Welcome back to the second edition of The Week That Was, your Sunday snapshot of business news and expat gossip about the Pearl of Asia—Phnom Penh. After receiving fantastic feedback on our debut column catch up on last week that was here! We’re back post-Pchum Ben holiday (and what a long holiday it was).
Now, the city is back in full swing, and the buzz in both business circles and online communities is palpable. From international business chambers outlining private sector challenges to an all-out ‘online war’ between Thailand and Cambodia over a beauty pageant incident, there’s plenty to discuss.
Business Chambers Sound Off: Tax Troubles, Talent Shortages, and Infrastructure Needs
As businesses got back into gear after the 11-day holiday marathon, it was straight to work for Cambodia’s international business chambers. Their message to the government? The private sector is struggling, and the big three problems are all too familiar: tax burdens, a lack of skilled labor, and the pressing need for government funded infrastructure development.
The International Business Chamber’s secret sounding ‘Working Group D’ led by Arnaud Darc of Thalias Group owner of Cambodia’s highest rated restaurant Thalis called for action on over-the-top tax penalties and levies that have been hamstringing businesses and requested the government to increase public debt to fund large-scale infrastructure projects that will create jobs and, crucially, improve education and human capital.
The World Bank’s alarming statistic that 90% of Cambodian 10-year-olds can’t read at an age-appropriate level—in either Khmer or English—underscores the urgency of the situation. The private sector is calling for immediate reforms in education and skills training, lest Cambodia risks leaving a generation behind in the global marketplace. As 2025 looms, the hope is that these calls for action don’t fall on deaf ears.
Meanwhile, Tassilo Brinzer of the European Chamber of Commerce in Cambodia (and head brewer of everyone’s favorite Hops Craft Beer!) also had a productive meeting with government officials. Among the key issues raised were the need to streamline air logistics, boost solar energy initiatives, and revamp tourism policies—especially when it comes to visa fees. With Cambodia’s new airport nearing completion, aligning with global supply chains is top priority.
While none of these issues are new, there’s a growing sense that the private sector is starting to make real headway in getting the government’s attention. With Cambodia facing some stark economic challenges heading into 2025, there’s optimism that these long-standing problems will finally start to be addressed.
Diplomatic Moves: Canada In, Sweden Out
On the diplomatic front, the ASEAN Summit in Laos produced a few notable announcements, such as the decision to open a Canadian Embassy in Phnom Penh. Currently, Canada operates a consulate office alongside the British Embassy, so this is a major diplomatic upgrade. With estimates of around 6,000 Canadians living in the Kingdom, it’s a small but significant step toward deeper ties between the two nations.
In contrast, Sweden has pretty much all pulled out of Cambodia, announcing the sale of its office furniture, stationary and even its prized Volvo! All Swedish diplomatic services for Cambodia will now be handled out of Bangkok – the Swedes will still be around, just a little further away.
Adding to the Canadian theme, the Canadian Chamber of Commerce is going through yet another reboot. Originally established in 2015 it has undergone a few relaunches in its 9 years most recently under French-Canadian Frédéric H. Proulx of Haystack Asia who relaunched in 2022, the chamber is now being led by Emily Yu, who also happens to be Cambodia’s exclusive distributor of LAMY pens.
After a successful relaunch event attended by over 120 people, the chamber is experimenting with what seems a popular model: free entry to events, but with drinks and food at discounted bar prices. It’s a refreshing alternative for those of us tired of paying $25 or $35 for 2-hours of networking that sometimes feel more like condo sales pitches than genuine business networking. Here’s hoping the Canadian Chamber thrives under Emily’s leadership – the only women to lead an international business chamber in Cambodia!
Thailand vs. Cambodia: Miss Grand International Sparks Online Frenzy
In what might be the most unexpected diplomatic dust-up this week saw an online war erupt between Thai and Cambodian netizens over the Miss Grand International beauty pageant. What triggered the drama? A boat. Yes, a boat.
Cambodia’s Miss Grand 2024 contender, Sotheary Bee, dramatically withdrew from the competition after the incident. The pageant franchise, owned by Thai-listed company MGI PCL, saw Nawat Itsaragrisil, the pageant’s director, accuse Cambodia of “lacking creativity and responsibility” in organizing their national event. He even went as far as to suggest legal action wouldn’t scare him off, revealing deep-seated frustrations.
Naturally, this didn’t go over well with Cambodian social media users. With 1.9 million followers, Nawat’s comments sent ripples through both countries’ online communities, sparking accusations of racism and bias. As the competition prepares to resume in Thailand, Cambodia finds itself out-of-pageant and in the middle of yet another controversy.
While a drama with a beauty pageant might seem like trivial news, in a country working hard to revive its tourism image, these things matter. And with tourism numbers still down heavily compared to pre-pandemic levels, Cambodia needs all the positive tourism press it can get.
That’s a wrap for Week 41 of 2024! Keep those tips coming, and we’ll see you next Sunday for more business insights, expat gossip, and everything in between. Got a scoop? Drop us a line on Telegram at +855 969 530 061—we’re all ears!
Rising Giants Podcast: Vanna Sann on Building Cambodia’s Leading Sustainable Fashion Brand ‘Dorsu’
And don’t miss this week’s Rising Giants podcast episode featuring Vanna Sann, the CEO of Dorsu, Cambodia’s most recognized sustainable fashion company. Vanna shared his entrepreneurial journey, shedding light on the growth of the company and the crucial role the garment sector plays in Cambodia’s economy. Founded on the pillars of sustainability, Dorsu is setting the standard for ethical production and environmental responsibility—making it a rising star in the industry. Catch the full story on the podcast!
Expat Property of the Week!
2 Bedroom Serviced Apartment For Rent – BKK1, Phnom Penh ($2,800 per month)
- ?️ Location: Modern two-bedroom apartment in Phnom Penh’s Boeung Keng Kang 1 District.
- ? Size: 100 sqm with spacious rooms and city views from floor-to-ceiling windows and a balcony.
- ?️ Master Bedroom: Includes an en suite bathroom, with the second bedroom equally spacious.
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For inquiries about Phnom Penh real estate property listings:
Call +855 77 959 861 or email inquiry@ips-cambodia.com
Connect in Telegram
Upcoming Events: Get Ready for Insights and Networking
Don’t miss out on the business events coming up this week!
Q3 2024 Market Insights Webinar
- Date: Thursday, October 17th, 2024
- Time: 8:30 AM to 10:00 AM (Cambodia Time)
- Platform: Zoom
- We’ll be diving deep into the latest trends and opportunities in Cambodia’s real estate market for Q3 2024. It’s a must-attend for anyone keeping an eye on the property sector! Register now to secure your spot: Zoom Registration Link.
Cambodian Investment Forum at Realestate.com.kh Property, Business & Lifestyle EXPO 2024
- Date: Saturday, October 19th, 2024
- Location: Hall G, The Premier Center Sen Sok
- Join this free event featuring industry leaders and guest speakers offering seminars on real estate, business, finance, and law. It’s a fantastic networking opportunity, and best of all—entry is FREE. Register here: EXPO Registration Link.
