Property News Roundup 13rd May 2024
We’re delighted to share the weekly news highlights below.
- Unfolding Cambodia’s changing property investor profile
In recent years, Cambodia’s property market has seen a shift in investor demographics. While Chinese and Southeast Asian investors previously dominated, a broader array of foreign buyers is now entering the Kingdom. Western and European investors are becoming more aware of Cambodia’s potential, viewing high-rise condominiums as profitable investments. Factors such as dynamic GDP growth, affordable property prices, and full ownership rights for foreigners contribute to Cambodia’s appeal. This diversification reflects geopolitical changes and increased awareness of investment opportunities in the country.
May 6th 2024 | Khmer Times | Link: t.ly/NHuLQ
- Vietnam highly interested in Cambodia’s Funan Techo canal project: Spokeswoman
Vietnam expresses strong interest in the Funan Techo canal project and respects Cambodia’s legitimate concerns. The spokesperson for Vietnam’s Ministry of Foreign Affairs, Pham Thu Hang, emphasized the importance of neighborly relations, traditional friendship, and comprehensive cooperation between the two countries. Vietnam supports Cambodia’s achievements and hopes for continued collaboration in assessing the project’s impact on water resources and the Mekong sub-region’s ecological environment. The goal is to ensure harmonious interests among riparian nations and sustainable management of the Mekong River’s resources for future generations.
May 6th 2024 | Khmer Times | Link: t.ly/qVKkD
- Deputy PM Assures No Adverse Impact on Vietnam as Cambodia Forecasts Canal Project to Save Nearly US$600 Million
Cambodia’s Deputy Prime Minister reassures Vietnam that the Funan Techo canal project will have minimal environmental impact. The canal will divert a negligible amount of water and underwent thorough environmental assessments. The project aims to expand an existing waterway to allow larger ships, potentially reducing reliance on Vietnamese shipping routes and generating significant revenue for Cambodia. Vietnam may see a decrease in freight revenue, but Cambodia clarifies some larger ships will still require Vietnamese ports.
May 06th 2024 | Construction & Property | Link: t.ly/UFfAb
- Freeze on sales along canal aims to shut down speculators
Cambodia’s Funan Techo Canal project, spanning 180 kilometers, is set to begin construction later this year or early next year. To prevent property speculation, the government has frozen land sales along the canal’s length. Deputy Prime Minister Sun Chanthol emphasized cooperation from residents to ensure the project’s success. The canal follows the path of an ancient canal abandoned during the Funan Empire period. Compensation costs will be borne mostly by a private company, with the government contributing a small part. Besides its infrastructure role, the canal will support new fisheries stocks. Fishing will be free for Cambodians, and the project aims to generate revenue by redirecting freight. The canal is a government-private partnership with a Chinese company and is expected to cost $1.7 billion .
May 6th 2024 | Phnom Penh Post | Link: t.ly/U596I
- Techo International Airport, World’s 9th Largest, Set for Early 2025 Opening Following Diplomatic Tour
International representatives from key embassies, including Australia, Britain, Canada, France, India, and Japan, visited the Techo International Airport (TIA) project site in Cambodia. The TIA, a greenfield airport spanning 2,600 hectares, is strategically located 19 kilometers from Phnom Penh. Designed as a 4F class airport, it can handle large aircraft like the Airbus A380 and Boeing 747. In the first phase, TIA will facilitate around 13 million passengers annually, with subsequent phases expanding capacity to 30 million and eventually 50 million. The project emphasizes environmental responsibility, including green initiatives. Collaboration among suppliers, contractors, and embassies contributes to its success. The TIA aims to enhance Cambodia’s connectivity and foster bilateral relations .
May 7th 2024 | Cambodia Investment Review | Link: t.ly/sdp5b
- Ream naval base is becoming Tokyo Disneyland
Cambodia’s Ream Naval Base has gained attention due to Chinese naval presence. However, the author criticizes American spending on narratives rather than infrastructure development. Researchers from the US Center for Strategic and International Studies (CSIS) and media outlets like Nikkei focus on Cambodia’s weak state. The author suggests charging entrance fees for foreign visits to save naval troops’ time. Cambodia should prioritize cooperation with countries in the naval sector. The CSIS’s use of satellite photos is questioned, and Cambodia seeks fair treatment. The plea is for practical support, such as vessels and military scholarships, to enhance self-defense capabilities.
May 8th 2024 | Khmer Times | Link: t.ly/cdPje
- Kratie’s Mekong River Bridges Approach Halfway Mark in $111 Million Project
The ambitious project to construct bridges across the Mekong River in Kratie province, valued at US$111 million, has made significant progress. As of early May 2024, completion has surpassed 49%, while the road connection component stands at an impressive 36.24%. The Ministry of Public Works and Transport confirmed this milestone and asserted that all aspects of the project are on track for completion before September 2026. The project includes a 1.761-kilometer-long bridge and a 31.69-kilometer connecting road network. Executed by the Shanghai Construction Group, this initiative aims to enhance connectivity and stimulate economic growth in the region, funded by the People’s Republic of China
May 7th 2024 | Construction & Property | Link: t.ly/LLDT5
- Second Conch Cement Factory in Battambang Worth US$ 253 Million Reaches 85% Completion
The second Conch Cement Factory in Battambang province, valued at US$253 million, has reached 85% completion. Scheduled for an official inauguration in September 2024, this development is crucial for Cambodia’s cement manufacturing sector. The project covers 407 hectares and represents a joint venture between Cambodian and Chinese investors. Upon completion, the factory will produce 5,000 tons of cement per day. Cambodia’s cement industry comprises six factories, with five in full operation, contributing to economic growth and employment opportunities.
May 7th 2024 | Construction & Property | Link: t.ly/BSNbe
- Revitalizing Kampot: AZ Group to Invest Up to US$10M in International Tourist Port
AZ GROUP’s subsidiary, AZ Builder, will invest between US$5 million and US$10 million to rehabilitate the Kampot International Tourist Port. The project aims to rejuvenate the port by deepening the waterway, enhancing accessibility for ships. The Ministry of Public Works and Transport (MPWT) plans to finalize an agreement with AZ Builder. The port’s comprehensive measures include navigation studies, aids, and security infrastructure. The anticipated PPP agreement is expected to be signed in Q2 2024, with port operations beginning in Q3 and official opening by year-end. Located in Kampot province, the port strategically connects with key tourist attractions, boosting Cambodia’s tourism industry.
May 08th 2024 | Construction & Property | Link: t.ly/2Hc8L
- UVCell Solar, GCTH ink MoU for underwater sea cable
UVCell Solar Corp and Global Crypto Trading Hub Co Ltd (GCTH) have signed a memorandum of understanding (MoU) for a solar power development agreement, including an underwater sea cable linking Cambodia to Singapore via peninsular Malaysia. The project aims to boost renewable energy and grid reinforcement in Cambodia for energy exports to Singapore by 2028. UVCell Solar’s extensive experience and collaboration with NE SOLAR position them as key players in green energy infrastructure. GCTH expects support from its existing “Tier 1 Bank,” and the project aligns with Cambodia’s goal of achieving carbon neutrality by 2050. The Royal Government of Cambodia’s backing ensures efficient coordination and quality delivery.
May 08th 2024 | Khmer Times | Link: t.ly/GXu8j
- A New Frontier for Conservation: US$520K Canal Project to Shield Techo Sen Russey Trep National Park
The Royal Academy of Cambodia plans to construct a 52-kilometer-long canal to protect the Techo Sen Russey Trep National Park. Valued at US$520,000, the project aims to encircle and safeguard over 10,000 hectares of vital natural habitat in Preah Vihear province. The park, established in 2014, boasts rich biodiversity, dense forests, wildlife, and historical sites. The canal will delineate a clear boundary, enhance patrol mobility, and provide water for wildlife. The Royal Academy calls for contributions to realize this critical environmental protection measure.
May 09th 2024 | Construction & Property | Link: t.ly/uEeqr
- Cambodia Launches US$3.4 Million National Single Window System to Propel Economic Growth
The Cambodian government has launched the National Single Window system, an investment exceeding US$3.4 million, to enhance trade efficiency and stimulate economic growth. The system streamlines export and import processes by enabling simultaneous applications for licenses, permits, and certificates across relevant ministries. It integrates with existing platforms like E-customs and the ASEAN Single Window system, facilitating electronic exchange of trade documents. The project spans seven years and promises benefits for both the public and private sectors, aiming to achieve operational excellence in Cambodia’s trade practices.
May 09th 2024 | Construction & Property | Link: t.ly/L5tkE