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Economic and Social Development – 1995

It was reported that the first prime minister of the Royal Cambodian Government suggested that Japan choose their own projects and pay for them themselves without giving financial aid to the Cambodian government. There was growing concern regarding the corruption in the government agency.¹

After nearly 25 years of war, the path of Cambodia’s reconstruction and economic development was long and difficult. The real problem facing Cambodia was poverty. The people in the countryside lacked food and water. According to the Christian Science Monitor report, the Cambodian economy as a whole was expanding – investment was up and inflation was down – but major foreign-backed projects were under scrutiny and ordinary people were complaining more loudly than ever about their prospects.² During the donor’s conference, Cambodia received $1.35 billion in commitments from the international community.³ “Japan, ASEAN countries, and Cambodia had initiated their tripartite cooperation to help the reconstruction of Cambodia with the emphasis on communities. The tripartite cooperation programme is regarded as a model for Cambodia’s rural development centre to be set up” (BBC, 1995).⁴

1. “Foreign relations: Ranariddh tells Japan to manage aid itself as “Cambodians might embezzle it,” BBC Summary of World Broadcasts, February 21, 1995.
2. “Cambodia: A United Nations Success Story Going Awry?” Christian Science Monitor (Boston, MA), March 8, 1995, 8.
3. “Cambodia to receive 1.35 billion dollars in 1995 and 1996,” Deutsche Presse-Agentur, March 16, 1995.
4. “Participation in reconstruction of Cambodia renewed,” BBC Summary of World Broadcasts, April 4, 1995.