Cambodia and Vietnam – Closer Relations
two-way trading
Trade definition:
1. To exchange one item for another, a person or company gives an item (good, service, asset, etc.) to another person or company, and the latter gives in exchange a different item to the first, as payment.
2. To export and/or import.
3. The quantity or value of exports and/or imports.
between Cambodia and Vietnam has enjoyed strong growth
Definition of growth:
See economic growth. In recent years, but only recently has economic relations.
Definition of economic relations:
Economic activity involving participants from two countries, most obviously trade, but also other forms. Some pairs of countries that have essentially no political relations, nevertheless have economic relations.
between the two countries received an important boost. The signing of key bilateral agreements
Definition of two-sided:
Between two countries, in contrast to plurilateral and multilateral. The deals, coupled with Cambodia’s faltering trade with Thailand in recent months, have provided a recent boost to Cambodian-Vietnamese trade, with figures reaching $1.7 billion in 2008. Recent investments and agreements between the two are expected to countries further expand bilateral economic and trade relations. in the next few years.
“The Vietnamese side has invested a capital of 100 million US dollars.
Capital definition:
1. The plant and equipment used in production.
2. One of the main primary factors, the availability of which contributes to labor productivity, comparative advantage, and the pattern of international trade.
3. A stock of financial assets.
in Cambodia Angkor air,” said Sok An, Vice Prime Minister and Minister in Charge of the Council of Ministers, at the signing ceremony which was presided over by Prime Minister Hun Sen and visited Vietnamese Vice Prime Minister Truong Vinh Trong, who is also a representative of the Prime Minister of Vietnam.
“Cambodia will have a 51 percent stake and the Vietnamese side will control 49 percent,” Sok An said, adding that Cambodia is new.
Definition of new:
Net economic welfare airline will help boost the tourism sector.
Industry definition:
A portion of the economy that produces a particular category of goods or services, such as the agricultural sector, the banking sector, etc. In the Kingdom, while the world has encountered the global economic and financial crisis. Vietnamese investment.
Investment definition:
1. Addition to the capital stock of a company or country.
2. Purchase of an asset, real or financial.
3. The use of resources today in order to increase productivity or income in the future.
in Cambodia Angkor Air will be processed for 30 years, Sok An said.
Cambodian and Vietnamese relations have not been fully maximized in the past, bilateral economic relations between the two countries catapulted after the signing of a bilateral agreement in 2007, aimed at expanding trade between Cambodia and Vietnam during the period 2007- 2015. In 2006, bilateral trade stood at US$1 billion and enjoyed slight growth in 2007, with total trade reaching US$1.2 billion. The bilateral agreement signed in 2007 allowed for greater investments in special economic zones and increased the volume of trade between the two countries, resulting in an increase of $400 million in 2008, with a total trade of $1.7 billion.
Vietnam exported about $1.45 billion worth of goods to Cambodia in 2008, including farm machinery, pesticides, agricultural products, seafood, and gasoline. Cambodia’s exports to Vietnam during the same year totaled about $1.35 billion and included mainly grains, tobacco, cassava, and wood products.
The slowdown in Cambodia’s bilateral trade with one of its main trading partners, Thailand, due to border tensions in the latter half of 2008, has further encouraged economic relations between Cambodia and Vietnam. In fact, the conflict with Thailand encouraged the signing of several bilateral agreements that promote expansions in current and future bilateral trade between Cambodia and Vietnam.
Further boost trade between the two neighboring countries, is development.
Development definition:
economic development
of special economic zones along the common borders of countries. The Cambodian government has authorized six special economic zones along the border with Vietnam since 2007, two of which are already operational and four currently in development stages.
The agreement signed in November included the construction of a new $100 million special economic zone.
Definition of special economic zone:
These exist in various countries, including especially China, and their characteristics vary. They are generally designated regions for economic development geared towards FDI inflows and exports, both encouraged by special policy incentives that may include being an EPZ. On the border between Vietnam and Cambodia, it is expected to boost trade, employment
Job Definition:
People who work for wages or in a family business or farm. National statistical agencies, such as the US Bureau of Labor Statistics, use much more specific definitions to measure employment. Contrast with unemployment. And local production. The zone will cover 100 hectares of land that will be used mainly for agricultural processing companies. The project is currently under construction and is scheduled for completion in 2015. The economic zone will provide jobs for between 5,000 and 10,000 people, and is expected to increase bilateral trade by between $1 billion and $2 billion a year.
Cambodia and Vietnam plan to establish more special economic zones along the border, which would further increase trade expansion.
In addition, trade is likely to increase as Cambodia increases its production of rice, rubber, and cassava due to increased demand.
Definition of demand:
1. The act of offering to buy a product.
2. The quantity offered to buy.
3. The quantities offered to buy at various prices; the demand curve
from Vietnam.
The stricter measures against smuggling will aim to increase business income.
Definition of income:
Referring to a fee, the money collected by the government. It is equal to the size of the tariff times the amount of imports. An analysis of the effects of a fee must take revenue into account and, in a general equilibrium model, must specify whether and how revenue is spent. Between the two countries as well. In addition, the continuing political instability in Thailand.
Definition of instability:
The property of not being stable; therefore moving in time and/or uncertain in its movement in time.
combined with ongoing border tensions with Cambodia, it is expected to result in flat bilateral trade growth between the two countries, fostering stronger economic relations between Cambodia and Vietnam. As both economies are likely to recover from the impacts of the economic crisis by the end of 2009, bilateral trade between Cambodia and Vietnam is expected to exceed US$2.3 billion in 2010 and US$7 billion through 2015.