Monday, April 20, 2009

Cambodia and Kuwait Boost Bilateral Ties

By Soy Sophea

Cambodian Prime Minister Hun Sen, during a three day official visit to oil-rich Kuwait and his first-ever visit to the Middle East, has worked towards an expansion of business and trade ties. He said that Cambodia has much land that could be turned to agricultural purposes, given proper investment in irrigation. During a dinner in recognition of Cambodian and Kuwaiti investors, the Premier spoke of the extensive tracts of fertile land, the clement weather and the ready supply of labor.

The Premier added that Cambodia really needs to improve infrastructure throughout the country, not just in the agricultural sphere but in transport, telecommunications, and electricity supply.

The Cambodian government understands that agriculture is a key factor in strengthening and widening national economic growth and may prove vital as the nation attempts to avoid the worst of the international financial crisis.

“The government’s agriculture policy will promote productivity, leading to economic growth and a reduction of poverty,” he said.

The Premier said Cambodia was also a land of natural beauty, with mountains, forests, rivers, lakes, seas and islands. He said that tourist arrivals have increased sharply and tourism formed a major source of income for Cambodia. He looked forward to a time when he could welcome Kuwaiti tourists, following an agreement to start direct flights.

Hor Namhong, Deputy Prime Minister and Minister of Foreign Affairs and International Cooperation, told reporters on January 16 that Cambodian delegates had signed agreements on air transport services, tourism cooperation, and had signed an MoU dealing with exchange of manpower and the development of Stung Sen irrigation system in Kampong Thom province.

"This visit will lead to greater links in future between Cambodia and Kuwait, and between Cambodia and other countries in the Middle East," he said. “It is the first-ever visit and has proved a fruitful mission,” he added.
The Deputy Prime Minister continued, “Cambodia has land and we need money to invest. Kuwait has money to invest in our agricultural land and the produce will be exported to Kuwait. We believe that we can increase our rice yields after completion of the irrigation project and thus help our people to rise above poverty, as the Government promised.”

He said that the Stung Sen irrigation project will cover 130,000 hectares of paddy rice and lead to a three-fold increase in paddy per year. He added that the project would also produce up to 40 megawatts of hydroelectric power, providing electricity to the whole of Kampong Thom province.

He said that Kuwait also promised to help Cambodia on small-scale irrigation projects which will cost up to 20 million USD. He said that Cambodia also proposed road construction projects in Battambang and Pailin provinces. These are under consideration by the Kuwait Investment Authority (KIA) and he believed that the proposals will be approved for the sake of good relations.

Kuwait recently granted Cambodia US$ 546 million in agricultural loans in return for crop production during the visit of Kuwaiti Prime Minister Sheikh Nasser Mohammed al-Ahmed al-Sabah.The deputy prime minister also said Middle East governments will help train local experts on matters related to the petroleum industry, which is starting to take root after the discovery of offshore deposits.

Cambodia established its embassy in Kuwait in December 2008 and the Kuwaiti embassy will be opened soon, said the Cambodia prime minister.

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