The number of 1,679 construction projects received construction permits from the Ministry of Land Management, Urban Planning and Construction in the first half of 2022, down 150 projects compared to the same period last year.
There are about 1,679 construction projects which received a permit from the Ministry of Land Management, Urban Planning and Construction (MLMUPC). According to the Ministry’s latest report, approved projects are down by 150 projects compared to the same period in 2021.
The Ministry of Economy and Finance (MEF), through its socio-economic report, showed that the total cost of approved construction projects amounted to $952 million USD, down by almost 60% compared to the same period last year.
Out of the 1,679 constructions approved, 1,524 are reportedly residential projects, or almost 91% of total approved projects so far in 2022. This is a decrease from 1,607 residential projects approved at the same time last year.
For comparison, total construction approved in 2021 amounted to almost 4,000 projects with an estimated cost of over $10 billion USD; over 90% of projects in 2021 were also classified as residential projects.
Despite lower figures compared to last year, there is still confidence within the Cambodian property market. During the first week of July, Cambodia’s largest real estate classifieds portal, Realestate.com.kh held the much-awaited Real Estate EXPO 2022. And with cooperation from the MEF and more than 30 brands from the Cambodian private sector, generated more than $30 million in sales over the two-day event - marking a healthy demand from the Khmer middle class and foreign investors alike.
While there are several ongoing global crises crippling major economies, observers such as the WorldBank and the Asia Development Bank (ADB) are projecting a healthy pace of growth for the Kingdom. The WorldBank forecasts a 4.5% GDP growth while the ADB projects a 5.3% growth for Cambodia in 2022.