PHNOM PENH: In 2025, the Royal Government of Cambodia signed concessional loans with development partners (DPS) totalling more than US$1.2 billion, bringing Cambodia’s public debt stock to more than US$13 billion by the end of 2025. In the same year, the government repaid a total of US$678 million in public debt.
The Cambodia Public Debt Statistical Bulletin was issued by the Ministry of Economy and Finance of Cambodia on March 3.
Signed by finance minister Aun Pornmoniroth, it listed year-end total public debt stock at $13.05 billion, 98% (approximately $12.81 billion) of it public external debt, 60% from Bilateral Development Partners - DPs and 40% from Multilateral DPs. Just 2%, or $246.83 million was public domestic debt.
The public debt was 47% USD, 17% SDR, 10% JPY, 10% CNY and EUR 9% EUR, with local and regional currencies making up the remaining 7%.
The report noted that in 2025, the government took on $1,225.53 million equivalent to SDR 890.06 million in new concessional loans, accounting for 45% of the 6 ceiling permitted by Law (SDR 2,000 million). 33% was signed with Bilateral DPs and 67% with Multilateral DPs. The loans signed in 2025 were approximately 31% below those signed in 2024.
“All the loans are highly concessional, with an average grant element of around 36%. The purpose of the new loans was to finance public investment projects in priority sectors that support long-term sustainable economic growth and increase economic productivity/production,” noted the bulletin.
Among the $12.81 billion in external debt, bilateral creditors include: China $4.008 billion, Japan $1.329 billion, France $818.45 million, South Korea $755.04 million, Thailand $54.22 million, Germany $21.5 million, Vietnam $6.25 million, India $5.93 million, and legacy debt $629.05 million.
Multilateral creditors include institutions such as the Asian Development Bank (ADB), ASEAN Infrastructure Fund (AIF), Asian Infrastructure Investment Bank (AIIB), European Investment Bank (EIB), International Fund for Agricultural Development (IFAD) and the World Bank (WB), among others.
Alongside the new borrowing, the government made debt service payments of $678.3 million in 2025, including: External public debt service about $632.46 million (Principal $500.24 million and Interest and other fees: $132.32 million), and Domestic, about $45.75 million (Principal $40.75 million, and Interest: $5 million).
The ministry stated that the debt service payments in 2025 increased by approximately 21% over 2024.
Pornmoniroth stated that the current public debt situation remains manageable, with sustainable debt levels and low risk. The government has implemented strict and prudent strategic measures, as outlined in its public debt management strategy.
He emphasised that maintaining public debt sustainability is possible because Cambodia has a strong public debt management system.
For 2026, the Law on Financial Management allows the government to borrow up to 2.25 billion SDR, equivalent to about $3.1 billion, from development partners—an increase of 250 million SDR compared with 2025. - The Phnom Penh Post/ANN
