Geneva (VNA) – Ambassador Mai Phan Dung, Head of the Vietnamese Delegation in Geneva, praised Cambodia as one of the fastest-growing economies in the region, with an average annual GDP growth of nearly 5% since 2017 driven by trade liberalisation, tourism, foreign direct investment FDI, and export-oriented production.

Addressing the third Trade Policy Review (TPR) session of Cambodia at the World Trade Organisation (WTO) headquarters in Geneva, Switzerland, on March 26, the Vietnamese diplomat applauded Cambodia’s efforts to realise the target of escaping from the least developed country (LDC) status by 2029. Additionally, the Southeast Asian nation increased its per capita GDP to 2,520 USD from nearly 1,900 USD in 2017, and reduced the number of poor people to 2.8 million in 2020 from 3.9 million in 2014.

Since 2017, Cambodia has introduced and issued many laws and regulations on trade and investment, demonstrating its commitment to modernising and reforming its legal framework in line with international standards. These efforts have facilitated market opening and supported deeper integration into the global economy.

Vietnam also highly valued Cambodia’s growth in digital economy, with digital service exports nearly tripling from 146 million USD in 2017 to 426 million USD in 2023, driven by investment, new legal frameworks, and initiatives in e-commerce and licensing, Dung said.

The Vietnamese side acknowledged Cambodia’s progress in trade liberalisation and its high level of market openness. Notably, Cambodia reduced its average MFN tariff from 12.3% to 10.8% last year. Within multilateral agreements involving both countries, preferential tariff rates range from 0.2% under the ASEAN Trade in Goods Agreement (ATIGA) to 8.3% under the Regional Comprehensive Economic Partnership (RCEP).

Regarding relations with Vietnam, through bilateral frameworks such as the Border Trade Agreement and the Trade Promotion Agreement, as well as multilateral mechanisms like ASEAN and RCEP, the two countries have built a legal foundation to optimise trade potential and opportunities. Vietnam reaffirmed its commitment to strengthening cooperation with Cambodia to further boost bilateral trade and investment, contributing to development within ASEAN and WTO.

At the multilateral level, Vietnam praised Cambodia’s active participation in WTO activities, including its role as a focal point for LDCs on various issues.

At the event, ASEAN member states’ delegations delivered a joint statement recognising Cambodia’s role since joining ASEAN in 1999. Cambodia has contributed to deeper regional economic integration through the ASEAN Economic Community; and strengthened commitments to trade liberalisation, economic stability, and sustainable development.

Cambodia-ASEAN trade reached 15.7 billion USD in 2024. ASEAN reaffirmed its commitment to supporting Cambodia in deepening regional economic integration and upholding a rules-based multilateral trading system. The bloc stressed that a fair and inclusive international trade environment is essential for the shared interests of developing countries and LDCs, ensuring collective prosperity in the region./.