PHNOM PENH, Nov. 22 (Xinhua) -- Increased exports of footwear, electrical machinery, equipment and auto parts have helped Cambodia's economy to remain robust in 2017, a new World Bank report said on Wednesday.
The economic growth is projected to be 6.8 percent this year, slightly lower than last year's 7 percent, said the report.
Exports of clothing and other textile products have moderated, but the medium-term outlook remains positive due to export diversification and healthy inflows of foreign direct investment, said the latest Cambodia Economic Update (CEU).
"Cambodia appears to be on the verge of climbing up the manufacturing value chains -- from garments to electronics and auto parts -- and that is a very encouraging development," said Inguna Dobraja, World Bank country manager for Cambodia.
"To succeed in boosting investment and export diversification, Cambodia would need to undertake deeper structural reforms that address high electricity and logistics costs, as well as skills gaps," she suggested.
Real growth is projected to remain strong, expanding at 6.9 percent in 2018, the report said, adding that potential election-related uncertainties, however, would pose downside risks to the outlook.
