USAID administrator Samantha Power addresses a press conference in Phnom Penh on October 23. Hong Raksmey
Cambodia’s path to economic transformation has taken a significant step forward with USAID administrator Samantha Power’s announcement of $50 million in new US government aid.
Power explained that the funds would help farmers connect with markets, adopt new technologies and clear landmines, while also supporting civil society, labour and independent media to strengthen the country’s democratic and economic future.
A portion of the funding will help the country improve implementation and development of food safety regulations by improving post-harvest handling of soybean meal, increasing adoption of climate-smart technologies, providing training on best food safety practices and strengthening market linkages.
During her visit to Phnom Penh, Power highlighted that the investment will focus on strengthening the country’s agriculture, food security and environmental conservation.
These initiatives aim to improve livelihoods, bolster economic growth and preserve the country’s rich biodiversity, particularly in the Mekong River Basin.
Power said over the past few decades, the Cambodian people have made remarkable strides to improve health, education and economic growth.
“We in the US, again, have been able to support these efforts, with a total of $3 billion in assistance over the past more than 30 years,” Power stated at an October 23 press conference.
“And we are here to ensure that Cambodian farmers are better connected to markets and equipped with the tools they need to produce safe and plentiful food,” she added.
Power emphasised that this investment will help farmers access markets, adopt new technologies and ensure their crops remain safe for both local and international consumers.
The US has long been a major trade partner for Cambodia and this new funding will continue to build on that economic relationship.
“The US is Cambodia’s largest export market, and over the past five years, Cambodia’s exports to the US have more than doubled,” Power said.
A $29 million Food for Progress award from the US Department of Agriculture is designed to improve the implementation and development of food safety regulations.
Travelling by boat down the Tonle Sap River to its confluence with the Mekong, Power releases endangered fish into the water. USAID
This includes helping farmers adopt best practices in post-harvest management and food safety standards, which are essential for maintaining the quality of Cambodian agricultural products in global markets.
“These funds are not just about food production, they are about economic empowerment and ensuring that Cambodian farmers can thrive in a competitive global market,” Power emphasised.
“We will invest in keeping the Cambodian people safe by clearing landmines and other unexploded ordnance [UXO] to address the dangerous legacies of war.”
“And importantly, we will invest in supporting civil society, labour and independent media, investments that will not only support Cambodia's democratic future, but its economic future as well.”
The Mekong-US Partnership will also see expanded efforts, with the goal of conserving the biodiversity of the Mekong River Basin which is home to more than 1,000 species of fish and plays a vital role in the livelihoods of local communities.
Power stressed the importance of protecting this natural resource in light of growing environmental threats and the potential for economic development through sustainable practices.
“The rich biodiversity of the Mekong River Basin is critical, not only for the environment but for the communities that rely on it,” Power noted.
The USAID administrator highlighted that the initiative will work alongside the government and local communities to preserve the ecological integrity of the river, while also ensuring the sustainability of its economic benefits.
The investment reflects the US government’s commitment to protecting Cambodia’s natural resources, which Power sees as a key component of the country’s economic future.
Administrator Power also visited the Mekong River, along with USAID partners, government officials, researchers, students, conservationists and fishers.
USAID administrator Samantha Power meets with union representatives and workers at the iconic Angkor Wat Temple. USAID
Travelling by boat down the Tonle Sap River to its confluence with the Mekong River, Power released endangered fish into the water to demonstrate USAID’s support for healthy and thriving inland waterways that promote livelihoods, economic independence, autonomy and food security.
She underscored the US government’s support under the Mekong-US Partnership for autonomy, protecting endangered aquatic marine life and safeguarding the ecosystem of the Mekong watershed and other natural resources in Cambodia.
Power said USAID will continue to support Mekong conservation efforts in Cambodia and their expansion to the Greater Mekong Subregion (GMS).
Economic development requires transparency, accountability
Power expressed her pleasure to be back in Cambodia for her fourth visit.
“In previous visits, of course, I have been awed by the majesty and rich culture of Angkor Wat, the incredible power and importance of the Tuol Sleng Genocide Museum, and, of course, the beauty of the Mekong River,” said Power.
She said the partnership of today builds on several decades of investment by USAID in support of the dignity and prosperity of the Cambodian people.
While the country has shown impressive progress in growing its agricultural exports and building stronger trade ties with the US, Power also underscored the need for reforms that improve transparency and reduce corruption.
She noted that many American and international companies are interested in investing in Cambodia but require assurances that their investments will be protected by a transparent and accountable business environment.
A $29 million Food for Progress award from the US Department of Agriculture is designed to improve the implementation and development of food safety regulations. Post Staff
“It is really, really important for investors to have confidence in the rule of law in order for corruption to be tackled, so that, for example, emerging companies can feel confident that they can invest here without having to pay bribes or engage in kickbacks, which are illegal in the US,” said Power.
Power also highlighted the challenges posed by cyber scams, which have damaged the country’s international reputation.
She urged the Cambodian government to address these scams as a way to restore confidence in the country’s economic potential.
“More broadly, as I discussed with Prime Minister Hun Manet earlier today, American and international companies see real opportunity here in Cambodia,” said Power.
“But in order to invest here, they want to see meaningful improvements in the business enabling environment to tackle corruption, to improve respect for labour rights and to address the cyber scam operations plaguing Cambodia's international reputation.”
Building on decades of US-Cambodia partnership
This new $50 million investment builds on a long-standing partnership between the US and Cambodia.
Over the past three decades, the US has provided more than $2 billion in aid to Cambodia, supporting the country’s efforts to improve health, education and economic infrastructure.
USAID’s work has included a wide range of initiatives, from boosting primary school enrollment to doubling reading scores among students.
Reflecting on this legacy, Power said, “Our support is about fostering Cambodia’s path to independence and prosperity. We are not here to create dependency; we are here to support the vision and goals of the Cambodian people.”
Working toward greater transparency, accountability and protection of human rights can unlock extraordinary prosperity for the Cambodian people, she noted.
“Our presence here is not about geopolitical competition. It is about advancing the dignity, prosperity, and peace of Cambodians,” said Power, the first USAID administrator to visit Cambodia, though she has previously visited the country in other capacities.
She said that one of the challenges is ensuring future generations are not saddled with debt obligations, often at high interest, that were incurred long before.
“Again, our goal is for Cambodia to move once and for all from aid to trade. We know the capability of the Cambodian people,” she says.
A shared vision for Cambodia’s future
As the country continues its journey toward greater economic prosperity, Power reiterated the importance of balancing development with the protection of natural resources.
The investments announced by USAID not only aim to boost agricultural output but also to ensure that Cambodia’s natural assets, like the Mekong River, are preserved for future generations.
“We see it in the incredible economic growth that this country has enjoyed. We see it in the resilience of the people who have gone through so much over generations. And what we seek to do is to be catalytic and responsive to our partners' objectives,” said Power.
“But the ultimate objective is for a sovereign and independent Cambodia to make its own choices about how to deploy its own resources, including its tremendous human capital.”
With the US government’s continued support, Cambodia is poised to further strengthen its agricultural sector, enhance market access and safeguard its environmental heritage, ensuring a brighter and more sustainable future for all Cambodians.
