Why do Singaporean businesses invest in Cambodia: 2023

In this article we discuss the long history of why Singaporean businesses invest in Cambodia, including the strong historical ties as well as the many success stories which keep investors coming to the Kingdom. To learn more about opportunities for investment and expansion into Cambodia from Singapore, you can find out all about the variety of opportunities available in our in-depth market info section on our website.

You can also find out about tax breaks and incentives from the Singaporean government which are designed to incentivise business expansion and investment in Cambodia via the Market Readiness Assistance (MRA) scheme here. AquariiBD is listed by the Enterprise Singapore (ESG) to help companies expand into Cambodia

What makes businesses from Singaporean businesses invest in Cambodia?

Cambodia is a small country in Southeast Asia with a population of just over 16 million people. However, it is also a country with a rapidly growing economy and a young, skilled workforce. This has made it an attractive destination for foreign investment, and Singaporean businesses invest in Cambodia because have they have been particularly successful in expanding into the Cambodian market.

There are a number of reasons for the success of Singaporean businesses who invest in Cambodia. First, the two countries have strong historical and cultural ties. Cambodia was once a part of the Khmer Empire, which ruled over much of Southeast Asia from the 9th to the 15th centuries. Singapore was founded by Chinese immigrants who fled the turmoil in Cambodia in the 19th century. These shared historical and cultural ties have helped to create a strong bond between the two countries.

Second, the Cambodian government has made a concerted effort to attract foreign investment. The government has implemented a number of policies to make it easier for foreign companies to do business in Cambodia, including a simplified tax system and a visa-on-arrival program for business travellers. These policies have made it much easier for those Singaporean businesses invest in Cambodia to set up and operate here.

What are some other reasons why Singaporean businesses invest in Cambodia?

The Cambodian economy is growing rapidly. The country’s GDP has grown at an average rate of 7% per year over the past decade, and it is expected to continue growing at a similar pace in the coming years. This growth is being driven by a number of factors, including a young and growing population, an expanding middle class, and a rising investment rate. This growth has created a large and growing market for goods and services, which has benefited Singaporean businesses.

Another reason why Singaporean businesses invest in Cambodia is because the Cambodian workforce is young and skilled. The average age in Cambodia is just 24 years old, and the country has a literacy rate of 73%. This means that there is a large pool of young and educated workers available to businesses. In addition, the Cambodian government has made a concerted effort to improve the quality of education in the country, which has helped to produce a more skilled workforce.

Finallt, the cost of doing business in Cambodia is relatively low, which is why Singaporean businesses invest in Cambodia. The country has a low corporate tax rate of 20%, and the cost of labor is also relatively low. This makes Cambodia an attractive destination for businesses that are looking to reduce their costs

What are some examples of businesses from Singapore who have successfully investment in Cambodia?

Singaporean businesses invest in Cambodia because of the successes seen when expanding into the country. A number of well-known Singaporean companies, such as UOL Group, Keppel Corporation, and Singtel, have established operations in Cambodia. These companies have helped to create jobs, boost the economy, and improve the quality of life for Cambodians.

Some of the biggest Singaporean businesses invest in Cambodia are:

• UOL Group is a Singaporean property developer that has established a number of projects in Cambodia, including the $1 billion Aeon Mall in Phnom Penh.
• Keppel Corporation is a Singaporean conglomerate that has invested in a number of infrastructure projects in Cambodia, including the $1 billion Siem Reap International Airport.
• Singtel is a Singaporean telecommunications company that has established a mobile phone network in Cambodia.
• These are just a few examples of the many Singaporean businesses that have been successful in Cambodia. The country’s young and growing population, rapidly expanding economy, and skilled workforce make it an attractive destination for foreign investment.

Cambodia remains an exciting prospect for Singaporean business and investors. The country has a young and growing population, a rapidly expanding economy, and a skilled workforce. These factors make Cambodia an attractive destination for businesses that are looking to expand into Southeast Asia.

What are some incentives from the Singaporean government to invest or do business in Cambodia?

The MRA grant is administered by Enterprise Singapore (ESG). It is available to Singaporean businesses and investors that are looking to expand their operations in Cambodia. The grant can be used to cover a variety of expenses, including market research, market entry, and business development.

The MRA grant is capped at S$100,000 per company. The grant is also subject to a number of eligibility criteria. Businesses and investors must meet the following criteria to be eligible for the MRA grant:

• The business must be registered or incorporated in Singapore.
• The business must not have started work on the project for which it is applying for the grant.
• The business must own at least 30% local equity.
• The business’s group sales turnover must be less than or equal to S$100 million.
• The business’s group employment size must be less than or equal to 200.
• The business must not have made any payment to any supplier, vendor, or third party prior to applying for the grant.
• The business must not have signed any contractual agreement with any supplier, vendor, or third party prior to applying for the grant.
• Cambodia must be a new market for the business. This means that the business’s revenue in Cambodia must not have exceeded $100,000 for any of the last three years.

To apply for the MRA grant, businesses and investors must submit an application through the Business Grants Portal (BGP). The application must include the following information:

• The business’s name and contact information.
• The business’s registration number.
• The business’s description of its products or services.
• The business’s target market in Cambodia.
• The business’s marketing and sales strategy for Cambodia.
• The business’s financial projections for Cambodia.
• The business’s budget for the project for which it is applying for the grant.
• The application process for the MRA grant typically takes six to twelve weeks. The grant will be awarded to businesses and investors that meet the eligibility criteria and that submit the strongest applications.

The MRA grant can be a valuable resource for businesses and investors that are looking to expand their operations in Cambodia. The grant can help businesses and investors to cover the costs of market research, market entry, and business development. This can help businesses and investors to reduce the risk of their investments and to increase their chances of success in Cambodia.

Who are the Cambodian in-country service providers of the Singaporean MRA grant?

There are a number of in-country service providers that can help businesses and investors to expand their operations in Cambodia. These service providers can provide a variety of services, including market research, market entry, and business development.

One such service provider is Aquarii. Aquarii is a Cambodia-based company that specialises in helping businesses and investors to expand their operations in Cambodia. Aquarii has a team of experienced professionals who can provide a variety of services, including market research, market entry, and business development.

If you are a business or investor that is looking to expand your operations in Cambodia, I encourage you to contact Aquarii. Aquarii can help you to develop a successful business strategy for Cambodia and to navigate the complex regulatory environment.

What are the key industries which Singaporean businesses invest in Cambodia?

Here are some of the key industries that are ripe for investment in Cambodia:

• Tourism: Cambodia is a popular tourist destination, and the tourism industry is expected to grow in the coming years.
• Manufacturing: Cambodia has a low cost of labor and a skilled workforce, which makes it an attractive destination for manufacturing businesses.
• Agriculture: Cambodia is a major producer of agricultural products, such as rice, rubber, and timber. The agriculture sector is expected to grow in the coming years.
• Infrastructure: Cambodia is in need of investment in infrastructure, such as roads, bridges, and power plants. This provides an opportunity for businesses that are involved in infrastructure development.

If you are considering investing or expanding your business in Southeast Asia, Cambodia is a country that you should seriously consider. The country has a number of advantages that make it an attractive investment destination, and the future looks bright for the Cambodian economy.

Name some Singaporean businesses who have invested in Cambodia?

Below are some of the well-known examples of Singaporean businesses which have been successful in Cambodia:

• AquariiBD (Cambodia): Was set up by the former Singapore Ambassador to Cambodia, Michael Tan
• DBS Bank: DBS Bank is a Singaporean bank that has established a branch in Cambodia.
• OCBC Bank: OCBC Bank is a Singaporean bank that has established a branch in Cambodia.
• UOB Bank: UOB Bank is a Singaporean bank that has established a branch in Cambodia.
• Ascendas Reit: Ascendas Reit is a Singaporean real estate investment trust that has invested in a number of properties in Cambodia, including the $100 million ANZ Tower in Phnom Penh.
• Frasers Hospitality: Frasers Hospitality is a Singaporean hospitality company that has established a number of hotels and resorts in Cambodia, including the $50 million Raffles Grand Hotel d’Angkor in Siem Reap.
• Breadtalk: Breadtalk is a Singaporean bakery chain that has opened a number of stores in Cambodia.
• Koibito: Koibito is a Singaporean chocolate company that has opened a number of stores in Cambodia.

Where can I learn more about investment in Cambodia?

AquariiBD is an in-market expert on business advisory and consultancy services in Cambodia, who can help you enter the market both legally compliant and with the best backing in everything from marketing and management to personnel and policy. Get in touch with our expert team for more information.