The European Union (EU) has officially announced a significant budget transfer exceeding $22 million, equivalent to 19.5 million euros, to the Royal Government of Cambodia. This crucial financial support is designated to bolster critical development initiatives across the sectors of education, fisheries, and public financial management, with the overarching goal of fostering sustainable development and environmental protection within the Kingdom.
Confirmation of this budget transfer, earmarked for the year 2025, was made during a high-level bilateral meeting held on December 18. The meeting brought together Mr. Oun Moniroth, Cambodia’s Minister of Economy and Finance, and Mr. Igor Driesmans, the European Union’s Ambassador to Cambodia. The primary objective of this gathering was to reaffirm their robust cooperative partnership and to assess the progress achieved across various pivotal areas of collaboration between the two entities.
According to a press release issued by the Ministry of Economy and Finance, the dialogue between the officials also delved into recent macroeconomic and financial developments both in Cambodia and the EU. Discussions encompassed critical topics such as economic growth potential, emerging risks, and current trends in bilateral trade and investment.
Further discussions explored new avenues of cooperation between the EU and Cambodia. Notably, the involvement of France and Finland in supporting Cambodia’s tax reform initiatives and strengthening its public financial management systems was highlighted.
The two sides also acknowledged and commended the substantial volume of bilateral trade recorded between the EU and Cambodia during 2025. Despite EU investment flows remaining moderate, Cambodia’s exports to the European market demonstrated robust growth, increasing by approximately 17% year-on-year by October 2025.
Looking ahead, the European Union expressed its steadfast commitment to broadening the scope of its cooperation with Cambodia. This expansion will prioritize key sectors such as hydropower development and comprehensive education and skills training. Both parties affirmed their mutual intention to accelerate and deepen their collaborative efforts in these and other vital areas in the years to come.
