Cambodia is accelerating internal reforms to reduce the cost of doing business, improve government efficiency and attract more foreign direct investment (FDI), Deputy Prime Minister Sun Chanthol said on October 8, as the government seeks to strengthen the country’s competitiveness and build longer-term investor confidence.
Speaking at the fourth Public-Private Business Breakfast Briefing organised by EuroCham Cambodia and the European Union Delegation to Cambodia, Sun Chanthol said the government, through the Council for the Development of Cambodia (CDC), remains committed to streamlining administrative procedures and improving public services for investors.
Key Facts
Date: October 8, 2026
Main focus: Reducing business costs and improving investment facilitation
Key official: Deputy Prime Minister Sun Chanthol
CDC role: Streamlining procedures and providing investor support
Investment focus: Foreign direct investment and higher-value industries
Participants: Around 90 government, diplomatic, development and business representatives
Private-sector focus: Administrative challenges, investment facilitation and business-environment improvements
Long-term objective: Stronger investor confidence and sustainable economic growth
Cambodia Targets Lower Costs for Investors
Sun Chanthol said Cambodia's reform agenda is focused on improving operational efficiency and reducing the costs associated with doing business.
The reforms are being implemented through the CDC, where the Deputy Prime Minister serves as first vice chairman.
A central objective is to make government processes more efficient for companies seeking to invest in Cambodia.
This includes improving administrative procedures and strengthening public services so that investors can receive more coordinated support throughout the investment process.
For businesses, reducing administrative complexity and associated costs can be an important factor when assessing where to establish operations or expand existing investments.
From Investment Application to Aftercare
The government is seeking to provide investors with end-to-end support, according to Sun Chanthol.
The approach covers the process from project application and approval through implementation and aftercare services.
Rather than treating investment approval as the end of government support, the reform approach aims to provide assistance throughout the life cycle of an investment project.
For foreign investors, aftercare can be particularly relevant when companies encounter administrative issues during operations or seek to expand existing projects.
The objective is to create a more predictable and responsive investment environment.
Building Cambodia’s Investment Competitiveness
Sun Chanthol said the reforms are intended to strengthen Cambodia's competitiveness as a destination for foreign investment.
Competition for FDI extends across Southeast Asia, where governments are seeking investment in manufacturing, technology, logistics, services and other industries.
For Cambodia, improving the efficiency of government services can complement existing investment incentives and market-access advantages.
The government also wants the reforms to strengthen long-term investor confidence.
Confidence can depend not only on investment incentives but also on how efficiently businesses can interact with public institutions and resolve administrative matters.
Government and Business Leaders Discuss Practical Challenges
The business breakfast brought together around 90 participants, representing a wide range of government and private-sector stakeholders.
Participants included representatives of government ministries serving as co-chairs of sectoral working groups under the Government-Private Sector Forum (G-PSF).
Diplomats, development partners and representatives of international business associations also participated.
Business associations represented at the event included organisations connected with China, the European Union, Japan, South Korea and the United States.
The broad participation provided a platform for government and businesses to discuss practical challenges affecting investment and commercial activity.
EU and EuroCham Highlight Private-Sector Engagement
The event was organised by EuroCham Cambodia and the European Union Delegation to Cambodia.
Opening remarks were delivered by Igor Driesmans, Ambassador of the European Union to Cambodia, and Tassilo Brinzer, Chairman of EuroCham Cambodia.
EuroCham also presented research findings during the session.
The programme then moved into a question-and-answer session, allowing participants to raise administrative challenges and discuss potential practical solutions.
This format reflects the government's broader emphasis on public-private dialogue as part of efforts to improve the investment and business environment.
Higher-Value Investment Becomes a Priority
Beyond reducing administrative costs, Sun Chanthol encouraged stronger cooperation between the government and private sector to promote investment in higher-value industries.
He also highlighted the importance of attracting investment into upstream segments of global supply chains.
Moving into higher-value activities can help Cambodia develop beyond lower-value production and strengthen the capabilities of domestic businesses and workers.
Greater participation in upstream supply-chain activities could also create opportunities for Cambodian companies to become more deeply integrated into international production networks.
Why Administrative Reform Matters for FDI?
Investment decisions are influenced by a combination of factors, including market access, labour, infrastructure, operating costs, regulations and the efficiency of government services.
Administrative procedures can affect how quickly investors establish projects, obtain necessary approvals and address operational requirements.
By streamlining these processes, Cambodia aims to make the investment environment more efficient and reduce unnecessary costs for businesses.
The government's approach also places emphasis on coordination between public institutions, which can be particularly important for investment projects that require interaction with multiple ministries or agencies.
Stronger Public-Private Dialogue
The breakfast briefing also highlighted the role of regular dialogue between government and business.
The Government-Private Sector Forum provides a mechanism for businesses to raise concerns and discuss solutions with public institutions.
Sun Chanthol encouraged closer cooperation between the two sides, particularly as Cambodia seeks to attract investment into higher-value economic activities.
Continued dialogue can help identify practical barriers affecting companies and provide government agencies with direct feedback from businesses operating in the economy.
Cambodia’s Next Investment Challenge
Attracting FDI is only one part of Cambodia's investment strategy.
The government also needs to ensure that investment contributes to broader economic development through employment, technology, skills development, domestic supply chains and higher-value production.
The emphasis on upstream global value chains suggests an ambition to increase the depth of Cambodia's participation in international production networks.
For domestic SMEs, deeper supply-chain integration could potentially create opportunities to supply larger foreign-invested companies.
Angkor Times Analysis
Cambodia's latest reform push places business efficiency and investor services alongside investment attraction.
The emphasis on end-to-end support is particularly important because an investment project does not stop at approval. Investors must continue dealing with public institutions during implementation and operations. Improving this process can help reduce administrative friction and provide greater clarity for businesses.
The second element is the government's focus on higher-value industries and upstream segments of global supply chains. Attracting investment alone does not necessarily increase domestic economic value if local businesses remain disconnected from foreign-invested production. Stronger links between FDI companies and Cambodian suppliers could therefore become an important part of the next stage of investment development.
The private sector's participation is also significant. Businesses can identify administrative obstacles based on their actual operating experience, while government agencies can use that feedback to design more practical reforms.
For Cambodia, the effectiveness of these reforms will ultimately depend on implementation: whether procedures become simpler, services become more responsive and investors experience measurable improvements in the cost and ease of doing business.
Frequently Asked Questions
What reforms is Cambodia pursuing to attract more FDI?
The government is focusing on streamlining administrative procedures, improving public services, reducing business costs and providing end-to-end support for investors.
Who is leading the investment reform effort discussed at the event?
Deputy Prime Minister Sun Chanthol, who also serves as first vice chairman of the Council for the Development of Cambodia, outlined the government's approach.
What does end-to-end investor support mean?
It covers support throughout the investment process, from project application and approval through implementation and aftercare services.
How many people attended the business briefing?
Around 90 participants attended, including government representatives, diplomats, development partners and members of international business associations.
Which business communities participated?
The event included international business associations connected with China, the European Union, Japan, South Korea and the United States.
What types of investment does Cambodia want to attract?
Sun Chanthol called for stronger cooperation to promote investment in higher-value industries and upstream segments of global supply chains.
Why is public-private dialogue important?
Regular dialogue allows businesses to identify administrative challenges and discuss practical solutions with government institutions while helping policymakers understand the needs of investors and companies.