Businesspeople Inside and Outside of the Country Gather Force to Promote the Real Estate Market in Cambodia – Wednesday, 11.2.2009

Posted on 12 February 2009. Filed under: Week 599 | Tags: , , , , , , , , , , , , , , , , , , , |

The Mirror, Vol. 13, No. 599

“Phnom Penh: This week, real estate businesspeople from inside and outside of the country gathered to create a new association to promote and improve the declining real estate market in Cambodia. The Association of Cambodian Real Estate Developers aims to help restore the fast declining real estate market in Cambodian to grow up again.

“Real estates companies expressed their hope that the real estate market will become active again soon. Representatives of real estates companies had assembled to join forces and to make efforts to restore their situation, lively selling real estate in Cambodia again. Mr. Van So Ieng, who was selected to be the president of the Association of the Cambodian Real Estate Developers, said that this new association plays a role to help coordinate work with the government, in order to find ways to reactivate the land and the house markets in Cambodia.

“Mr. Van So Ieng added that the creation of this association is to establish another new force to encourage activities regarding real estate, to get moving ahead.

“It should be noted that the Association of the Cambodian Real Estate Developers was created, after the real estate market of Cambodia had collapsed, and while the government established a new policy, requiring real estate companies to deposit 2% of to the volume of each construction project as a security deposit.

“The director of the Bunna Realty Group, Mr. Sung Bunna, who was nominated secretary-general of the Association of the Cambodian Real Estate Developers, disagrees with the policy requiring to make a 2% security deposit per construction site. However, he agrees with the establishment of a mechanism to monitor all real estate companies, which is being drafted by the Ministry of Economy and Finance.

“It should be stressed that the policy to reserve a 2% security deposit for ongoing construction activities is to ensure confidence from companies contracting a construction company, so that the customers continue to commit their money to acquire flats.

“Mr. Sung Bunna requested the government to consider the disadvantages of this security depositing policy in a situation when Cambodia’s real estate market is going down like this.

“As for the director of the Udom Vathanak Company that buys and sells land, Mr. Men Ra, he presented the opinion that the 2% security deposit creates a disadvantage that can affect the newly growing real estate market in Cambodia.

“Ahead of the elections in 2008, activities on the real estate market in Cambodia started to slow down, and so far, the land and the house construction markets are still quiet, which is partly also the result of the international financial crisis.

“Mr. Men Ra said that the land market in Cambodia, with cooperating efforts by the government, will become activated again soon.

“Mr. Van So Ieng expressed his hope that the land market will grow again after the real estate companies in Cambodia assembled to form the new Association, especially if there is cooperation from the government.

“Also, Mr. Van So Ieng mentioned that solutions might also be found from the policy of providing loans to citizens to buy houses – this can help to reactivate the real estate market in Cambodia.

“It should be noted that the Cambodian government announced that government institutions are beginning to release loans in an effort to encourage the buying of land and of flats again.

“This announcement by the government was welcomed by different real estate companies in Cambodia.

“Mr. Men Ra called for supporting activities by the National Bank of Cambodia in order to restore the present weak situation of the land market.

“So far, real estate businesspeople still hope that sooner or later, there will be land selling activities again.” Khmer Sthapana, Vol.2, #200, 11.2.2009

Newspapers Appearing on the Newsstand:
Wednesday, 11 February 2009

Cheat Khmer, Vol.1, #15, 11.2.2009

  • Civil Society [the Cambodian Center for Human Rights and the Cambodian Independent Teachers’ Association]: Global Witness’s Website Is Closed Because It Touches Sensitive Spots of Corrupt Officials of the Cambodian People’s Party

Khmer Aphivaot Sethakech, Vol. 7, #339, 11.2.2009

  • The Government and the National Assembly Plan to Question the Person Who Ordered Armed Forces to the Mobitel Company [closing it for about 4 hours]
  • More Than 2,000 Olympic Market Vendors Protest in Front of the Residence of Samdech Dekchor Hun Sen [over the rising prices of market stalls]

Kampuchea Thmey, Vol.8, #1870, 11.2.2009

  • Director General of National Police [Net Savoeun] Orders to Cancel Illegal Police Number Plates, starting in May 2009
  • [The Russey Keo district governor] Kleang Huot Is Accused of Threatening a Man with a Weapon and Hitting and Injuring Him [Phnom Penh]
  • Getting Angry with the Run Away Owner, Some Workers Used the Opportunity to Take All Sewing-Machines of the Factory Away [Wan Sida / Siao Pao Factory – Phnom Penh]
  • Two Thai Men, Who Drove a Car and Crashed into a Truck Loaded with Wood from Behind, Died Immediately on Road 67 B in Srae Nouy Commune [Siem Reap]

Khmer Machas Srok, Vol.3, #341, 11.2.2009

  • Opposition Party [the Sam Rainsy Party] and Civil Society [the Cambodian Independent Teachers’ Association] Criticize the Creation of a National Education Council [saying that it is useless because its tasks are already the responsibility of the Ministry of Education]

Khmer Sthapana, Vol.2, #200, 11.2.2009

  • Businesspeople Inside and Outside of the Country Gather Force to Promote the Real Estate Market in Cambodia
  • National Education Council Is Created to Monitor the Quality of Education of State and Private Universities
  • The Norodom Ranariddh Party Will Hold a Congress to Change Its Name on 15 February 2009 [as planned by one of its factions]

Koh Santepheap, Vol.42, #6575, 11.2.2009

  • There Is Logging, but There Is No Replanting; In the Middle of Botum Sakor National Park’s Buffer Zone, Trees Are Being Cut Down [Koh Kong]
  • More Than 13,000 Tourists Visited the National Museum in 2008
  • Poland Feels Hurt after Pakistani Taliban Beheaded a [Polish] Hostage

Mate Nak, Vol.2, #20, 11-17.2.2009

  • Cambodia Will Launch a Stock Exchange Market This Year

Moneaksekar Khmer, Vol.16, #3684, 11.2.2009

  • Mr. Sam Rainsy Is Disappointed with the Hun Sen Government That Delivers More Than 10,000 Hectares of Land to a Company from Kuwait [to establish an agro-business]

Rasmei Kampuchea, Vol.17, #4818, 11.2.2009

  • The Cambodian Association of Travel Agents Wants the Government to Reduce Prices of Some Services [such as visa fees, airport taxes, tickets to visit different tourist sites] to attract tourists while the financial crisis is strongly threatening tourism from countries in the region]
  • The Khmer Rouge Tribunal Forbids that People in the Audience [allowed to participate in the hearing of former Tuol Sleng Prison chief Kaing Gek Eav on 17 February 2009] Wear Shirts with Slogans Supporting or Attacking the Khmer Rouge Case
  • The Cambodian Center for Human Rights Encourages the Government to Support Freedom of Expression
  • The Owner of the Viva Tinouy Factory [phonetic] Runs Away from [around 1,000] Workers with US$200,000!
  • Health Official: The Quality of Cancer Treatment in Cambodia Is Not Lower Than in Other Countries
  • Japan Grants Nearly US$3 Million to Two Projects [irrigation in Kompong Speu and infectious disease control]

Have a look at the last editorial – you can access it directly from the main page of the Mirror.

And please recommend us also to your colleagues and friends.

Back to top

Advertisements
Read Full Post | Make a Comment ( 1 so far )

Reasons Why Investors from Korea Fail in Cambodia – Friday, 23.1.2009

Posted on 23 January 2009. Filed under: Week 596 | Tags: , , , , , , , , , , , , , , , , , , , , , , , |

Would you like easy access to the editions of The Mirror directly by e-mail, and keep them on your harddisk? Or have a “newsfeed”? You can “subscribe” for free!

Click on Subscribe to The Mirror (not here, but on the blue letters to the right of the text, underneath Have a look at last week’s editorial and Previous editorials). You are offered several possibilities to select from. If you do not have any other preferences, we recommend:

Get The Mirror delivered by e-mail

And follow the questions.
.

The Mirror, Vol. 13, No. 596

“Seeming to be floating towards failure of their long term investments in Cambodia, while the global financial crisis expands, investors in construction and in real estate from Korea are seeking interventions from Samdech Dekchor Hun Sen, the outstanding Prime Minister of Cambodia.

“The director of the Public Internal Financial Control framework which also represents investors from Korea, Mr. Kim Suan Mok [phonetic], said that because Cambodia has Samdech Dekchor Hun Sen as the cleverest and most intelligent Prime Minister and leader, more investors came to invest in Cambodia unexpectedly.

“Mr. Kim Suan Mok added that being a leader with high determination, Samdech Dekchor Hun Sen provides opportunities to investors to invest billions of dollars in Cambodia. They expect to receive warmth from the leadership of Samdech Dekchor Hun Sen as well as support from the Council for the Development of Cambodia; for example Mr. Kim Sun Sok [phonetic] has invested more than US$2 billion in Cambodia, with other investors also having billions of dollars.

“However, the financial crisis which is plaguing the world seems to drive investors in Cambodia more towards failure than towards hope for potential profit from investments in Cambodia. Mr. Kim Suan Mok said that the financial crisis results in a decline of real estate prices in the world by 50%. This led to bankruptcy for some banks. Mr. Kim Suan Mok emphasized that big financial institutions lacking capital had to announced that the world is in crisis, and some financial institutions have to minimize their operations.

“The more than US$2 billion investment mentioned by Mr. Kim Suan Mok is a huge contribution for the Cambodian economy, but some problems, related to skyrocketing prices of real estate in Cambodia, seem to encourage investors to abandon their projects. This will become a bad model for investors having invested their capital, then they will transfer it out again..

Mr. Kim Suan Mok noticed that prices of real estate in the word dropped sharply, but real estate owners in Cambodia seem not to care for world developments and changes. Because the price of real estate in Cambodia is too high, compared to the world market, some investors have given up their plans to buy real estate for investment. Moreover, it is not only investors who worry, but also many Cambodian people are seriously affected by this problem.

“Mr. Kim Suan Mok added that most investors from Korea face failure in Cambodia, and only 10% of them achieve success with their plans. This failure is he result of the fact that most investors did not know the cultural and commercial situation in Cambodia well. Another important point is that investors find it very difficult to find real information leading to success. So far, some investors from Korea have given up their long term investment plans and just wait and see whether the situation of the financial crisis might change soon.

“To support investors so that they have the opportunity to invest in Cambodia for a long period, investors ask the government to help ease the general legal framework for investments, such as the rights to buy and own land for a long period, and not only to lease land from the state for a period of 99 years. The Cambodian government itself should broaden the actual opportunities for investors.

“Also, Mr. Kim Suan Mok appealed to Samdech Dekchor Hun Sen to publish information about the changed global economic situation in order to persuade real estate owners in Cambodia to sell their real estate to investors at prices which are in line with world market price levels.

“Mr. Sung Bunna, director of the Bunna Realty Group and director of the Khmer Real Estate Appraisal Association, said that prices of real estate in Cambodia are fixed and have not declined like in other countries. This is a big problem for investors. Facing the general financial crisis, Mr. Sung Bunna asked the Cambodian government to help rescuing the real estate situation in Cambodia.

“Mr. Sung Bunna estimated that at present, many Cambodian citizen rush to sell their real estate in a narrow market; that means there are many people who rush to sell, while the number of buyers is small. This situation will make the prices of real estate in Cambodia drop dramatically in the near future, and the government should release some money to buy real estate from businesspeople and from banks which might lack money, in order to avoid Cambodia from falling into a crisis.

“Mr. Sung Bunna added that whether the price of real estate in Cambodia will recover again soon or not depends on the confidence of Khmer citizens, but not on foreign investors. Even real estate companies around the country joined as an associations to prevent the price of houses to drop further. In another separate case, more than 730 construction companies are not likely to leave their plans being orphaned too long, and that will be the time when the Khmer real estate sector will be in a good condition again, at the latest in 2010.

“Mr. Sung Bunna appreciates the real estate market in Cambodia which grew strongly in 2008 and provides good economic growth for Cambodia. The prices of real estate might drop dramatically due to the economic crisis, while some businesspeople and banks might encounter a financial crisis and therefore rush to sell their real estate to have financial resources for their trade – but this will have a negative impact on the Cambodian economy; that is, the Cambodian economic growth will drop sharply, making it difficult recover in the future.” Wat Phnom, Vol.16, #8004, 23-25.1.2009

Newspapers Appearing on the Newsstand:
Friday, 23 January 2009

Cheat Khmer, Vol.1, #9, 23-27.1.2009

  • Mr. Sam Rainsy: Solving Border Disputes with Thailand Has to Be Done Together with the International Community [because it is useless to solve disputes bilaterally]

Deum Ampil, Vol.3, #109, 23-29.1.2009

  • Siam [Thailand] Prohibits the Import of Agricultural Products from Cambodia [after a meeting between the Thai Prime Minister and his officials to ban the import of agricultural products and to prevent the illegal entry of workers from Cambodia for economic reasons]

Kampuchea Thmey, Vol.8, #1854, 23.1.2009

  • Nearly 10,000 Workers of the Yongwa Factories Held a Violent Demonstration [demanding to release the annual saving money of US$50, which was normally provided to each worker in January – Takhmao, Kandal]

Khmer Aphivoath Sethakech, Vol.7, #329, 23.1.2009

  • If There Is No Solution [for land disputes with the Heng Development Company and shooting by military police at people] on 23 January 2009] Kandal Stung Residents Will Protest in Front of the National Assembly
  • The Presidents of Unions and Civil Society Ask the Government to Arrest the Real Murderers for Prosecution [who shot dead Mr. Chea Vichea, the former president of the Free Trade Union of Workers of the Kingdom of Cambodia. On 22 January 2009, around 200 people marched with flowers to the site behind Wat Langka where Mr. Chea Vichea was shot dead]

Khmer Machas Srok, Vol.3, #332, 23-27.1.2009

  • Siamese [Thai] Minister of Foreign Affairs [Mr. Kasit Piromya] Asks to Meet also with [the president of the opposition party] Mr. Sam Rainsy [during his official visit on 25 January 2009 to discuss border disputes]

Khmer Sthapana, Vol.2, #190, 23.1.2009

  • Position of Mr. Ke Kim Yan Is Finished – He Is Replaced by Mr. Pol Saroeun as the Commander-in-Chief of the Royal Cambodian Armed Forces [8 other high ranking military officials are also assigned]

Moneaksekar Khmer, Vol.16, #3673, 23-29.1.2009

  • Appeals Court Begins Investigations to Seek the Real Murderers Who Killed Mr. Chea Vichea

Rasmei Kampuchea, Vol.17, #4802, 23.1.2009

  • More Than 300 People Were Arrested during an Operation to Suppress Fishing Crimes, and People Were Detained for Questioning
  • US Ambassador [Ms. Carol A. Rodley] Talks about the Economic Crisis and about Military Relations with Cambodia
  • A Man Took, Tortured, and Raped a 10-Year-Old Girl while Her Grandmother Was Asleep [he was arrested – Kompong Cham]
  • The Director of a Milk Powder Company [mixing melamine plastic into the milk] Was Sentenced to Imprisonment for Life, and Two Others Received the Verdict of Capital Punishment [China]

Samleng Yuvachun Khmer, Vol.16, #3673, 23-29.1.2009

  • The Victims Unit of the Khmer Rouge Tribunal Announces that Victims of the Khmer Rouge Regime Can now to Lodge Complaints against the Suspect Kaing Gek Eav, Called Duch [the former Tuol Sleng Prison chief, within 10 days before the first hearing on 17 February 2009]

Wat Phnom, Vol.16, #8004, 23-25.1.2009

  • Reasons Why Investors from Korea Fail in Cambodia

Have a look at the last editorial – you can access it directly from the main page of the Mirror.

And please recommend us also to your colleagues and friends.

Back to top

Read Full Post | Make a Comment ( 1 so far )

Wednesday, 20.8.2008: A British Newspaper Says that If Hun Sen Does Not Change the Way of Ruling, Poor People Will Seek Different Means to Achieve Justice

Posted on 21 August 2008. Filed under: Week 574 | Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , |

The Mirror, Vol. 12, No. 574

“Regarding endless land disputes almost everywhere in Cambodia under the rule of Prime Minister Hun Sen, The Guardian, a British newspaper, published an article on Sunday about the rule of Prime Minister Hun Sen and the Cambodian People’s Party, which had changed Cambodia from a dictatorship to a free market country, making the economy to develop very quickly, and building pagodas, roads, bridges, schools, and cinemas. However, the newspaper said that this free market system led to speculation in real estate properties such as buildings and land for profit; heritage is for sale, and the US dollar became their king.

“The article in The Guardian, which was quoted by Radio Free Asia for broadcasting yesterday, noted that land, owned by citizens since the 1980ies, can now be lost easily, because of the invasion by some capitalists who are close to Prime Minister Hun Sen. The Prime Minister is generally regarded as part of a ‘nouveau riche’ kleptocracy that siphons off foreign aid and ignores protests about human rights. It is said that Hun Sen used to care about the poor people for a long time, but it is regrettable that Hun Sen now cares only about the rising value of real estate properties and does not care to strengthen the nation, where the society suffers from an imbalance of concerns for justice for the economy.

The Guardian of Britain continued, ‘If Mr. Hun Sen had honorably resigned from his position in 1998 [after the surrender of the Khmer Rouge], he would have receive a good name among world leaders in history.’ This newspaper said that Hun Sen brought peace to Cambodia, but he has sacrificed the poor on the altar of an economic boom. This newspaper compared Hun Sen to some leaders of Brazil and Bolivia in South America who originally came also from the poor sector of society, but he has no plan to protect the poor who suffer under the powerful

[It is interesting that this detailed rendering of the article in The Guardian does not render the reference to the Khmer Rouge who ‘were backed militarily by China and diplomatically by the west’.]

“This well-known British newspaper went on to say that although Hun Sen is smart and intelligent and has political skills, Hun Sen’s success was based on survival, not on a vision for the future. If Hun Sen does not change his way of ruling, poor people will seek different means to achieve justice.

“Political and economic observers in Cambodia agree with the analysis of this article published on Sunday, 17 August 2008, in The Guardian, considering it to be an analysis that is in line with the current situation in Cambodia. Actually, Prime Minister Hun Sen, the vice-president of the Cambodian People’s Party, also comes originally from a peasant class background, but he does not protect the weak farmers at all who are violated by powerful people. Obviously, farmers, who suffer from land grabbing by high-ranking officials, dishonest oknhas, wicked merchants, and military officials, come regularly to protest in front of Prime Minister Hun Sen’s house at the ‘Tiger Cave’ Tuol Krasaing, but there are no effective solutions coming from Hun Sen for the victimized farmers.

“Political and economic observers in Cambodia added that just some days after the fourth term elections on 27 July 2008, suddenly land disputes erupted again brutally, such as in Stung Treng, Ratanakiri, Mondolkiri, Kratie, Kompong Chhnang, Kandal, Svay Rieng, Kampot, and Battambang. These reoccurring problems have not been solved by the National Authority for the Resolution of Land Disputes, administered by Sok An, Deputy Prime Minister and Senior Minister of the Council of Ministers. Therefore, some officials concerned with social affairs assume that there might be more serious land disputes, under the soon to be formed fourth term government, than there were under the third-term government.

“ These officials said that the fourth term government will be again led by Prime Minister Hun Sen, the vice-president of the Cambodian People’s Party, but Hun Sen does not have any clear policies to solve land disputes; therefore, land disputes will really erupt in all provinces countrywide. Another point is that those who use their power and violate citizens by grabbing their land are mostly high-ranking officials, dishonest oknhas, wicked merchants, and military officials, all are from the Cambodian People’s Party, and Hun Sen does not dare to disturb them. At last, a land revolution might break out, as predicted by Hun Sen himself, because the patience of the victimized citizens is limited, if the government does not take any action to solve the problems in time.

“Economic analysts said that the fourth term government, again led by Prime Minister Hun Sen, as vice-president of the Cambodian People’s Party, might not lead to real growth of the national economy, because Hun Sen does not have economic skills and he can only borrow money from foreign countries and ask for funds from the international community, to extend the breath of his government. Moreover, Hun Sen does not have any clear policies to fight corruption; he just says so to make it sounds nice, like the US Ambassador to Cambodia, Mr. Joseph Mussomeli, had clearly criticized. Even inflation and the price of fuel and of goods are skyrocketing, which affects the daily life of citizens – but Hun Sen is incompetent to solve these problems.

“Economic analysts continued to say that economic growth in 2008 will be lower than in 2007, and economic growth in 2009 will decline further compared to 2008, because of corruption and bureaucracy in important state institutions, where such affairs are spreading stronger without any intervention. This means that the government, led by the same incompetent prime minister and state institutions controlled by the same corrupt officials, will not make the economy grow; even foreign loans will be lost because of corruption. This will make poor citizens to suffer more, because the little economic growth is only for the benefit of corrupt officials and for partisans of powerful leaders.” Moneaksekar Khmer, Vol.15, #3543, 20.8.2008

Newspapers Appearing on the Newsstand:
Wednesday, 20 August 2008


Areyathor, Vol.15, #1351, 20-21.8.2008

  • [Bayon Television] Director-General Hun Mana [Prime Minister Hun Sen’s daughter] Accuses Sophon Magazine of Defamation and an Extortion Attempt for US$3,000 [from her staff member – the magazine wrote an article titled, ‘Does Sim Solika have a love triangle relation?’]


Chhanteak Kaun Khmer, Vol.1, #1, 20-27.8.2008

  • Samdech Krom Preah [Norodom Ranariddh] Is Eying the Position of President of the Constitutional Council
  • Many Illegal Sawmills Operate in Prey Nob District [Sihanoukville]


Deum Ampil, Vol.3, #82, 20-26.8.2008

  • [Kompong Cham Governor and Prime Minister Hun Sen’s older brother] Hun Neng Considers Khmer-Siamese [Thai] Border Dispute to Be a Military Exercise between a Battlefield Front and a Rear Battlefield [cooperation between troops and people]


Kampuchea Thmey, Vol.7, #1724, 20.8.2008

  • [US Ambassador Joseph A.] Mussomeli: Historically, Relations between America and Cambodia Have Never Been as Good as They Are These Days


Khmer Sthapana, Vol.1, #77, 20.8.2008

  • No New Agreements at the Meeting [about Preah Vihear between Cambodian and Thai foreign ministers] in Hua Hin [Thailand]
  • 70% of Vegetables at the Phsar Daeum Kor Market Are Imported from a Neighboring Country [that is from Vietnam]


Moneaksekar Khmer, Vol.15, #3543, 20.8.2008

  • A British Newspaper Says that If Hun Sen Does Not Change the Way of Ruling, Poor People Will Seek Different Means to Achieve Justice
  • Sam Rainsy: Sam Rainsy Party Has Appropriate and Strong Evidence to Reject Election Results


Rasmei Kampuchea, Vol.16, #4672, 20.8.2008

  • [Deputy Chief Observer of the European Union’s Election Observation Mission] Graham Elson: [4th Term Parliamentary Election] Was Good but It Did Not Reach International Standards

Click here to have a look at the last editorial – apprehension while waiting for the results of challenging alleged election fraud, the final official election results, and the forming of a new government

Back to topkhmer rouge

Read Full Post | Make a Comment ( 4 so far )

Liked it here?
Why not try sites on the blogroll...