The BGA Cambodia Team, led by Managing Director Bora Chhay, wrote an update to clients on the country’s upcoming general election.

Context

  • Cambodia will elect 125 members of the National Assembly July 23. Eighteen political parties are contesting, and more than 9.7 million Cambodians have registered to vote — up from 8.4 million in 2018. Around 23,800 polling stations have been erected nationwide — up slightly from 2018.
  • Opposition activists and Western countries have criticized the election following the May 15 National Election Committee’s disqualification of the Candlelight Party. Cambodia’s only credible opposition party was barred from contesting due to a registration technicality. It captured attention in Cambodia and internationally when it won 22.3 percent of the vote in the country’s communal elections last June.

Significance

  • Assuming the CPP wins a majority of seats in the lower house, the transfer of power to a new generation of leaders is likely. A Cabinet reshuffle is expected immediately after the election, which would award 50-80 percent of the top portfolios to young leaders and replace senior officials aged 70 and above. The next-generation leaders aim to reform Cambodia’s governance, foreign policy and economic agenda to help the country achieve upper middle-income status by 2030.
  • The CPP is campaigning on the notion that it led the country out of the horrors of Khmer Rouge rule and guided economic development in the intervening years. The last general election in 2018 saw the CPP cement its grip on power by winning all 125 seats in the National Assembly. It has chosen its president, Hun Sen, as the prime minister for the upcoming general election and his son Hun Manet as its future choice for prime minister. Hun Manet is running as the CPP’s leading candidate for the Phnom Penh constituency.

Implications

  • A younger generation of Cabinet officials is expected to improve Cambodia’s investment environment and develop a range of strategic sectors to support the country’s sustainable economic growth. Nevertheless, businesses operating in Cambodia should be aware that the CPP’s short- to long-term priorities are to maintain peace, preserve political and macroeconomic stability and remain in power as long as possible.
  • The timeline of Hun Manet’s ascension will depend on the upcoming election results. He could take over immediately after the election if the CPP wins a majority of seats in the legislature.

We will continue to keep you updated on developments in Cambodia as they occur. If you have any comments or questions, please contact BGA Cambodia Managing Director Bora Chhay at bchhay@bowergroupasia.com.

Best regards,

BGA Cambodia Team

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Managing Director

Bora leads BGA’s practice in Cambodia. He is a highly regarded government affairs and public policy expert who helps clients resolve business issues, navigate regulatory and legal challenges, expand operations, explore new investment opportunities and enter Cambodia’s market.  Prior to joining BGA, Bora served for five years as a fast-moving consumer goods (FMCG) corporate and regulatory affairs professional. In this role, he helped transform his company’s government relations and corporate affairs unit into a more effective business-driven group. Notwithstanding Cambodia’s difficult and highly regulated macro environment, Bora played a key role in developing and executing government relations and corporate affairs ... Read More