The Kingdom of Cambodia has seen its fair share of instability with a long history of violence and changes in government rule. Currently, the country is led by Prime Minister Hun Sen, the long reigning leader of the Cambodian People’s Party. But even with its complicated past, the country has been seeing economic growt
The Kingdom of Cambodia has seen its fair share of instability with a long history of violence and changes in government rule. Currently, the country is led by Prime Minister Hun Sen, the long reigning leader of the Cambodian People's Party. But even with its complicated past, the country has been seeing economic growth in recent years with more business opportunities and foreign investments.
INCREASED INVESTMENT
The Japanese International Cooperation Agency (JICA) funded the US$15.2 million project for the Phnom Penh Traffic Light System which aims to ease traffic problems in the city. Many of the signal lights will be replaced with new models equipped with cameras that send footage back to the control room to help make real-time changes depending on the traffic or spot crimes happening on the streets.
Besides investing in the traffic light system, Japan also invested much into the construction of other projects. Aeon Mall has recently invested in building a second mall inside Pong Peay City and is set to open in 2018. It will cover around 151,000 meters of floor space, larger than the company's completed mall in Phnom Penh which covered around 108,000 square meters. Another large Japanese company in Cambodia is Toyota Tsuho which the Council of Development Cambodia has approved their development in the industrial park of Poipet.
Other investments include construction of high-rise condominiums, hotels and apartments. “Residential and commercial buildings have been seeing the most growth in Cambodia because of the popularity and demand of the habitat,” said Hok. NKTECH Cambodia was established in 2011 that focused mainly on residential and commercial projects. They have been involved with providing condominium projects with necessary equipment.
The city of Phnom Penh is an example where many finished or in-development condominium projects can been seen across the city. Hotels have also seen an increase in development, with the construction of the country's first Shangri-La Hotel and last year's opening of the Rosenwood Hotel in the Vattanac Capital Tower.
The increase of hotels may be due to the fact that the tourist arrivals into the country has risen year after year. According to an annual report from the Ministry of Cambodia, there were an estimated five million international tourists who visited the country in 2016, a significant increase from the estimated 4.8 million in 2015. The top three countries that visited Cambodia in 2016 are Vietnam, China and Thailand.
SIs GROWING WITH ECONOMY
Local systems integrators observed that the growth of Cambodia's economy is also exerting its influence on the security market in the country. “The security market in Cambodia is growing rapidly in 2016 compared to the growth in 2015 due to developments in infrastructure, increase in foreign investment, the political stability of the nation and the tourism factor,” said Hok. NKTECH Cambodia was established in 2011 that focused mainly on residential and commercial projects. They have been involved with providing condominium projects with the necessary equipment.
Formed in 2007, V-SAFE has also been working on quite a few condominium projects recently. They helped integrate various features into these projects, including the parking system, access control, fire alarm and many more. Channeth, stated that in recent years their company has been growing about 20 to 30 percent per year. He sees growth in video surveillance, fire alarm, PA system and access control because there is more price competition in the market and increase in customer demand.