Thai Soldiers Raised a White Flag to Surrender to the Cambodian Troops

By Soy Sophea

Cambodian government officers said that Cambodian and Thai troops started exchanging gunfire after Thai troop entered Cambodian territory near Preah Vihear temple, known as Veal Entry, at 7:15 a.m. on April 3. It repeated again around 1:30 p.m.

Koy Kuong, spokesperson at the Cambodian Ministry of Foreign Affairs and International Cooperation, said shots took place at three diffrenrent places: Veal Entry (Eagle Field), Phnom Troap (Troap Mountain) and in front of the Preah Vihear temple.
Kuong said that Cambodia considered Thailand’s claimed ownership of the disputed territories belonged completedly unacceptable and an abuse of international law.

“The claim is intentional abuse,” Kuong said. “The claim does not have legal evidence and is illegitimate as Thailand is violating the French-Siamese Convention of 1904 and the International Court of Justice claim in 1962 that assured the territory belongs to Cambodia.”
He added that Cambodia’s Army Region 4 met with Thailand’s Region 2 after army clashes to figure out a peaceful means to end the border dispute after a nearly 20-minute-long fight.

Srey Doek, Cambodian Army Commander at Preah Vihear, said he told the Thai army commander that he followed Cambodian Prime Minister Hun Sen advice to be ready to fight even within one millimeter of Cambodia’s territory.

He added that if Thai troops dared to across Cambodia’s restricted area, Cambodian soldiers would start to fire. However, Cambodian military officials said that Cambodian troops have taken over altillery at Cambodia’s Bihiver Temple next to Preah Vihear Temple.

Meanhwile, Phay Siphan, spokesman for Cambodia’s Council of Ministers, said the crossfire occurred around 7:15 a.m. local time, after a number of Thai soldiers trespassed on the Eagle Field, a piece of Cambodian soil.

At 4:00pm, two Thai helicopters landed to retrieve the Thai casualities and injured soldiers. The number of casuality was not confirmed.

Moreover, it is reported that Thai soldiers at battlefield raised a white flag to surrender to the Cambodian soldiers as many as their soldiers left the fighting scene.On Thursday, a Thai soldier stepped on a landmine and lost a leg at Veal Entry area. In July of last year, the tension over the long-disputed territory of the two countries started after the 11th century Preah Vihear temple at the border was granted UNESCO World Heritage status.The two countries' troops clashed in the area in October 15.

The border dispute has not been resolved during subsequent talks by the two countries. The two neighboring countries have never fully demarcated their disputed border, due partly to landmines left over from decades before.

Bun Rany Hun Sen Receives Honorary Doctorate

By Soy Sophea

The Cambodian Red Cross President, Bun Rany Hun Sen has been presented with an Honorary Doctorate from the University of Cambodia, in recognition of Her tireless support for this humanitarian organization. The award ceremony took place on October 16, with Prime Minister Hun Sen in attendance to witness Her acceptance of the degree.

“We have achieved economic and social stability, but that does not mean that we have lifted all our peoples above the poverty line,” Bun Rany said after receiving the honor.

The First Lady continued, “We still face many issues that must be settled, and a priorities include poverty reduction, reducing the impact of climate change and combating deadly diseases such as HIV/AIDS. These challenges cannot be confronted by any individual, community or single charitable institution.”

“What we should do is to strengthen the unity of humanity, work with the spirit of solidarity in our hearts and share the unity we find there to create a truly caring human culture. You see, a humane action is not preceded by scientific examination of the facts, nor a feasibility study into the technical aspects of generosity. For me, it is a simple act of enhancing the quality of life for the people of Cambodia.”

Bun Rany, a survivor of the worst ravages of the Khmer Rouge regime, was visibly moved as she knew that the intense pain in her heart was shared by many other Cambodians.

She added that the award recognized the work of the Cambodian Red Cross, a proactive and effective organization that strengthens all humanity by supporting its victims and weakest members.

The First Lady drew the clearest connection between a nation’s humanitarian drives and its claims to be truly civilized. In her work for the Cambodian Red Cross she said she found joy in interacting with intelligent people to strengthen the foundations of Cambodian culture and society; and in focusing on these goals, issues such as poverty, disease and inequality would necessarily fall away.

She stressed that encouraging the Cambodian’s natural tendency towards generosity, especially in these days of progress and stability was vital.

The ceremony also recognized two other recipients of honorary degrees from the University of Cambodia. They were Dr. Horst Posdorf, parliamentarian member of European Union and Jose. De Venecia, former president of Philippino Parliamentary, and Dr. Katsunari Nishihara. The three received honorary doctorate of International Relation.

Dr. Kao Kim Huorn, president of University of Cambodia and Dr. Haruhisa Handa, chancellor of University of Cambodia expressed his congratulations to the three new honorary doctors, all of whom are active in tackling social issues.//

Cambodia PM Calls for Probe Into Thai Artillery Shells

By Soy Sophea

The Cambodian Prime Minister Hun Sen on February 20 called on Thai government to investigate their artillery bullets which were fired to Cambodian territory during its military exercise along the border of the two countries, and the shelling was happened on February 17, 2008.

The Prime Minister told reporters after a apologize meeting with Thai military deputy commander at the Ministry of Foreign Affairs and International Cooperation. “I recommend to Thai delegates to have a probe in order to explain the reasons to their people and soldiers why the Artillery has occurred three times to Cambodian territory,” the Prime Minister said. “This is a test for relation mechanism, which it is a good relation and patient,” he added.

The Premier continued to say that the Thai Army Commander-in-Chief, Anupong Paojinda has sent him an apologize message and sent his army college to ask for apologize face to face with the Cambodian Prime Minister.

The Premier told the visiting Thai delegates that the apologizing visit is a reason for Cambodian government to explain its people why the event occurred. He said the explanation is a reason to each other and promise not to repeat the situation.

Teradej Kotcharat, Thai Army Deputy Commander-in-Chief, led Thai army delegates to meet Cambodian Prime Minister Hun Sen for apologize which he assured that the event was a unprecedented accident in its military exercise along the Cambodian and Thai border.

However, Pol Saroeun, Cambodian Army Commander-in-Chief, on February 19 explained the situation to Phnom Penh-based foreign attaché officers including Thai attaché officer.

However, the Cambodian Army Commader-in-Chief assured that the event was unwillingness but there was a technical mistakes made by fresh Thai soldiers. He confirmed that Cambodia has obtained the apologize message from the Thai Army region 2 and he said Cambodia has not given an alert for Cambodian troop to stand for Thai troops as it is considered as accident.

He added that the Cambodian government and army’s stand is to keep cooperation with military soldiers to build peace along borders. Tensions flared in July last year after the site was registered on the UNESCO World Heritage Status list.

Both countries deployed troops to the border area in October and each suffered casualties in sporadic fighting.

Cambodia, Europe Agree on Bilateral Cooperation

By Soy Sophea


Cambodia will benefit from at least half the aid the European Union (EU) plans to provide for the Association of Southeast Asian Nations (ASEAN), said James Moran, Director for Asia in the European Commission’s Directorate-General for External Relations.

Moran addressed crowds at a March 3 press conference in Phnom Penh following a one-day, closed-door meeting with the Cambodian Deputy Prime Minister of Foreign Affairs and International Cooperation Hor Namhong.

“EU is considering allocating 70 million euro (about US$87 million) of aid for ASEAN, with at least half of it, Cambodia will benefit,” Moran said.

Although 2009 has been a tough year for all economies, Moran said the EU will still keep its market open and try to grant more orders for Cambodia. Cambodia has maintained good trade relationship with EU, which was the second largest importer of its garment products.

Moran added that the international status of Cambodia has improved, and it has been chosen as the location for a ministerial meeting between EU and ASEAN in May.
The European Commission (EC) and the Royal Government of Cambodia concluded their 5th Joint Committee in Phnom Penh on March 3.

EC-Cambodia Joint Committees are held about once a year and serve as an important platform for policy dialogue and review of bilateral cooperation. Topics on this year’s agenda included, amongst others, the Commission’s support for the Khmer Rouge Tribunal, including efforts to strengthen its management; the global financial crisis and its impact in Cambodia; governance and human rights issues; and bilateral trade. The partners also reviewed the portfolio of cooperative projects, including a new EC “Food Facility” program that, with substantial allocation, will provide support to strengthen Cambodia’s food security.

“It is very important for closepartners to have this regular dialogue. It allows us to have a frank and constructive exchange of views on our cooperation portfolio, as well as subjects of international political and strategic importance,” Moran said.

Moran said Cambodia has secured peace and political stability and over the past year, has achieved signifi cant economic growth. EC will work with Cambodia through dialogues and partnerships to continue progressing all aspects of the country’s.

“Both Cambodia and the EU believe that democracy and respect for human rights are a necessary basis for political and economic stability,” he said.

The Joint Committee includes specific sub-groups covering development cooperation, trade and investment, institution building, administrative reform, legal and judicial reforms, and governance and human rights. The legal basis for the Joint Committee is provided by the Cooperation Agreement between the European Community and the Kingdom of Cambodia, which was signed in 1997.

Cambodia, UN Discuss Development Goals

By Soy Sophea

Cambodian senators and parliamentarians joined with national and international NGO representatives in a one-day conference on Parliament’s Role in Achieving the Cambodian Millennium Development Goals (CMDGs) at the National Assembly on March 19.

Leng Peng Long, the National Assembly’s Secretary of State, said during the opening ceremony that Cambodia has actively participated in achieving the UN’s Millennium Development Goals (MDGs) in addition to working toward its own CMDGs. He said the
national goals were set to be implemented between 1996 and 2015.

Ou Or Hat, Secretary of State at the Ministry of Planning, pointed out that the Cambodian government has achieved peace, political stability and good governance in the past three
years. Poverty has been reduced by more than 1 percent per year, declining 34.7 percent in 2004 to 30.1 percent in 2007.

“Our revenue per capita increased from US$496 in 2005 to US$594 in 2007,” he said. “And we get our economic increase up to 10 percent for last few years.”

Douglas Broderick, UN Resident Coordinator and UNDP Resident Representative, said that Parliament has a unique role to play. Although implementation of MDG-related activities is mandated by the government’s executive branch, the Parliament can provide critical lobbying, advocacy, oversight and budgetary support to make sure that the CMDGs remains a top priority.

Broderick said the executive bodies can ensure legislative action is taken to adjust policies to meet CMDG gaps, encourage budget expenditure which prioritizes the poorest of the poor, raises awareness of Cambodia’s international commitment to the Millennium
Declaration and the CMDGs at all levels of government, and provide oversight to CMDG-related programs or budget expenditure.

However, he suggested that to end poverty by 2015, the Parliament of Cambodia has the opportunity to promote the needs and participation of the poor. At the heart of poverty
reduction in Cambodia should be a community-wide approach.

“Poor people often feel very far away from the political and legislative process and they don’t always know how to access Parliament or its information,” he said. “But as we all
know, the Parliament represents and belongs to all the people of Cambodia. The Cambodian ministers can build stronger linkages to their communities and in doing so, you will inform and empower Cambodian people.”

He said that he is confi dent Cambodia can meet its development goals, given the successes the country has seen already.
“Cambodia has shown its resilience, its perseverance, and its determination to succeed. But at this mid-way point, there is a great deal of work yet to be done,” he said. Douglas added that Cambodia and the UN have both wasted opportunities, but now it is their mutual responsibility to make up lost ground and work in solidarity together for
a more prosperous, fair, sustainable and equitable Cambodia while it still
remains a possibility.

He added that in Cambodia, the conservation and restoration of Angkor is an excellent example of global cooperation for development and international funds and expert teams
are working alongside national counterparts under the direction of Apsara Authority to preserve this World Heritage site and promote socio-economic growth through tourism.
He said that in many sectors, like health and education, there are now sector-wide approaches with joint planning and joint programming.

“All development partners, including the UN, subscribe to the principles enshrined within the Paris Declaration and report against these principles on an annual basis,” he said.

Cambodian Economic Minister Refused ADB’s Forecast Growth

By Soy Sophea

Cambodian senior economic officials refused the Asian Development Bank’s Economic Outlook 2009 prediction of an economic slowdown to 2.5 percent in 2009, as it appears too pessimistic.

The Asian Development Bank on March 30 announced its Economic Outlook which show that the Cambodia’s economic growth slowed down. The ADB also predicted that regional growth would slow to 3.4 percent in 2009 on lower exports.

Minister of Finance Keat Chhon dismissed the ADB and International Monetary Fund’s economic forecast that Cambodia’s economy will grow slower than expected. Chhon told reporters at the National Assembly that ADB and IMF’s prediction were based on few statistics.

“We hope that we will have higher economic growth because I am confident we have good policies at the moment. It does not mean that we are sitting on a basket and trying to lift ourselves,” he said. “We have prepared ourselves to prevent this crisis from seriously affecting our country, so I hope that our economic growth will be higher than what they have predicted.”

He said that ADB and IMF are pessimistic and that they have not considered Cambodia’s informal economy.

“In the U.S., 13.8 percent of the economy is informal, so Cambodia needs informal economics,” he said. “I will not make a prediction according to the 2009 national budget. The economic growth rate is 6.5 percent, according to the law, but now we can’t reach that level.”

ADB Country Director Arjun Goswami said the Cambodian government is doing well in the crisis. He said that there is an understanding of the crisis and what needs to be done, but this is a very difficult time for all organizations, including the Cambodian government.

ADB’s Economic Prospects

ADB said that inflation, which affects the poor and those with fixed wages, is forecast to decelerate to single-digit levels, but economic growth is set to decline sharply. It said the forecasts are made on the government’s ability to regain overall macroeconomic stability in the form of a return of inflation to sustained low single-digits.

ADB stated that growth is forecast to slow to 2.5 percent in 2009 for the three main reasons. First, government exports are expected to contract because of lower demand in the U.S. and Europe, high wage costs, the ending of safeguards imposed on the People’s Republic of China at end of 2008 and increasing competition from Vietnam. Orders for delivery in the first half of 2009 are sharply lower than at the same time last year, and the outlook is poor for overall retail sales in the U.S.

Second, ADB explained that the growth in tourist arrivals has already slowed significantly, reflecting the combination of recession in Europe and a continued decline in the number of tourists from the Republic of Korea – a critical target population in the tourism industry – partly owing to a much weaker Korean won against the US dollar.

The third reason, the ADB explained, is that the recent slowdown in construction growth from rapid rates is expected to continue and to return negative for the year as a whole, reflecting reduced Foreign Direct Investments from Korea, which is heavily invested in the sector, and the decline in poverty. Non-tourism services are also projected to grow much more slowly than in recent years, reflecting the overall downturn in economic activity and sentiment.
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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.

ADB, Japan to Boot Policy Making Skills of Cambodia’s Civil Servants

By Soy Sophea

A training program to help senior civil servants carry out policy reforms that support
the development of market economies was launched in Cambodia on March 9.

The Public Policy Training Program (PPTP) was established in 2007 by the Asian Development Bank (ADB) to build up the capabilities of civil servants in Vietnam, Laos People’s Democratic Republic and Cambodia, who implement government policy. It is funded by the ADB-administered Japan Fund for Public Policy Training, which is financed by Japan’s government. The launch was held in conjunction with the government of Cambodia’s Economics and Finance Institute in the Ministry of Economy and Finance.

The program, which was initially rolled out in Vietnam, is designed to equip government
officials with the skills and knowledge to develop policies that help their economies
become more market-oriented and integrated with global markets. The training focuses on economics and public finance, leadership and managing government programs and
human resources. It will also help officials carry out existing government policies more
effectively.

“At a time when economic circumstances are much more challenging, we hope that this targeted capacity development will help improve effective use of public spending needed to stimulate growth and reduce poverty for vulnerable groups. We also hope it will help civil servants respond to the demand by domestic and foreign businesses for efficient public service delivery,” said Arjun Goswami, ADB’s Country Director for Cambodia.

It is expected that about 200 Cambodian civil servants will benefit from the program over a two-year period, according to ADB’s Country Director. He said the first week-long training module will be held in Cambodia this month, followed by a session for 25 officials in Nagoya, Japan, at the end of March.

Buddhist and Hindu Leaders for Greater Global Voice

By Soy Sophea

Buddhist and Hindu religious leaders throughout Asia and the wider world have gathered in Phnom Penh to forge new partnerships and explore means to collectively address common problems. The religious conference was held at Svay PoPae pagoda on January 12.

Supreme patriarch of the Dhammarutta Order of Cambodia, Bour Kry, said during the opening of the 4-day conference that the event was an opportunity for Buddhist and Hindu religious leaders to gather together and voice the opinions of eastern religious scholars on global issues.

Sam Phalla, Secretary of State for the Ministry of Cults and Religions, said that the conference would forge links with the west and enable a meeting of minds to help overcome global problems such as the global economic crisis “…for people’s sake.”

Over 100 delegates from Sri Lanka, the United Kingdom, the United States of America, India, Uganda, Bangladesh, Bhutan, Myanmar and Cambodia, participated in the think tank, exploring ways to give a greater global voice to the religious traditions of the East. Cambodia was chosen as the location to launch this new initiative because Cambodia stands at the confluence of these two great traditions and it is where Hindu and Buddhist cultures have experienced the deepest integration.

“Giving a Global Voice to Eastern Wisdom” was organized by the Global Peace Initiative for Women (GPIW), the only international inter-religious organization created and run by female religious and spiritual leasers. Since its founding, GPIW has worked to create a global platform for women spiritual leaders and to increase global participation by Hindu and Buddhist religious leaders.

According to a report of “Giving Global Voice of Eastern Wisdom” of Global Peace Initiative of Woman said that the Eastern lineages have taken root in the west in part because of their experiential nature. The current generation is searching not so much for faith as for experiential knowledge. They are seeking to be shown, not told. Finding a balance between the East and West is essential now -- each offers vital perspectives, coming from a single source but differing in their language, tone and metaphor to suit different times and cultures. Now as we continue to struggle to become one world, one family, we must learn to accommodate our differences, to love them even, to incorporate from others when there is benefit to do so, and not to fear the loss of identity, because our essential identity is unchangeable.

The report noted that the eastern traditions offer an inclusive worldview – they see the world’s religions as many streams emanating from a single source, flowing into a single ocean – emerging from and returning to the One. The greatest challenge facing our world community is the need to outgrow the exclusive worldview that has held so much of the world in thrall for so many centuries, and to evolve a more inclusive world view so that we can truly learn to love and benefit from one another.

As material development from the West is flowing east, so too must the spiritual development from the East flow West. That will help us achieve the balance and wisdom needed to address the central challenges of our time. //////////////

Modernization of Banking and Microfinance Industry

By Soy Sophea

The National Bank of Cambodia has hosted the “Modernization of the Banking and Microfinance Industry in Cambodia 2009”. The forum kicked off at the Naga World Hotel in Phnom Penh on February 19 and was jointly organized by the National Information Communications Technology Development Authority and the International Data Group (IDG).

Neav Chanthana, Deputy Governor of the National Bank of Cambodia, said the government of Cambodia has established banking laws and other relevant regulations to ensure the smooth workflow of private bank operations in Cambodia. She realized that there has been a boom in private banking in the Kingdom and they must provide the best of financial services to their clients.

Tam Le, Managing Director and Chief Representative of IDG Vietnam and Indochina said the event attracted participation from 20 local and international speakers, 40 sponsors and exhibitors and more than 400 conference attendees, as well as thousands of trade visitors. He added that 12 keynote speakers were present during the 2-day event.

“Banking Cambodia will soon become the most significant banking and finance event in the nation, just as we have achieved with banking events in other countries,” he said.

With supervision by the Government and support from donor organizations such as the Asian Development Bank (ADB) and the World Bank, the banking and microfinance sector in Cambodia is growing healthily, and has contributed to the country’s economic growth in recent years, according to Tam Le.

He said enterprises and individuals have received financial help and assistance through loans from the banks and microfinance institutions which enabled them to expand and reinvest profits. The pro-business investment climate in Cambodia has attracted more investors to inject funds and increase assets in the country resulting in public confidence in the banking and financial system.

As Cambodia takes its place amongst the emerging economies, having joined as a member of the World Trade Organization, it is essential that the government and banking and financial sector speed up modernization and innovation to facilitate further integration with global business and financial markets.

Banking and Microfinance Cambodia 2009 which marks the first of an annual series of conferences and exhibitions for the Banking and Microfinance industry serves as an ideal platform for the exchange of the latest ideas, best practices, ICT innovations and solutions. It is a summit meeting for Government Ministries and Agencies, local and regional banks and financial institutions, especially microfinance institutions, technology solution providers, and everyone who is involved in the industry. These stakeholders recently met up and exchange expertise and experience in banking innovation and modernization and share experiences gleaned from similar economies and situations.

The conference is especially timely, set amidst the global economic crisis. It will spur Government policy makers, Central Bank regulators and supervisors, the banking and financial community leaders to sit together to find solutions to the current challenges.

The two-day conference commenced with a presentation on “Cambodia: Recent Economic and Monetary Policy Developments”. On day two, February 20, the Conference focused on the Microfinance sector in Cambodia. Mr. Qimiao Fan, Country Manager, World Bank, Cambodia presented the speech on the Banking Industry’s Role in Cambodia’s Economic Development.

The highlight of the Conference is a forum on “Obtaining Financing for Business Survival and Growth: What the Banks can do during the Financial Crisis”. The forum will also discuss the role of State Institutions, Donor Organizations and NGOs in making business loans. This forum, in the form of a panel discussion was held as the grand finale of the event. This is the most-anticipated activity of Banking and Finance Cambodia 2009 because it gathers authorities from NBC, the Advanced Bank of Cambodia (ABC), the World Bank (WB), the International Finance Cooperation (IFC), the Cambodia Microfinance Association (CMA) and other international banking and finance experts to discuss macro economic and specific issues affecting the banking industry in Cambodia.