Development assistance in Cambodia
Objective 3 contributes to the following focus areas of Australia's International Development Policy:
- enhance state and community resilience to external pressures and shocks (primary)
- build effective, accountable states that drive their own development (secondary)
- generate collective action on global challenges that impact us and our region (secondary).
Australia is committed to helping Cambodia become a more resilient, inclusive and sustainable economy. In line with Invested: Australia's Southeast Asia Economic Strategy to 2040, Australia will work with Cambodia to foster commercial links and trade. Australian support will focus on building a more diversified economy and stronger business enabling environment, enhancing climate resilience, improving competitiveness, capturing new opportunities and promoting inclusive economic opportunities for women, people with disability and other marginalised groups.
Our flagship bilateral economic development program will remain the cornerstone of our support, aligned with relevant bilateral, regional and global programs. Our support focuses on promoting enterprise development by assisting market actors and small and medium-sized enterprises (SMEs) to expand market access and improve supply chain resilience, promoting diversification, attracting quality foreign investment, enhancing the business environment, supporting women's economic empowerment, strengthening trade and investment, supporting high value-added agriculture and agro-processing, and contributing to infrastructure service development.
We will continue to collaborate with the Cambodian Government and key stakeholders to develop and implement policies and programs conducive to competitive, sustainable and inclusive public and private investment. We will support Cambodia to meet its multilateral trade commitments and strengthen its regulatory frameworks. We will help improve the ease of doing business through government–private sector policy dialogues and make evidence-informed investment decisions. We will support Cambodian businesses and individuals to invest in new market opportunities. Capacity-building initiatives will aim to improve the skills and knowledge of Cambodian entrepreneurs and business leaders in the areas of investment readiness and standards compliance.
Australia will continue to work with the Cambodian Government to support infrastructure planning, regulation and investment processes that embed inclusive and resilient principles and meet market requirements and international standards. Our ongoing partnership aims to strengthen technical and leadership capabilities to drive lasting, high-quality and inclusive infrastructure development. We will also work closely with Australian investors to identify and promote investment opportunities in Cambodia, thereby supporting economic resilience and job creation.
Australia is committed to increasing economic opportunities for women, people with disability and other marginalised groups. We will work with the Cambodian Government to improve the inclusivity of public policies and budgets that promote economic opportunities, ensuring that every Cambodian citizen can contribute to, and benefit from, the economy. We will focus on opening up better economic opportunities for women by providing financial and business development services to women entrepreneurs, improving the care economy, supporting financial literacy and skills training, and identifying market opportunities. Promoting digitalisation and business formalisation within the informal economy will empower women, people with disability and members of marginalised communities to participate more fully in the economy, leading to more inclusive and equitable growth.
Australia will step up efforts and support for Cambodia's efforts to build a more climate resilient economy by contributing to investments that support low-emissions development pathways, improve climate change adaptation and take advantage of green economy opportunities. Our efforts will support Cambodia's clean energy transition, build the capacity to incorporate nature-based solutions into urban planning and development, and increase climate resilience in the agriculture, water and infrastructure sectors. Given the centrality of agriculture to Cambodia's economy and workforce employment, ACIAR will support climate resilient and gender‑responsive agriculture.
The transition to a resilient, inclusive and low-carbon economy requires significant investment. We will introduce initiatives that support Cambodia's access to climate finance streams and green investment. We will also leverage additional private funds to promote sustainable development by supporting the development of systems and institutional structures that will attract investment and deliver lasting outcomes.
Cambodian firms lag in the adoption of green and low-carbon technologies, which reduces their competitiveness as trading partners' preferences shift to greener practices. Australia will support Cambodia to increase the uptake of low-carbon practices, particularly in the agro-processing sector, preparing businesses for changing consumer preferences, and support policy development to incentivise the uptake of green and low-carbon technologies. We will also support Cambodians to develop the skills they need to seize new green job opportunities.
Supporting key investments
- Cambodia-Australia Partnership for Resilient Economic Development (CAPRED)
- Australia – -World Bank Partnership for Promoting Inclusion, Sustainability and Equality in Cambodia (PROMISE)
- Australian Volunteers Program in Cambodia
- Australian NGO Cooperation Program (ANCP)
Cambodia Australia Partnership for Resilient Economic Development (CAPRED)
$87 million, 2022 – 27
The Cambodia Australia Partnership for Resilient Economic Development (CAPRED) is helping Cambodia to achieve resilient, inclusive and sustainable economic growth and development.
CAPRED is working with both private sector and government institutions in three 'domains' in pursuit of these objectives: agricultural transformation; trade, investment and enterprise development; and infrastructure services.
CAPRED's objectives are:
- By 2031, targeted RGC agencies develop and implement policies that contribute to more sustainable, resilient, and inclusive growth in CAPRED domains.
- By 2031, targeted private sector stakeholders undertake more sustainable, resilient, and inclusive trade and investment initiatives in CAPRED domains.
Gender equality, disability, and social inclusion (GEDSI), climate resilience and policy support are key cross-cutting themes. This approach ensures that the program contributes to long-term sustainable economic development, directly addressing the core barriers to Cambodia's economic prosperity.
Australia-World Bank Partnership for Promoting Inclusion, Sustainability and Equality in Cambodia (PROMISE)
$50 million, 2021-25
The Australia-World Bank Partnership for Promoting Inclusion, Sustainability and Equality in Cambodia (PROMISE) provides a platform for collaboration to strengthen the sustainability and inclusiveness of public services, economic opportunities and COVID-19 recovery in Cambodia.
PROMISE is comprised of two multi-donor projects (H-EQIP 2 and ISAF II) as well as a research and analytics component directly implemented by the World Bank to support equitable development (such as gender equality, social protection, and inclusive economic development). As part of the research and analytics component, $5 million is earmarked towards a Gender Equality and Social Inclusion (GESI) Programmatic Advisory Services Analytics (PASA) fund which provides flexible resources to respond to emerging priorities related to gender and social equality and to address lessons learned from previous World Bank partnerships in Cambodia and the region. The GESI PASA will provide a platform to ensure investment operations are better informed by research, analysis and advice, including contributions that aim to improve gender equality and social inclusion.
Australian Volunteers Program in Cambodia
Australian volunteers play a vital role in the fight against poverty and contribute to the Government's public diplomacy objectives. Volunteering overseas is one way that Australians can make a positive contribution to poverty reduction, sustainable development and cross-cultural understanding.
Australian volunteers are placed with host organisations, including non-government and civil society organisations, educational institutions and government departments. Australian volunteers are from a wide range of professions, with diverse skill sets and experiences. Volunteer assignments range from three to 24 months.
Related documents*
| Name of document | Year published | Type |
|---|---|---|
| Australian Volunteers Program country fact sheet - Cambodia | 2022 | Fact sheet |
| Final Design: Australian Volunteers Program 2017-2022 | 2017 | Design document |
Related links
Australian NGO Cooperation Program (ANCP)
The ANCP is a unique Australian development program. It is a partnership between the Australian Government and highly effective Australian Non-Government Organisations (NGOs). For over 45 years, this partnership has supported the most disadvantaged in communities around the world.
The ANCP is the Australian Government's longest running and largest NGO program. Each year, the ANCP supports over 59 Australian NGOs and over 2,000 local partners to deliver around 400 projects in around 50 countries.