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Economic and Social Development – 1993

On July 20, 1993, the Cambodian and Japanese governments agreed to cooperate on the construction and restoration of 37 km of roads and 14 bridges.¹

On August 19, 1993, the Japan International Cooperation Agency (JICA) said it would strengthen its cooperation on Cambodia’s postwar reconstruction ahead of the establishment of a JICA office in Cambodia in September.² The United Nations Transitional Authority in Cambodia (UNTAC) had been the life-support system for the Cambodian economy, which was in critical condition. As the removal of UNTAC drew near, Sam Rainsy, Finance Minister of UNTAC, issued calls for continued international aid to assist in repairing and building up Cambodia’s infrastructure. Cambodia had prioritized agriculture as the centerpiece of its economic reconstruction. More than 80% of the population was engaged in farming and agriculture contributed to about 45% of the nation’s GDP. Cambodia exported rice in the 1960s, but in 1993 was unable even to meet the annual demand for domestic consumption (2.5 million tons) and had to rely on foreign donations of about 200,000 tons. Inadequate irrigation facilities and insufficient use of agrochemicals had caused the per-hectare harvest to fall to 1.2-1.4 tons, a quarter of the Japanese standard. Cambodia aimed to become a rice exporter by the end of 1995 by increasing the amount of land cultivated.³

1. “CAMBODIA; Road and bridge construction and reconstruction agreement signed with Japan,” BBC Summary of World Broadcasts, July 23, 1993.
2. “CAMBODIA; Japanese aid agency to open Phnom Penh office,” BBC Summary of World Broadcasts, August 21, 1993.
3. “Cambodia braces for U.N. pullout: SHOCK TO ECONOMY THREATENS STABILITY,” The Nikkei Weekly (Japan), October 4, 1993.