Last updated: October 2015
Education: Under the Bank-administered Cambodia-Education for All Fast Track Initiative, more than 27,000 lower secondary school students received scholarships to complete all levels of basic education, more than 6,300 primary school teachers were
trained to become basic education teachers, 1,270 classrooms have been constructed, and 900 early childhood education programs have been established to reach 26,042 children. In addition, under the new Second Education Sector Support Project, funded by Global Partnership for Education, more than 68,000 primary school students and more than 58,000 secondary school students from poor households will receive scholarships, 100 school buildings and 20 district education office buildings will be constructed, 500 communities will receive pre-school shelters, and 2,000 teachers will be trained to improve teaching quality. Under the ongoing Higher Education Quality and Capacity Improvement Project, more than 900 poor and disadvantage students have received Special Priority Scholarships for their university degree.
Health: The Second Health Sector Support Program (HSSP2), co-funded by the International Development Association (IDA) and a multi-donor Trust Fund administered by the Bank, is improving the coverage and quality of health care services by expanding the health facility network, supplying medical equipment, financing technical and institutional capacity improvement, financing health outreach activities in remote and difficult to access areas, and co-financing the Health Equity Fund and Service Delivery Grant. The Health Equity Fund is helping the poor to access health care services and has paid for 1,549,222 cases in 2014. The Service Delivery Grant is leveraging the improvement of health facility management, staff attendance, and the coverage of health services. Under the HSSP2, a provincial hospital, the National Laboratory for Drug Quality Control, two regional medical training centers, 121 health centers and five health posts, and 79 additional delivery rooms have been constructed. HSSP2 is also supporting improved water quality, electricity and sanitation in 61 health centers, and the establishment of 12 non-communicable disease clinics.
Land and Agriculture: The Government’s land reform agenda includes allocation of social land concessions. The Bank-funded Land Allocation for Social and Economic Development (LASED) project has provided land and livelihood support to more than 4,700 landless or land-poor families. 260 families have received land titles with the remaining beneficiaries receiving titles after the five-year cultivation period. Agriculture based livelihoods and sustainability will be at the center of
continued support for the Government’s land reform agenda.
Water Supply and Sanitation: Under the Water and Sanitation Program (WSP) Technical Assistance program, 27,000
families have gained access to improved sanitation through local markets and 44,900 families have gained access to piped water supply provided by private water suppliers. Recently, the Rural Water Supply, Sanitation and Hygiene National Action Plan is being finalized and will be used as a roadmap for the sector to improve harmonized approaches to achieve the 2018 National Strategic Plan. In addition, decentralized rural sanitation will help bring the service delivery closer to the communities and is being piloted in ten districts in two provinces.
Transport: The Road Asset Management Project has helped rehabilitate some 450 kilometers of Cambodia’s national and provincial road networks. It has also helped improve the efficiency and governance of the transport sector by strengthening capacity within the Ministry of Public Works and Transport for road asset management planning, including budgeting and
routine and periodic maintenance.
Trade: The Bank-managed Trade Related Assistance to Cambodia (TRAC) program, co-funded by the EU, DANIDA and UNIDO, is assisting the Government in designing and formulating a trade policy to increase Cambodia’s integration into regional and global markets. The program helps to simplify import and export procedures, and border processes via an Automated System Customs Data—World System (ASYCUDA) at Customs Offices. Between 2010 and 2014, customs clearance fell from 5.9 days to 1.4 days. As a result, Cambodia saw its ranking increase by 46 places, from 129th to 83rd out of 160 countries, in the Logistics Performance Indicator (LPI). Through this support, the Ministry of Commerce has streamlined procedures on new company registration, automated Certificate of Origins and drafted e-commerce laws. This law, once approved, will help private applicants to simply go online, register a new company, and apply for relevant export permits.
By reducing direct interaction with government officials, these platforms are expected to save cost of doing business, and improve transparency and accountability.
By supporting the Cambodian Chamber of Commerce (CCC) and facilitating direct consultations with decision makers, TRAC
has also assisted the government in including the voice of the private sector in the process of policy formulation. A large number of analytic products —namely the Enterprise Survey, the Investment Climate Assessment (ICA), and the Doing
Business Report— have been applied to collect and analyze the perceptions of the private sectors and inform policy implementation.
Finally, the TRAC program has allowed the government to further develop human and institutional capacities, via establishing the Trade Training Research Institute (TTRI), strengthening the capacity of the Institute of Standards of Cambodia (ISC), and improving Cambodia’s Border Control Agency (CAMCONTROL) risk management.
Governance: Under the Demand for Good Governance Project, 36 “One Window Service Offices” have been established at the district level to provide public services closer to citizens and businesses. These offices have provided services, such as motorcycle registration, small business licenses and construction permits, servicing nearly half a million cases over the last five years. Grants that were provided to 35 different NGOs helped 330 schools, 220 commune councils and 150 health centers improve staff performance and local services. The independent Arbitration Council, established under the project in 2009, resolved over 1000 disputes involving more than 700,000, mostly female workers from the garment industry. The quality of the Council’s decisions has been commended by international experts, and an independent survey indicates that both employers and unions value the Council’s integrity (no informal payments are made),independence and effectiveness.
Public Financial Management: The Public Finance Management Modernization Program (PFMMP) supports the government’s reforms to improve its ability to raise revenue and to strengthen the public finance management system. Key
achievements include the elimination of payment arrears, the establishment of a treasury single account, and the use of the banking system for government transactions.
The International Finance Corporation (IFC) supports the private sector in Cambodia through investment and advisory services. It works with the government to develop a competitive private sector and promote inclusive and sustainable economic growth. Since 2000, IFC has committed $312 million of investment in Cambodia with a focus on financial and infrastructure services. In the rice sector, IFC helps improve the competitiveness of the Cambodian rice export sector on key processes along the value chain, covering farming, milling and exporting practices. Through this project, farmers can get higher-value seed and training on planting techniques. By June 2015, IFC trained more than 34,300 farmers in eight provinces on farming techniques and approximately 14,500 farmers on improving fragrant rice seeds. As a result, their average rice yields has increased by 20 percent, with additional earning of $3.5 million.
IFC assists about 100 medium and large scale rice millers and exporters in eight provinces in the areas of upgrading production facilities, efficient mill management and complying with food safety, occupational health and safety standards. By June 2015, 10 rice mills have received HACCP (Hazard Analysis Critical Control Point) certified by the international certification
bodies, and two more will receive certification by December 2015. 92% of rice mills reported improved access to international markets and 83% reported improved performance and productivity.
IFC also works with many Cambodia’s rice exporters to increase the value of exports through development of new strategies targeting niche markets willing to purchase fragrant rice at premium prices. Initial results are clearly encouraging, with national rice exports doubling from more than 205 thousand ton in 2012 to nearly 390 thousand ton in 2014. Notably, Cambodian rice has won the world’s best rice awards at the World Rice Conferences in three consecutive years—2012, 2013 and 2014. With IFC’s support, the project has directly facilitated $100 million of rice export by June 2015.
Credit Bureau: IFC supported the establishment of a private credit bureau, which has facilitated an estimated $2.96 billion in financing since its launch in March 2012. As of June 2015, 98 financial and microfinance institutions have subscribed to the bureau which records credit information on 4.6 million borrowers and received a total number of 8 million enquiries.
Secure Transactions: IFC helps the government improve the country’s legal and regulatory framework as well as the lending practices of financial institutions. Working with the Cambodian government and banks, IFC introduced movable-asset
financing allowing borrowers to use goods, inventory and equipment as collateral for loans. This initiative will help Small and Medium Enterprises, especially those in agricultural sector, to obtain bank loans more easily.
Investment Policies: IFC, together with the World Bank, is helping the government to improve the quality and transparency of its investment policy with the view to encourage more private investment in the country. Currently, the project has
completed an Inventory of Investment Incentives and Investor Motivation Survey, a critical input for the upcoming new Investment Law.