Cambodia has seen a huge influx of Chinese investment, workers and tourists in recent years. Many in Cambodia are increasingly worried about the negative impact it is having.

Sihanoukville, a once-sleepy beach town, symbolizes the transformation brought about by Chinese investment in Cambodia. The town of around 160,000 inhabitants has been completely transformed by Chinese casinos, hotels and factories in recent years.

Many Chinese firms have set up factories in the town. The main attraction for business is the Sihanoukville Special Economic Zone (SSEZ), a China-Cambodia tax-free economic zone. Chinese companies run the majority of the over 100 factories in the zone.

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The post Hun Sen Slowly Selling Cambodia Down the Mekong River to China first appeared on Open Development Mekong.

Beijing’s spending on hydropower projects is welcomed by many poorer Southeast Asian countries, but it comes with a huge environmental and social cost, experts say.

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The post Are Chinese-funded dams on the Mekong River washing away Cambodian livelihoods? first appeared on Open Development Mekong.

An extensive tax treaty that would shield Chinese businesses operating in the Kingdom from double taxation, and vice versa, has been drafted and is expected to be approved imminently, according to a senior Cambodian tax official. Experts said on October 19 the double taxation agreement would create a clear legal framework built on increased fiscal transparency, allowing Chinese investment to continue to flood into the Kingdom without fear of an onerous tax obligation. Bun Neary, deputy director-general of the General Department of Taxation, said China has fully endorsed the DTA, which was among dozens of bilateral agreements inked during the state visit of Chinese President Xi Jinping last week. The document has been sent to Minister of Economy and Finance Aun Pornmoniroth for final approval, which could come within days. “There are a lot of Chinese investors in Cambodia and we need to have clear tax procedures to protect investors from being overly taxed,” she said. “The agreement will define what can and can’t be subject to double taxation.”

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The post Chinese dual tax burden relieved first appeared on Open Development Mekong.