Source: FN
Head of the Royal Government of Cambodia Samdech Techo Hun Sen clarified that the EU’s decision to set in motion the formal procedure for the temporary withdrawal of the Everything But Arms (EBA) preferences for Cambodia is being used as a psychological warfare to attack the Royal Government of Cambodia.
“Nothing has been affected so far,” he reassured, speaking in meeting with approximately 1,000 Cambodians living and studying in Belgium on Friday night.
Cambodia will soon lose EBA schemes when her economy reached high level, and that same thing goes to preferential interest rates (concessional rates) from donors and development partners of Cambodia.
The premier stated that he is working with Japan, South Korea, China and the Asian Development Bank (ADB) in order to obtain another 10-year preferential treatment on interest rates and a 40-year for repayment.
“I would like to inform that among the ten ASEAN countries, only Cambodia, Laos, Myanmar are being granted EBA schemes. Myanmar is in the same situation as Cambodia, but Myanmar is still exporting,” the premier said adding that “Cambodia will soon lose EBA like the other seven ASEAN countries.”
Cambodia still has a high possibility to burrow foreign funds, but Cambodia sets foreign loan rates at only 23% of nominal gross domestic product (GDP), according the Cambodian Strongman. In other words, Cambodia has the ability to solve her many issues that does not solely depend on foreign debt.
In 2018, Cambodia’s economy expects to rise at 7.2 percent, ranked the first by as the growing economy in Southeast Asia by international institutions, followed by Vietnam.