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usiness which have been discussed above. A framework that rewards and protects theinvestment and work of entrepreneurs will increase investment in human and physicalcapital, further improving the competitiveness of Cambodian SMEs.In the long run by increasing the activity of SMEs and their involvement ininternational trade the government will increase tax revenues. This will enable thegovernment to upgrade infrastructure and supporting technology with flow on effectsright through the economy. This will further encourage FDI and on-going businessdevelopment. By establishing an enabling business environment and encouragingdevelopment of the nation’s SMEs Cambodia will be able to maintain strong andequitable economic development.NOTES1Tilman Altenburg and Ute Eckhardt, 2006.2Often definitions of SMEs have a lower boundary. In Cambodia firms with fewer than 10employees are often defined as micro enterprises rather than SMEs. For the purpose of thisreport any enterprise with 100 or fewer workers is an SME.3Ministry of Industry Mines and Energy, in Cambodian department of Statistics Yearbook,2006.4By noting registered SMEs only this figure probably under-estimates the total number ofSMEs operating in the country.5Sarthi A, Kim. S, Chap. S and Meach Y 2003.6Chandler, D 1998.7Sarthi A, Kim. S, Chap. S and Meach Y, 2003.8Chandler, D, 1998.9National Institute of Statistics, 2003.10Ministry of Industry Mines and Energy data in Cambodian National Institute of Statistics2006 Yearbook 2006.11Asian Development Bank, 2003.12The Council for the Development of Cambodia, 2007.13Murshid and Sokphally, 200514Nearly 80 percent of Cambodian exports last year were clothing and related manufacturedgoods. Almost all of these exports were produced by enterprises employing, on average, over1000 workers.15Royal Government of Cambodia SME Sub-committee, 2005.16National Institute of Statistics, 2003.17Snodgrass. D. R & T Briggs 199618National Institute of Statistics, 2003 and MIME website.19National Institute of Statistics, 2003.20Definitions of SMEs used in official MoP statistics changed after 2001, so an ongoingcomparison was not possible. Meas, W. H. 200433
21Small firms here are classified as those with fewer than 10 employees.22World Bank, 2004.23Unskilled workers are clerks, service and sales workers, craft and related trades workers,plant/machine operators and assemblers, armed forces and elementary occupations. World Bank200424The Council for the Development of Cambodia, 2007.25Saleh and Ndubisi 2006.26World Bank, 2004.27Royal Government of Cambodia Sub-committee of SMEs 2005. The RGC is behind it’s ownschedule for introducing SME promotion policies, as laid out in an implementation timetable itprepared for the WTO.28Royal Government of Cambodia Sub-committee of SMEs 200529Rectangular Strategy for Growth, 2004.30Royal Government of Cambodia Sub-committee of SMEs 200531Royal Government of Cambodia Sub-Committee on SMEs, 2005.32Workshop on SME Development Program, 2005.33Royal Government of Cambodia Sub-Committee on SMEs, 2005.34Asian Development Bank, 2003 and World Bank, 2004.35Visits from tax officials are the most common and time consuming, followed by visits fromthe police.36World Bank, 2004.37World Bank, 2004.38World Bank Doing Business, 2006.39World Bank, 2004.40World Bank 2004. Royal Government of Cambodia SME Sub-Committee, 2005. There issome confusion here. The WB reports the original fee at US$650, while The Cambodian SMESub-Committee report it to be US$280.41Cambodian Ministry of Commerce in Royal Government of Cambodia SME Sub-Committee,2005.42If the data was available registration could be set as a percentage of average SME revenue.43Asian Development Bank, 2003.44Asian Development Bank, 2003.45The Council for the Development of Cambodia, 2007.46Royal Government of Cambodia SME Sub-Committee, 2005.47Royal Government of Cambodia SME Sub-Committee, 2005.48Asian Development Bank, 2003.49World Bank 200450Asian Development Bank, 2003.51The Council for the Development of Cambodia, 2007.52Asian Development Bank, 2003.53Asian Development Bank, 2003, World Bank, 2004.54The World Bank Doing Business Report, in Economic Institute of Cambodia, 2007.55The Council for the Development of Cambodia, 2007.56The World Bank, 2004.57The Council for the Development of Cambodia, 2007.58The Risk Management System is a process for determining which goods and persons carrythe most risk and hence should be examined at the border.59The Council for the Development of Cambodia, 2007.606162The Council for the Development of Cambodia, 2007.Asian Development Bank, 2003.The World Bank Doing Business report, 2006, in Economic Institute of Cambodia 2007.34
Page 1: Chapter 1Cambodia Small and Medium
Page 7: Table 2: SME definitionEmployee num
Page 10 and 11: Figure 2: Gross value added per wor
Page 12 and 13: satisfactory infrastructure are cru
Page 14 and 15: Table 3 Rectangular Strategy: 13 st
Page 16 and 17: 1. Regulatory and Legal Framework2.
Page 18 and 19: Lowering barriers to company regist
Page 20 and 21: The ADB recommend any citations sho
Page 22 and 23: would not only reduce the costs of
Page 24 and 25: 1. a lack of collateral2. an in-ade
Page 26 and 27: 5.2.6 Credit information sharingThe
Page 28 and 29: positions for approaching financial
Page 30 and 31: 1. more trade fairs2. areas for SME
Page 32 and 33: Due to the often specific human cap
Page 36 and 37: 63World Bank, 2004.64World Bank, 20

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