Public Investment in Cambodia

The public investment in Cambodia has been increased significantly due to political stability, and economic growth. After suffering from more then two decades of civil war, most of infrastructure in Cambodia were destroyed, and around 85% of total population lives in the rural areas, and many of them live under poverty line (ABD, 2006). After restoration of order in the country the Government has followed a program focused on rehabilitation and development of basic infrastructure, with the aim of improving the socio-economic conditions for further step of development (CDC, 2005). In order to re-establish the infrastructure, the Royal government of Cambodia has requested to donor to provide grain loan, aid for sustainable economic growth and poverty reduction. Royal Government of Cambodia, and donor was set the priority issues of infrastructure provision for development. There are more than 85% of total population and most of then live under poverty line, so rural development is necessary to raise rural economic growth. This consists with MDG goal.