ABSTRACT
Many research studies have suggested that there is a significant need to develop infrastructure across Asia. According to a report by the Asia Development Bank, Asia needs US$8.2 trillion in financing for infrastructure investment from 2010 to 2020. The Belt and Road Initiative and its new funding agencies are expected to provide Cambodia and other countries in the Association of Southeast Asian Nations with great possibilities and opportunities to access more loans and funds to improve intra-regional and inter-regional physical infrastructure connectivity, strengthen economic competitiveness, boost trade, and encourage more Chinese investment in Cambodia and in the region. Such funding is estimated to reach US$1 trillion by 2020. This paper explains why Cambodia supports the China-proposed Belt and Road Initiative, why this initiative is very significant for Cambodia’s infrastructure connectivity development, why it will further improve Cambodia’s economic competitiveness, and what potential challenges are facing Cambodia.
