Phnom Penh - Economy

Economy

Phnom Penh's is Cambodia's economic centre as it accounts for a large portion of the Cambodian economy. Double-digit economic growth rates in recent years have triggered an economic boom in Phnom Penh, with new hotels, restaurants, bars, high rises and residential buildings springing up around the city.

The main economy is based on commercial interests such as garments, trading, and small and medium enterprises. In the past few years the property business has been booming as real estate is now getting very expensive in the city. Tourism is also a major contributor in the capital as more shopping and commercial centres open, making Phnom Penh one of the major tourist destinations in the country along with Siem Reap and Sihanoukville. According to the World Travel and Tourism Council, tourism in Cambodia made up 17.5 percent (US$2,053 million) of Cambodia’s GDP in 2009 and account for 13.7 percent of total employment. One of the most popular areas in Phnom Penh for tourists is Sisowath Quay, alongside the Tonle Sap River. Sisowath Quay is a 3-mile strip of road that includes restaurants, bars, and hotels.

The US$2.6 billion new urban development, Camko City, is meant to bolster the city landscape. The Bureau of Urban Affairs of Phnom Penh Municipality has plans to expand and construct new infrastructure to accommodate the growing population and economy. High rise buildings will be constructed at the entrance of the city and near the lakes and riverbanks. Furthermore, new roads, canals, and a railway system will be used to connect Camko City and Phnom Penh.

Other projects include:

• Grand Phnom Penh International City (under construction)
• De Castle Royal Condominium (Under construction)
• International Finance Complex (Under construction)
• Gold Tower 42 (On hold 32 floors)
• OCIC Tower (Completed)
• River Palace (Under construction)
• Vattanac Capital Tower (Under construction)

With booming economic growth seen since the 1990s, new shops have opened as well as western-style malls such as Sorya Shopping Center and the new Sovanna Shopping Center. Two international franchises have also opened up in Phnom Penh. Dairy Queen has already opened up inside Phnom Penh International Airport and Kentucky Fried Chicken (KFC) has opened up a restaurant on Monivong Boulevard and plans to open more soon. The same company that opened up KFC in Cambodia has now obtained franchise rights to open Pizza Hut in the country. In addition, Swensen's ice cream restaurants was also opened in Sorya Shopping Center.

Current tallest skyscraper in Phnom Penh is Vattanac Capital Tower standing in almost 200m height it sure to dominate Phnom Penh's skyline with its next door skyscaper-Canadia Tower(OCIC Tower). The tower are topped out in May 2012 and estimate to be complete in late 2012. New modern high rise had been construction all around the city. Many high rise weren't concentrated in one particular area, therefore it created a disjointed skyline.

The Central market Phsar Thmei is a major tourist hot spot. The four wings of the yellow colored market are teeming with numerous stalls selling gold and silver jewellery, antique coins, clothing, clocks, flowers, food, fabrics and shoes. Phsar Thmei is also going under a major renovation project, with fresh paint on the exterior and interior, and the creation of newer stalls.

Cambodia Angkor Air has its head office in Phnom Penh.