xpiration of a WTO Agreement on Textiles and Clothing,
Cambodia-based textile producers were forced to compete directly
with lower-priced producing countries such as China and India.
Better-than-expected garment sector performance led to more than 9%
growth in 2007. Its vibrant garment industry employs more than
350,000 people and contributes more than 70% of Cambodia's exports.
The Cambodian government has committed itself to a policy supporting
high labor standards in an attempt to maintain buyer interest. In
2005, exploitable oil and natural gas deposits were found beneath
Cambodia's territorial waters, representing a new revenue stream for
the government if commercial extraction begins. Mining also is
attracting significant investor interest, particularly in the
northeastern parts of the country, and the government has said
opportunities exist for mining bauxite, gold, iron and gems. In
2006, a US-Cambodia bilateral Trade and Investment Framework
Agreement (TIFA) was signed and the first round of discussions took
place in early 2007. The tourism industry continues to grow rapidly,
with foreign arrivals reaching 2 million in 2007. In 2007 the
government signed a joint venture agreement with two companies to
form a new national airline. The long-term development of the
economy remains a daunting challenge. The Cambodian government is
working with bilateral and multilateral donors, including the World
Bank and IMF, to address the country's many pressing needs. The
major economic challenge for Cambodia over the next decade will be
fashioning an economic environment in which the private sector can
create enough jobs to handle Cambodia's demographic imbalance. More
than 50% of the population is less than 21 years old. The population
lacks education and productive skills, particularly in the
poverty-ridden countryside, which suffers from an almost total lack
of basic infrastructure.

GDP (purchasing power parity):

$26.19 billion (2007 est.)

GDP (official exchange rate):

$8.604 billion (2007 est.)

GDP - real growth rate:

10.1% (2007 est.)

GDP - per capita (PPP):

$1,900 (2007 est.)

GDP - composition by sector:

agriculture: 31%
industry: 26%
services: 43% (2007 est.)

Labor force:

7 million (2003 est.)

Labor force - by occupation:

agriculture: 75%
industry: NA%
services: NA%

Unemployment rate:

2.5% (2000 est.)

Population below poverty line:

35% (2004)

Hous