Floods force GDP revision

Cambodia has lowered its economic growth projection from 7 to 6 per cent for 2011 after more than a month of flood devastation in the Kingdom and continued economic turmoil in the United States and Europe, Deputy Prime Minister Keat Chhon said yesterday. The full impact of the floods cannot yet be determined, but growth should remain at or above 6 per cent, officials and experts said. Economic problems abroad will have less of an effect on the Kingdom’s outlook. Unfavourable domestic and global conditions have also contributed to a lower-than-expected growth forecast of 6.5 per cent for 2012, Keat Chhon said at an International Business Chamber of Cambodia conference in Phnom Penh yesterday… …While the government’s original forecast was 7 per cent year-on-year gross domestic product growth in 2011, Prime Minister Hun Sen predicted 8.7 per cent growth last month. Asia Development Bank put the 2011 figure at 6.8 per cent last month…

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