Cambodia Sees Boost in Foreign Investment and Export Growth in 2025

CAC News

Phnom Penh, October 7, 2025 — Cambodia’s economy is showing signs of continued resilience and growth, as the country recorded a 6.1% year-on-year increase in foreign direct investment (FDI) inflows during the first quarter of 2025, reaching $1.0 billion, according to local media reports.

At the same time, the Kingdom’s gross international reserves climbed to $24.8 billion by mid-2025, up from $22.5 billion at the end of 2024. The current reserves are sufficient to cover approximately 7.8 months of imports, indicating a strong external financial position.

Strong Export Performance

From January to August 2025, Cambodia’s goods exports showed mixed but generally positive trends across key sectors:

  • Textile Products led the export category with $10.97 billion in earnings — a 19% increase year-on-year.
  • Paddy and Milled Rice exports brought in $1.114 billion, up 14%.
  • Raw Cashew Nuts exports surged by 60.55% to $790 million.
  • Cassava exports fell by 10.52%, totaling $498 million.
  • Bicycles brought in $408 million.
  • Pepper exports declined slightly to $27 million, representing a 3.12% decrease.
  • Yellow Banana exports rose 21% to $116 million.

Unofficial figures suggest Cambodia exported approximately 960,000 tons of raw cashew nuts in the first eight months of the year, generating an estimated $1.4 billion in revenue. This underscores the growing potential of the cashew sector, which officials have identified as a key driver of rural economic development.

Trade with the United States

Cambodia’s trade relationship with the United States also saw significant growth in 2025. From January to August, Cambodian exports to the US reached approximately $8.3 billion — a 23% increase compared to the same period in 2024. Meanwhile, imports from the US rose nearly 40%, totaling $243 million.

Sun Chanthol, Vice Chairman of the Council for the Development of Cambodia (CDC), issued a warning to exporters, urging them to comply strictly with U.S. export regulations. He cautioned that attempts to circumvent rules of origin could risk market access and jeopardize the country’s manufacturing export sector.

Outlook

With strong foreign investment inflows, robust foreign reserves, and continued export momentum, Cambodia’s economic outlook for the remainder of 2025 remains positive. However, officials stress the importance of regulatory compliance and continued diversification of export products to sustain long-term growth.

Source: Cambodia Sees Boost in Foreign Investment and Export Growth in 2025 – Cashew nut Association of Cambodia