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Cambodia vs. Vietnam

Economy

CambodiaVietnam
Economy - overviewCambodia has experienced strong economic growth over the last decade; GDP grew at an average annual rate of over 8% between 2000 and 2010 and at least 7% since 2011. The tourism, garment, construction and real estate, and agriculture sectors accounted for the bulk of growth. Around 600,000 people, the majority of whom are women, are employed in the garment and footwear sector. An additional 500,000 Cambodians are employed in the tourism sector, and a further 50,000 people in construction. Tourism has continued to grow rapidly with foreign arrivals exceeding 2 million per year since 2007 and reaching around 4.5 million visitors in 2014. Mining also is attracting some investor interest and the government has touted opportunities for mining bauxite, gold, iron and gems.

Cambodia remains one of the poorest countries in Asia and long-term economic development remains a daunting challenge, inhibited by endemic corruption, limited human resources, high income inequality, and poor job prospects. As of 2012, approximately 2.66 million people live on less than $1.20 per day, and 37% of Cambodian children under the age of 5 suffer from chronic malnutrition. More than 50% of the population is less than 25 years old. The population lacks education and productive skills, particularly in the impoverished countryside, which also lacks basic infrastructure.

The World Bank in 2016 formally reclassified Cambodia as a lower middle-income country as a result of continued rapid economic growth over the past several years. Cambodia’s graduation from a low-income country will reduce its eligibility for foreign assistance and will challenge the government to seek new sources of financing in 2017. The Cambodian Government has been working with bilateral and multilateral donors, including the Asian Development Bank, the World Bank and IMF, to address the country's many pressing needs; more than 30% of the government budget comes from donor assistance. A major economic challenge for Cambodia over the next decade will be fashioning an economic environment in which the private sector can create enough jobs to handle Cambodia's demographic imbalance.
Vietnam is a densely populated developing country that has been transitioning from the rigidities of a centrally planned, highly agrarian economy since 1986 to a more industrial and market based economy, raising incomes substantially. In 2016, Vietnam missed its yearly growth target of 6.7% due to environmental issues – drought and salinization - impacting the agricultural sector and low oil prices affecting the extractive sector. However, annual GDP growth was 6.2%, reflecting strengthening domestic demand and strong manufacturing exports.

Vietnam has a young population, stable political system, commitment to sustainable growth, relatively low inflation, stable currency, strong FDI inflows, and strong manufacturing sector. In addition, the country is committed to continuing its global economic integration. Vietnam joined the WTO in January 2007 and concluded several free trade agreements in 2015-2016, including the EU-Vietnam Free Trade Agreement, the Korean Free Trade Agreement, and the Eurasian Economic Union Free Trade Agreement.

However, to continue its trajectory of strong economic growth, the government acknowledges the need to spark a ?second wave’ of reforms, including reforming state-owned-enterprises, reducing red tape, increasing business sector transparency, reducing the level of non-performing loans in the banking sector, and increasing financial sector transparency. Vietnam has demonstrated a commitment to sustainable growth over the last several years, but a recent slow-down in economic growth could test the government’s resolve.

In 2016, Vietnam cancelled its civilian nuclear energy development program, citing public concerns about safety and the high cost of the program, and is facing growing pressure on energy infrastructure. Overall, the country’s infrastructure fails to meet the needs of an expanding middle class. As the 2017 APEC chair, Vietnam will lead the dialogue on key APEC priorities such as inclusive growth, innovation, food security and climate change.
GDP (purchasing power parity)$58.94 billion (2016 est.)
$55.09 billion (2015 est.)
$51.47 billion (2014 est.)
note: data are in 2016 dollars
$594.9 billion (2016 est.)
$560.7 billion (2015 est.)
$525.6 billion (2014 est.)
note: data are in 2016 dollars
GDP - real growth rate7% (2016 est.)
7% (2015 est.)
7.1% (2014 est.)
6.1% (2016 est.)
6.7% (2015 est.)
6% (2014 est.)
GDP - per capita (PPP)$3,700 (2016 est.)
$3,500 (2015 est.)
$3,400 (2014 est.)
note: data are in 2016 dollars
$6,400 (2016 est.)
$6,100 (2015 est.)
$5,800 (2014 est.)
note: data are in 2016 dollars
GDP - composition by sectoragriculture: 26.7%
industry: 29.8%
services: 43.5% (2016 est.)
agriculture: 17%
industry: 39%
services: 44% (2016 est.)
Population below poverty line17.7% (2012 est.)
11.3% (2012 est.)
Household income or consumption by percentage sharelowest 10%: 2%
highest 10%: 28% (2013 est.)
lowest 10%: 3.2%
highest 10%: 30.2% (2008)
Inflation rate (consumer prices)2.8% (2016 est.)
1.2% (2015 est.)
2.8% (2016 est.)
0.9% (2015 est.)
Labor force6.643 million (2016 est.)
54.93 million (2016 est.)
Labor force - by occupationagriculture: 48.7%
industry: 19.9%
services: 31.5% (2013 est.)
agriculture: 48%
industry: 21%
services: 31% (2012)
Unemployment rate0.3% (2013 est.)
0.2% (2012 est.)
note: according to official statistics; underemployment is high
3.7% (2016 est.)
3.5% (2015 est.)
Distribution of family income - Gini index37.9 (2008 est.)
41.9 (2004 est.)
37.6 (2008)
36.1 (1998)
Budgetrevenues: $3.388 billion
expenditures: $3.562 billion (2016 est.)
revenues: $48.04 billion
expenditures: $57.21 billion (2016 est.)
Industriestourism, garments, construction, rice milling, fishing, wood and wood products, rubber, cement, gem mining, textiles
food processing, garments, shoes, machine-building; mining, coal, steel; cement, chemical fertilizer, glass, tires, oil, mobile phones
Industrial production growth rate8.3% (2016 est.)
7% (2016 est.)
Agriculture - productsrice, rubber, corn, vegetables, cashews, cassava (manioc, tapioca), silk
rice, coffee, rubber, tea, pepper, soybeans, cashews, sugar cane, peanuts, bananas; pork; poultry; seafood
Exports$8.762 billion (2016 est.)
$8.453 billion (2015 est.)
$169.2 billion (2016 est.)
$162.1 billion (2015 est.)
Exports - commoditiesclothing, timber, rubber, rice, fish, tobacco, footwear
clothes, shoes, electronics, seafood, crude oil, rice, coffee, wooden products, machinery
Exports - partnersUS 23%, UK 8.7%, Germany 8.2%, Japan 7.4%, Canada 6.7%, China 5.1%, Vietnam 5%, Thailand 4.9%, Netherlands 4% (2015)
US 21%, China 13.2%, Japan 8.4%, South Korea 5.4%, Germany 4.1% (2015)
Imports$12.32 billion (2016 est.)
$11.92 billion (2015 est.)
$161 billion (2016 est.)
$154.7 billion (2015 est.)
Imports - commoditiespetroleum products, cigarettes, gold, construction materials, machinery, motor vehicles, pharmaceutical products
machinery and equipment, petroleum products, steel products, raw materials for the clothing and shoe industries, electronics, plastics, automobiles
Imports - partnersThailand 28.7%, China 22.2%, Vietnam 16.4%, Hong Kong 6.1%, Singapore 5.7% (2015)
China 34%, South Korea 14.2%, Singapore 6.5%, Japan 6.4%, Hong Kong 5.1%, Thailand 4.5% (2015)
Debt - external$8.46 billion (31 December 2016 est.)
$7.483 billion (31 December 2015 est.)
$78.88 billion (31 December 2016 est.)
$73.33 billion (31 December 2015 est.)
Exchange ratesriels (KHR) per US dollar -
4,066 (2016 est.)
4,067.8 (2015 est.)
4,067.8 (2014 est.)
4,037.5 (2013 est.)
4,033 (2012 est.)
dong (VND) per US dollar -
22,347 (2016 est.)
21,909 (2015 est.)
21,909 (2014 est.)
21,189 (2013 est.)
20,859 (2012 est.)
Fiscal yearcalendar year
calendar year
Public debt33.9% of GDP (2014 est.)
33.4% of GDP (2013 est.)
54.9% of GDP (2016 est.)
54.3% of GDP (2015 est.)
note: official data; data cover general government debt, and includes debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data include debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment; debt instruments for the social funds are not sold at public auctions
Reserves of foreign exchange and gold$8.477 billion (31 December 2016 est.)
$7.376 billion (31 December 2015 est.)
$34.66 billion (31 December 2016 est.)
$28.62 billion (31 December 2015 est.)
Current Account Balance-$1.678 billion (2016 est.)
-$1.886 billion (2015 est.)
$9.432 billion (2016 est.)
$906 million (2015 est.)
GDP (official exchange rate)$19.37 billion (2016 est.)
$200.5 billion (2016 est.)
Stock of direct foreign investment - at home$29.17 billion (2014 est.)
$114.7 billion (31 December 2016 est.)
$102.7 billion (31 December 2015 est.)
Market value of publicly traded shares$NA
$51.88 billion (31 December 2015 est.)
$46.07 billion (31 December 2014 est.)
$40.06 billion (31 December 2013 est.)
Central bank discount rateNA% (31 December 2012)
5.25% (31 December 2007)
9% (31 December 2012)
15% (31 December 2011)
Commercial bank prime lending rate11.8% (31 December 2016 est.)
11.71% (31 December 2015 est.)
6.8% (31 December 2016 est.)
7.12% (31 December 2015 est.)
Stock of domestic credit$11.72 billion (31 December 2016 est.)
$9.776 billion (31 December 2015 est.)
$285.8 billion (31 December 2016 est.)
$239.3 billion (31 December 2015 est.)
Stock of narrow money$1.785 billion (31 December 2016 est.)
$1.602 billion (31 December 2015 est.)
$74.94 billion (31 December 2016 est.)
$62.92 billion (31 December 2015 est.)
Stock of broad money$14.38 billion (31 December 2016 est.)
$12.12 billion (31 December 2015 est.)
$300.8 billion (31 December 2016 est.)
$256.7 billion (31 December 2015 est.)
Taxes and other revenues17.5% of GDP (2016 est.)
24% of GDP (2016 est.)
Budget surplus (+) or deficit (-)-0.9% of GDP (2016 est.)
-4.6% of GDP (2016 est.)
Unemployment, youth ages 15-24total: 0.5%
male: 0.7%
female: 0.4%
note: according to official statistics (2010 est.)
total: 6%
male: 5.3%
female: 6.8% (2013 est.)
GDP - composition, by end usehousehold consumption: 78.5%
government consumption: 5.4%
investment in fixed capital: 21%
investment in inventories: 1.6%
exports of goods and services: 64.7%
imports of goods and services: -71.2% (2016 est.)
household consumption: 65.6%
government consumption: 6.5%
investment in fixed capital: 25.7%
investment in inventories: 3.9%
exports of goods and services: 89.6%
imports of goods and services: -91.3% (2016 est.)
Gross national saving12.7% of GDP (2016 est.)
11.8% of GDP (2015 est.)
11.1% of GDP (2014 est.)
28.4% of GDP (2016 est.)
28.1% of GDP (2015 est.)
31.9% of GDP (2014 est.)

Source: CIA Factbook