PHNOM PENH Dec 1 Cambodian conglomerate LYP
Group signed a $1.5 billion deal with Chinese property developer
SRE Group on Thursday to build a satellite city outside
Cambodia's capital Phnom Penh.
The deal is the latest sign of China expanding its footprint
in the frontier market as the United States vies for influence
in the region, where China is Cambodia's closest ally.
Cambodia is one of the region's poorest countries and few
among its population of about 15 million people will have a
chance to use the new complex.
The project includes a 5-star hotel, a television station
and an 18-hole golf course, which have already been constructed,
Seng Nhak, managing director of LYP Group, told reporters,
adding that a stadium to host the 2023 Southeast Asian Games was
Seng Nhak said the two firms also plan to build a
"We join hands with the Chinese company to make this an
international city," Seng Nhak said. It will be named
Cambodia-Chinese Friendship City.
At a Cambodia-China business forum on Thursday, Cambodia's
Prime Minister Hun Sen said bilateral trade with China reached
$4.3 billion in 2015, a 15 percent rise from 2014.
China's investments in Cambodia were worth $4.9 billion last
year, Hun Sen said, adding that he had made three-year, multiple
entry visas available for Chinese investors.
"In terms of foreign investment over the past five years,
2011-2015, China was the biggest source of investment in
Cambodia," Hun Sen said.
(Reporting by Prak Chan Thul; Editing by Amy Sawitta Lefevre
and Ruth Pitchford)