Mr. Taing Nguon Ly, Director General of the General Department of Digital Economy, presented three important factors in helping to promote the digital economy to grow, because the stronger the digital economy will contribute to the Cambodian economy as a whole.
The three main actors that help drive the digital economy are: the government, the private sector and the people.
Mr. Taing Nguon Ly said that the government is diversifying the economy by looking for sources other than the one we currently have to expand the current $ 30 billion economy to a larger amount. Transform Cambodia into a high middle income country. The digital economy is a new source of growth, so we expect the digital economy to contribute to the size of the Cambodian economy as a whole.
He added that figures from 2022 indicate that the digital economy is worth about 5.7 percent, and if we want to expand Cambodia’s economy, we must expand the digital economy to 10 percent.
He stressed that there are three main players in promoting the digital economy, including the government, the private sector and the people. For the Royal Government is to provide public services in digital form as much as possible to provide the ability to create an environment for investment, people and the private sector more. The private sector is always on the move, so knowing that the digital economy provides many benefits and customer needs, the private sector will go its own way.
The Royal Government of Cambodia has been currently promoting digital development through various programs, including digital talent competitions. The Government recently announced that commune halls and schools throughout Cambodia would soon receive internet connections, further emphasizing the government’s commitment to enhancing the nation’s digital infrastructure and capabilities.
- The three main actors of the digital economy: the government, the private sector and the people.
- Cambodia will enter a high middle income country
- The digital economy is worth about 5.7 percent, and we want to expand to 10 percent.
- The digital payments in Cambodia reached $4.73 billion in 2023.
- The most important thing in driving the digital economy is the people
- The digital economy provides many benefits and customer needs, the private sector will go its own way.
“But the most important thing in driving the digital economy is the people, but we must first know if the people are ready to embrace digital technology,” he added. Do people have a basic level of digital literacy? Before reaching the use of other applications that contribute to the size of the digital economy.
Cambodia’s digital payments sector, powered by key industry players, is expected to make greater headway this year and the total payments may touch $4.73 billion, according to some estimates.
The growth of the sector got its momentum following the Covid-19 pandemic and this is now being helped by the surge in the usage of internet and mobile phones in the country.
According to a recent estimate of the National Bank of Cambodia (NBC), online transactions have been growing rapidly in the country for the last several years as the number of mobile phone subscriptions reached 19.6 million and internet subscriptions 18 million in the country.
Statista, an online platform specialized in market and consumer data, said recently that Cambodia’s fintech sector is growing steadily on the back of the rapid adoption of digital payments and a large population of unbanked turning to it.
Armed with its huge untapped potential, the progression Cambodia has made over the last decade in terms of infrastructure, GDP growth and foreign direct investment makes the Kingdom a prime destination for fintech firms to thrive, it said, adding that the total transaction value through digital payments in Cambodia will touch $4.73 billion in 2023.
