The Government of Cambodia signed USD905.6 million in concessional loan agreements with development partners during 2021. Majority of these loans were used to finance investment projects in key areas that support long-term economic growth and sustainability. These agreements accounted for 43 per cent of the country’s debt ceiling.
Out of the total, 72 per cent was allocated to Cambodia’s public infrastructure sector and the remaining 28 per cent was allocated to other priority sectors. As of end 2021, the total public debt outstanding amounted to USD9.49 billion.
During 2022, the government has announced plans to issue around USD300 million worth in sovereign bonds to generate funds to finance public investment projects, aimed at enhancing the country’s economic development and productivity.
The sovereign bond issue is part of a government-led effort to reduce international debt by focusing on local financial resources.