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COUNTRY OVERVIEW

  

COUNTRY OVERVIEW

Extraction from Year Book 2006 of Ministry of Planning

HISTORY

 

The earliest recorded history of Cambodia starts with the Funan dynasty. The Kingdom of Funan was situated in what is known today as the southern province of Takeo and lasted for a period of 600 years after Funan dynasty Chenla dynasty (sixth century to seventh century. This dynasty gave way to the powerful Angkor Empire that was eventually responsible for establishing the Khmer Kingdom, as we know it today.

The following generation of powerful kings that belonged to the Angkorian dynasty is believed to have come from India. The dynasty reigned for a period of 650 years, and their empire covered much of South East Asia. Their territory stretched from Myanmar, which lies east, to the South China Sea and further north, right up to also China.

Statue of Preah Bat Jaya Varman VII

Khmer kings, during this golden period of rule, built the most ornate and extensive temples or prasats known to mankind.

These spectacular constructions were built throughout the kingdom, Angkor Wat, is of course the most famous. Amongst the most successful of the Angkorean kings were Preah Bat Jaya Varman II, Preah Bat Yasor Varman I, Preah Bat Surya VarmanII, and Preah Bat Jaya Varman VII.

Besides building the most majestic prasats on earth, they were also responsible for huge agricultural feats of engineering which included sophisticated irrigation systems, great water reservoirs, and countless canal systems that guaranteed food transport.

Some of these systems are still in use even today. Angkor became the capital of a great kingdom and the center for government, education, religion, and commerce. However, in the late 13th century a sudden shift of power took place. Angkor was invaded and eventually, completely ravaged. The entire population and wealth of a once proud civilization was abandoned and covered by tropical forest.

Flag of Cambodia

Following the abandonment of Angkor, Cambodia's capital population migrated south to Long Vek, then further to Ou Dong, and eventually to Phnom Penh. The destruction of the mighty Angkorian capital also caused a decline, adaptation, and eventual replacement of Hinduism. Theravada Buddhism became the national religion.

From the 15th century to the in century, Cambodia was often encroached on by neighboring Thai and Vietnamese forces. They resisted, but eventually succumbed to a European colonial power.

In 1863, Preah Bat Norodom signed a Protectorate Treaty with France, which consequently placed Cambodia under French rule for the next 90 years. After the death of Preah Bat Norodom in 1904, Preah Bat Sisowath, young brother of King Norodom, was subsequently crowned as the new king of Cambodia (1904-1927) and King Monivong, son of King Sisovath (1927-1941). However, the throne returned to the Norodom family with the following coronation of Preah Bat Norodom Sihanouk in 1941. At that time he was only 18 years old.

Shortly after that, during the Second World War in 1945, the Japanese ousted the French. King Norodom Sihanouk took the opportunity to free Cambodia from foreign control. For many years following, He campaigned tirelessly for this objective, and was eventually rewarded.

Cambodian was granted its independence in 1953. The Independence ceremony marked the end of90 years of French protectorate rule. In 1959, King Norodom Sihanouk abdicated the throne, turning the position of Kingship over to his father, Preah Bat Norodom Soramarith (1955-1960). Then, Prince Norodom Sihanouk became the Head of Sangkum Reas Niyoum.

From 1950 through to 1970, the Kingdom of Cambodia was self-sufficient and prosperous. It excelled in many areas of development. Cambodia was then known as the Jewel of the Orient. Unfortunately, the prosperity was to be short lived. As war started to escalate in Vietnam, Cambodia's borders increasingly became the targets of American and Vietnamese aggression.

On March 18th, 1970, General Lon Nol, backed by the Americans, overthrew the Head of State Prince Norodom Sihanouk. Consequently, Cambodia became deeply involved in the war, fighting mainly against the Communist Khmer fighting faction, the Khmer Rouge. General Lon Nol's control over Cambodia's government lasted for a period of barely five years, being eventually overthrown by the Khmer Rouge, headed by Pol Pot on the 17th of April 1975.

History repeated itself once again as soon as Pol Pot invaded. The entire population evacuated the city leaving a once vibrant capital in ruin and decay. After the evacuation, the Khmer Rouge tricked Prince Norodom Sihanouk in to returning to Phnom Penh to be Head of State, however, he was not allowed to carry out his responsibilities as Head of State and he was not allowed to leave the Palace walls. In effect, he was placed under house arrest.

The Khmer Rouge then proceeded to implement a "reign of terror" on the Cambodian peoples. People were brutally forced to work as slaves in the rice fields. These people had to endure long periods of hard, painful labor while effectively being starved at the same time. Pol Pot's Kampuchean regime established forced labor camps, and tortured, killed or starved an estimated 2 million people, including women and children.

In 1979, The People's Republic of Kampuchea, supported by Vietnamese, liberated the capital. This presented the opportunity for the country to become reestablished once again. Throughout the 1980's and with the assistance of the Vietnamese, the common people rebuilt their economy.

In 1989, the Vietnamese withdrew from Cambodia and the country was re-named "State of Cambodia". In 1991, the Paris Peace Accords created the United Nations Transitional Authority (UNTAC), which was backed by some 22,000 United Nations troops to prepare the first, free and fair general election.

In May 1993, UNTAC supervised Cambodia's first general election. His Majesty Preah Bat Norodom Sihanouk was reinstated as King. Since that time, two further general elections have been held in Cambodia. The second general election was held in July 1998, while the last general election was held in July 2003.

In 2004, His Majesty Preah Bat Norodom Sihanouk Varman decided to retire. His Majesty Preah Bat Norodom Sihamoni, became the King of Cambodia in October 2004.

Today, the Kingdom of Cambodia is once again a peaceful place to Visit Cambodia now incorporates a Parliamentary Government system, with His Majesty Preah Bat Norodom Sihamoni, King and Head of State; Samdech Chea Sim, President of the Senate; Samdech Heng Samrin, President of the National Assembly and Samdech Hun Sen, Prime Minister. His Majesty is effectively the symbol of national unity for the people of Cambodia who hold him dear to their hearts.

Cambodia has a land area of 181,035 square kilometers in the southwestern part of the Indochina peninsula and lies completely within the tropics with its southernmost points slightly more than 100 above the Equator.

The country's capital city is Phnom Penh. International borders are shared with Thailand and the Lao People's Democratic Republic on the west and on the north, and the socialist Republic of Vietnam on the east and southeast.

The country is bounded on the southwest by the Gulf of Thailand. The country has a coastline of 440 km and extensive mangrove forests, some of which are relatively undisturbed.

The dominant features of the Cambodia landscape are the large, almost centrally located, Tonle Sap (Great Lake) and the Bassac River and the Mekong River system, which cross the country from the north to the south.

Tonle Sap Lake

Surrounding the Central Plains, which cover three quarters of the country's area, are the more densely forested and sparsely populated highlands, comprising: the Elephant Mountains and Cardamom Mountains of the southwest and western regions; the Dangrek Mountain of the north adjoining the Karat Plateau of Thailand; and the Ratanakiri Plateau and Chlong Highlands on the east merging with the Central Highlan4s of Vietnam.
 
Cambodia's climate, like that of the rest of Southeast Asia, is dominated by the monsoon, which are known as tropical wet and dry because of the distinctly marked seasonal differences. The monsoon brings the rainy season from mid-May to mid­September or to early October, and the northeast monsoon flow of drier and cooler air lasts from early November to March and then hotter air prevails in April and early May.

Temperatures are fairly uniform through out the TonIe Sap Basin area, with only small variations from the average annual mean of round 250 Centigrade. January is the coldest month, and April is the warmest. Total annual rainfall average is between 100 and 150 centimeters, with the heaviest fall in the southeast.

The relative humidity is high at night throughout the year, usually exceeding 90 percent. During the daytime in the dry season, humidity averages about 50 percent or slightly lower, but it may remain about 60 percent in the rainy period.

GOVERNMENT

The Constitution defines the royal role as being one of a symbol of unity and permanence of the Nation and a guarantee of national independence, sovereignty and territorial integrity of the Kingdom. The King is the head of state for life. The King reigns but does not govern. He appoints the Prime Minister and the Council of Ministers. In the absence of the King, the chairman of the senate assumes the powers as acting Head of State.

Samdech Akka Moha Sena Padei Techo
HUN SEN
Prime Minister of the Royal Government of Cambodia

The Cambodian parliament is composed of 2 houses, a lower house, which is also called the National Assembly, and an upper house that is commonly referred to as the Senate. Draft laws require adoption by both houses before they become laws. The National Assembly and Senate members or the Prime Minister have the right to propose laws. The Senate consists of 61 senators and meets twice a year with each session lasting for three months. The National Assembly is elected for five years and consists of 123 members all of whom are elected by universal secret ballot.

According to official results of the July 27,2003 elections announced by the National Election Committee, CPP holds 73 seats, FUNCINPEC holds 26 seats, and Sam Rainsy Party holds 24 seats. The ordinary session of the National Assembly is held twice per year with each session lasting at least three months. The Council of Ministers is the Royal Government of Cambodia.

The Royal Government is the executive organ of the State led by Prime Minister Samdech Hun Sen. The RGC, with its armed forces and its administration, govern the State, is in charge of the overall national policies and programs implementation, and is accountable to the Parliament. The Prime Minister is assisted by seven deputy Prime Ministers, 15 Senior Ministers, 28 Ministers and 132 Secretaries of State.

POPULATION

Phnom Penh

According to population projections based on the General Population Census of Cambodia 1998 and the Inter-censal Population Survey 2004, the population of Cambodia in 2005 is 13.8 million, of which 51.5 percent are females, and growing at an estimated rate of 1.65 percent per annum.

The national average population density is 75 persons per kilometer. Around 84 of the population live in rural areas. Cambodia's urban population (16 percent of the total) is principally located in Phnom Penh, Battambang, Kampong Cham, Kampong Chhnang, Siem Reap and Sihanouk Ville.

Phnom Penh has an estimated population of 1.165 million and an annual rate of growth of around 1.7 percent. Regionally, the distribution of the population is highly skewed towards:

six provinces located in the central plains and around the capital, which contain close to 60 percent of the total population, the provinces of Battambang and Banteay Meanchey bordering Thailand in the west, where over 10 percent of the total population resides and Svay Rieng province bordering Vietnam in the south-east, with another 5 percent of the population. In contrast, other provinces and in particular Ratanakiri and Mondolkiri in the northeast are very sparsely populated (about I percent of total population).
 
Ethnicity, Language and Religion

The population consists of 90 percent Khmer, 5 percent each of Chinese and Vietnamese and smaller numbers of Chams, Burmese and hill tribes. The ethnic groups that constitute Cambodian society possess a number of economic and demographic commonalities, for example, Chinese merchants live mainly in urban centers and play the role middlemen in the economic cycle, but they also preserve differences in their social and cultural institutions.

They are concentrated mostly in central and in southeastern Cambodia. The majority of the inhabitants of Cambodia are settled in fairly permanent villages near the major bodies of water in the Tonle Sap Basin-Mekong Lowlands region.

The Khmer Loeu live in widely scattered villages that are the abandoned when cultivated land in the vicinity is exhausted. The permanently settled Khmer and Cham villages are usually located on or near the banks of a river or other bodies of water. Cham villages are usually made up almost entirely of Cham, but Khmer villages, especially in central and in southeastern Cambodia, typically include sizable Chinese communities.

The major differences among the groups lie in social organization, language, and religion. Theravada Buddhism is the predominant religion of Cambodia, and virtually all Khmers are Buddhists. Cambodians are religiously tolerant and a number of other religions are freely practiced. Christianity is practiced by various ethnic groups, especially the Vietnamese, and Islam is the main religion of the Chams.

Buddhism originated in what is now North India and Nepal during the sixth century B.C. Theravada Buddhism is a tolerant, non-prescriptive religion that does not require belief in a supreme being. Its precepts require that each individual take full responsibility for his own actions and omissions.

Buddhism is based on three concepts: dharma (the doctrine of the Buddha, his guide to right actions and belief); karma (the belief that one's life now and in future lives depends on one's own deeds and misdeeds and that as an individual one is responsible for, and rewarded on the basis of, the sum total of one's acts and missions in all one's incarnations, past and present, and sangha, the ascetic community within which man can improve his karma.

The Buddhist salvation is Nirvana, a final extinction of one's self. Nirvana may be attained by achieving good karma through earning much merit and avoiding misdeeds. A Buddhist's pilgrimage through existence is a constant attempt to distance himself or herself from the world and finally to achieve complete detachment, or Nirvana.

The fundamentals of Buddhist doctrine are the Four Noble Truths: suffering exists; craving (or desire) is the cause of suffering; release from suffering can be achieved by stopping all desire; and enlightenment-Buddha hood can be attained by following the Noble Eightfold Path (right views, right intention, right speech, right action, right livelihood, right effort, right mindfulness, and right concentration), which constitutes the middle way between sensuality and ascetics. Enlightenment consists of knowing these truths.

The average layperson cannot hope for Nirvana after the end of life but can, by complying, as best he or she is able to, with the doctrine's rules of moral conduct-hope to improve his or her karma and thereby better his condition in the next incarnation.

The Cham people in Cambodia have descended from refugees of the Kingdom of Champa, which once ruled much of Vietnam between Gao Ha in the north and Bien Hoa in the south. The Cambodian Chams are divided into two groups based on their religious practices, the orthodox and the traditional Muslims.

The orthodox groups, which make up about one-third of the total number of Chams in the country, are located mainly in the Phnom Penh, Oudong area and in the provinces of Takeo and Kampot. The traditional Cham are scattered throughout the midsection of the country in the provinces of Battambang, Kampong Thom, Kampong Chnang, and Pursat.

The Chams of both groups typically live in villages inhabited only by other Chams. The villages may be along the shores of watercourses, or they may be inland. The inhabitants of the river villages engage in fishing and in growing vegetables. They trade fish to local Khmer for rice. The women in these villages earn money by weaving.

The Chams who live in land support themselves by various means, depending on the villages. Some villages specialize in metalworking, while others raise fruit trees or vegetables. The Cams often serve as butchers of cattle for their Khmer Buddhist neighbors and are, in some area, regarded as skillful water buffalo and ram breeders.

The Khmer Loeu are the non- Khmer highland tribes in Cambodia. The Khmer Loeu are found mainly in the northeastern provinces of Ratanakiri. Steung Treng. Mondalkiri and Kratie. Most Khmer Loeu live in scattered temporary villages that have only a few hundred inhabitants.

These villages usually are governed by a council of local elders or by a village headman. The Khmer Loeu cultivate a wide variety of plants, but the main crop is dry or upland rice grown by the slash-and-burn method. Hunting fishing and gathering supplement the cultivated vegetable foods in the Khmer Loeu diet.

Traditional Khmer House

Houses vary from huge multi-family longhouses to small single-family structures. They may be built close to the ground or on stilts. The major Khmer Loeu groups in Cambodia are the Kuy, Phnong, Stieng, Brao, Pear, Jarai, and Rade. All but the last two speak Mon-Khmer languages. About 160,000 Kuy currently live in the northern Cambodian provinces of Kampong Thom, Preah Vihear, and Steung Treng as well as in adjacent Thailand.

The Chinese in Cambodia form the country's largest ethnic minority. Sixty percent of the Chinese are urban dwellers, engaged mainly in commerce, while the other 40 percent are rural residents working as shopkeepers, as buyers and processors of rice, palm sugar, fruit, and fish, and as money lenders.

The Chinese in Cambodia represent five major linguistic groups, the largest of which is the Teochiu (accounting for about 60 percent) followed by the Cantonese (accounting for about 20 percent), the Hokkien (accounting for about 7 percent), and the Hakka and the Hainanese (each accounting for during the Khmer Rouge years had left it near destitute in both economic infrastructure and human capital.

An estimated 39 percent of Cambodians lived below the poverty line in 19931. However, since 1993 Cambodia has made significant advances in rebuilding its political, economic and social infrastructure.

Three general elections have been held over the past decade and a degree of political stability has been achieved. However, despite considerable effort by the RGC, in partnership with bilateral and multilateral development partners, to improve living standards and the quality of life of the Cambodian people, Cambodia still has one of the highest poverty rates in Southeast Asia (estimated at around 35 percent of total poverty and 20 percent of food poverty in 2004)3. With a Human Development Index score of 0.543 ranks it is currently ranked 130th out of 173 countries internationally, and the worst but one in Southeast Asia.

Gender inequality and access to education and health services also continue to be major challenges. Cambodia has one of the highest prevalence rates for HIV / AIDS, with an estimated 164,000 persons living with the condition.

Cambodia's population has rebounded sharply in the past decade, growing from an estimated 9.3 million4 in 1993 to 14.3 million5 in 2007. However, 55 percent of the population are aged 19 years or less. Total employment in 1993 was an estimated 3.9 million I.

The agriculture sector accounted for 81 percent of employment (mostly subsistence farmers), industry sector for 3 percent, and services sector for 16 percent. By 2004, total employment had increased to 7.5 million6.

The agriculture sector accounted for approximately 60.3 percent of employment, industry sector for 12.5 percent, and services sector for 27.2 percent.

An estimated 225,000 new jobseekers join the labor force each year and most employed persons are multiple jobholders. The underemployment rate is estimated to have grown from 28 percent in 2000 to 38 percent in 2001.

Child labor is also significant, with just under 53 percent of children between the ages of 5 and 17 years of age involved in some form of economic activity7. Roughly 3 out 10 of these children work in the industry and services sectors.

Cambodia is a small economy, with real Gross Domestic Product (GDP) in 2005 of around 21,812 billion Riels (US$ 5.3 billion) and real per capita income of 1.58 million Riels (US$ 385) per annum8. While GDP growth has averaged around 9 percent per annum in recent years, GDP per capita growth has only averaged around 7 percent.

This has resulted in a widening gap between the rural poor and the relatively better off urban population. The economic base is shifting away from agriculture, fisheries and forestry, with the sector accounting for around 31.4 percent of GDP.

The industry sector has continued to grow strongly and now accounts for around 27 percent of GDP, with the textiles, garments and footwear industries accounting for 55 percent of the sector. The services sector is the largest sector in the economy and accounts for 36 percent of GDP and is largely drive!); by the tourism industry.

Most of the economic growth since 1995 has been due to The growth in the textiles, garments and footwear industries.

While consumer price inflation is estimated to have been stable at around 2 percent in recent years, there has been a significant increase in consumer prices over 2005, due mainly to significantly higher increases in the consumer prices of beef, diesel, fish, gasoline, kerosene, pork, poultry, and rice.9

The Riel has continued to depreciate against the currencies of major trading partners, at around 1 percent on average per annum against the US dollar in recent years and around 4 percent in 2005.10

Wetland Forest

From an environment and natural resources perspective, extensive overexploitation of Cambodia's fisheries and forests has taken place over the last decade. The authorities recognize the need for effective fisheries and forestry management in future years in order for these industries to survive in the long-term.

Agricultural land use has expanded considerably over this time, in line with the population growth. However, only limited resources have been available to improve irrigation systems and over 80 percent of agriculture is still rainfall dependent 11.

Given the high levels of poverty and the various tax exemptions and concessions given to businesses in order to attract foreign investors, the potential revenue base for the RGC is very small. Domestic revenue in 2005 was estimated at 12.0 percent of GDP or US$ 641 million. Approximately 27.2 percent of domestic revenue carne from non-tax revenue and capital revenue.

Foreign financing in the form of aid, grants and soft loans accounted for the remainder of the budget. Customs and excise duties accounted for 30 percent 0 tax revenue.

 

In following up on the Millennium Declaration, Cambodia has launched several initiatives to meet its global and national commitment to fight extreme poverty, including several institutional reforms. The RGC Rectangular Strategy and the National Poverty Reduction Strategy builds upon a policy stance of economic growth and poverty reduction.

The reform agenda of the RGC essentially focuses on a deepening of economic reforms and macroeconomic stability, including fiscal and monetary reforms, trade and investment promotion, administrative reforms, military demobilization, and improved fishery and forestry management.

The RGC has identified four priority sectors: education, health, rural development and agriculture, and major programs of economic and social infrastructure development are underway. A Governance Action Plan is being implemented with a set of actions to be taken to enhance governance in key areas such as judicial and legal system, anti-corruption and public finance.

 


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