Doing Business In Cambodia Indian Perspective
Legal Era|February 2019

The country’s strategic location in the heart of ASEAN along with a coastline providing easy regional accessibility makes it an attractive investment destination

Doing Business In Cambodia Indian Perspective

I. Introduction

Indian investment in Cambodia, Laos, Myanmar and Vietnam (“CLMV”) was US$131.5 million in 2017-18 and India’s total trade with CLMV countries grew from US$3.4 billion in 2008 to US$ 14.5 billion in 2017. Southeast Asia is one of the world’s most promising regions and the CLMV nations are especially gaining growing interest. Among CLMV, Cambodia is developing as a major hub and invites some comparisons to Singapore for its liberal policies on taxation and foreign ownership.

Cambodia is actively promoting foreign investment and offering numerous incentives and tax considerations to qualified investors. The country’s GDP is expected to grow at a rate of 7.3% for 2018. The expected GDP growth is spurred by development in various sectors, including the newly emerging sectors of retail, technology, e-commerce, and large scale infrastructure projects. The country’s strategic location in the heart of ASEAN between Vietnam, Thailand and Laos along with a coastline providing easy regional accessibility makes it an attractive investment destination. Treating foreign investors and local investors equally provides access to ASEAN’s 600 million strong consumer market. In this article, we have briefly elaborated the key sectors for investment and highlighted the process for formation of companies and related tax incentives.

II. Company Formation

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