillion ($360 million) on loan repayments.
The editor expects the construction industry to grow by 6.3% in 2022 and to record an average annual growth of 9.4% between 2023 and 2026, supported by investments in the sectors of infrastructure, commercial and residential. According to the National Bank of Cambodia (NBC), the construction and real estate sectors are expected to drive growth this year, driven mainly by the 4,303 construction projects approved in 2021 and sustained interest in real estate.
Further support will be provided by the resumption of economic activity and the reopening of borders to fully vaccinated tourists, which should accelerate demand for retail capacity expansion this year. Industry growth over the forecast period will also be supported by the KHR243.2 trillion (US$59.9 billion) National Strategic Development Plan (2019-23), which prioritizes development human resources, road, hydraulic and electrical infrastructure.
As part of this plan, in November 2021, the Asian Development Bank (AfDB) approved a KHR 745.9 billion ($180 million) loan to improve urban infrastructure in Bavet, Kampot and Poipet.
Historical (2017-2021) and forecast (2022-2026) assessments of the construction industry in Cambodia, with details on the main growth drivers.
Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
Megaproject pipeline analysis, including development stage breakdowns across all sectors, and projected spending for projects in the existing pipeline.
Lists of major projects, plus details of major contractors and consultants
Main topics covered:
1. Construction prospects
2. Construction industry: at a glance
3. Latest news and developments
4. Project analysis
5. Construction market data
6. Risk profile
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