Decline in transfers linked to rice prices: In Channy, president and group managing director of Acleda Bank, said inbound fund transfers, including remittances, declined to $1.52 billion last year, from $1.54 billion in 2015. He said the decrease – which bucked Cambodia’s steady 7 percent GDP growth – was largely due to the lower value of international trade in agricultural products, particularly rice. “Total fund transfers for international trade in the industrial sector in 2016 increased as usual, but the value of rice transactions declined noticeably,” he said. The decline in fund transfers to Cambodia through Acleda.
Bank reflected a slowdown in the growth of rice exports last year, while the commodity’s price fell. Government data showed Cambodian rice exports grew by just 0.7 percent last year to 542,144 tonnes, while prices declined between 5 to 18 percent compared to 2015. A Ministry of Commerce annual report released late last month estimated that Cambodia’s total exports reached $9.86 billion in 2016, up 3 percent compared to 2015.
(Source: The Phnom Penh Post)