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Investments from Vietnam contributes to Cambodia's developmentThursday, August 16, 2018 > 09:13:33
The big shift in the investment strategy of a lot of Vietnamese enterprises happened in the market of Cambodia. The exemplary relations between the two countries have created the trusted foundation for many Vietnamese enterprises to invest and develop in Cambodia. Including some of the largest sectors like agriculture and forestry, finance, banking and insurance, the other important sectors covered are the fields of aviation, minerals, manufacturing and processing industries, warehouse, health care, transportation, tourism, real estate and a lot more with around 206 investment projects already in process. The total registered investment is of $3.02 billion. The projects are located in 18 provinces of Cambodia, with a large number of them in the capital of Phnom Penh.
Some of the investment giants of Vietnam have a strong brand hold in Cambodia such as telecommunications company Metfone; Bank for Investment and Development of Cambodia(BIDC) and Cambodia-Vietnam Insurance Company (CIV). According to Brand Finance, a leading UK-based brand strategy and consulting firm, Metfone is the most valuable brand in Cambodia excelling in the three criteria of brand strength, business performance and external factors and growing from $85 million (2015) to $94 million (2016) in just a year.
Many Vietnamese projects in Cambodia have successfully created employment for tens of thousands of Cambodians and tried to bring the best services and products on the table. It contributed towards a healthy economic development between both the nations. “Business associated with social responsibility” is the philosophy of the Vietnamese business enterprises, they have made important contributions to improve and enhance the quality of life, education, and health of the people of Cambodia. In particular, Metfone has assistant the government of Cambodia in building an e-governmentwith smart facilities. Metfone has paid nearly $400 million as taxes to the Cambodian government by the end of 2016.
It has also launched its commitment to provide free internet services to over 1500 schools and sponsored “It’s not a dream”, a reality show that is bringing families together who were torn apart by the Khmer Rouge. The company also sponsored for cleft lip and palate surgeries for 472 poor children, Cambodian Educational Research Network, organized health examinations and free treatment for poor patients.
It has also generated incomes for families by providing ample employment thus contributing directly to social stability.
The Vietnam Rubber Industry Group (VRIG) has too invested in developing the social infrastructure such as clean water system, transportation, and electricity as well as helped build schools, houses, pagodas and many more. They have 3000 houses for workers and has invested more than $1.3 million in developing the electricity system while digging 295 wells, constructing 20 health clinics, 14 schools, playgrounds and more than 3,500 km of roads, bridges, and sewers in the rubber plantation areas.
In the near future, economic cooperation and social relation will continue to be the biggest driving forces for bilateral coordination between the two countries and the Economic, Trade Office will be a prominent hub for these exchanges being the official branch of the Vietnam Embassy in charge of supporting investments in Cambodia.
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