In 2024, Singapore was Cambodia’s third-largest foreign investor, with bilateral trade between the countries increasing 7.1 % year on year to $4.83 billion.
Singapore and Cambodia will deepen their collaboration in several areas, including renewable energy, high-quality carbon credits and trade in food products, as the two countries mark 60 years of diplomatic relations.
Singapore’s Prime Minister Lawrence Wong is currently on diplomatic visit to Cambodian capital of Phnom Penh, the latest in his series of introductory visits to Asean capitals. Cambodian Prime Minister Hun Manet said the two countries’ relationship had continued to grow from strength to strength over the last six decades.
Singapore is one of Cambodia’s largest investors and trading partners. In 2024, the Republic was Cambodia’s third-largest foreign investor, with bilateral trade between the countries increasing 7.1 % year on year to $4.83 billion.
Among the priority areas of cooperation the two country leaders agreed on renewable energy, to work together to mutually assist in building a greener and more interconnected Asean.
Singapore’s Prime Minister Lawrence Wong cited a project for Singapore to import 1GW of low-carbon electricity from Cambodia, which will be a key building block towards an Asean Power Grid. The plan is for the grid to link up the electricity networks of the group’s member countries and enable cross-border power trading by 2045. Some progress has already been made on this front, with Singapore’s Keppel having inked a pact in 2023 with Cambodia’s Royal Group Power for the long-term import and sale of 1GW of low-carbon electricity.
In the area of high-quality carbon credits, the countries are working together on an implementation agreement that builds on an earlier memorandum of understanding. PM Wong listed the top priorities on bilateral alliance in his key note address.
PM Wong said, “First, we are working together to build a greener and more interconnected ASEAN by deepening cooperation in renewable energy. And we are working on a project to import low-carbon electricity from Cambodia, which will be one of the key building blocks for the ASEAN Power Grid.
Second, we are working together on high-quality carbon markets, including an Implementation Agreement on Carbon Credits. This will mobilise financing for clean-energy projects, uplift rural communities and improve livelihoods, while enabling both our countries to hit our net-zero goals.
And third, we are deepening cooperation in agri-trade because Cambodia is a key agricultural exporter, while Singapore imports almost everything we eat, and we are keen to diversify our sources of food imports. So closer collaboration in this area will be mutually beneficial for both our countries.
Fourth, we will continue to strengthen ASEAN centrality and unity. In this uncertain global environment, it is more important than ever for ASEAN to stay cohesive, uphold open channels of dialogue, and work together to resolve our differences peacefully. Only then can we preserve our relevance, and continue advancing the region’s collective interests.”
