Phnom Penh (FN), Apr. 6 – As Cambodia moves to encourage public-private partnerships in the development of the nation’s infrastructure, the Securities and Exchange Commission of Cambodia (SERC) has been considering how domestic private financial resources can be mobilized in support of infrastructure projects.
Research conducted by SERC, supported by Investing in Infrastructure (3i), an Australian government funded project, indicates that Cambodia could potentially generated a bond market of between USD500million to USD1.4 billion from around a dozen local and international companies based in Cambodia, according to the press release.
The sectors identified in the study for the infrastructure bond market include electricity, airports, railways, solar farms, wind farms and social housing projects.
The findings were presented by SERC and 3i in a virtual consultation workshop held with key market players, including financial advisory firms and all of Cambodia’s underwriters. The meeting discussed potential policy and regulatory measures to catalyze development of the long-term infrastructure bond market.
The key finds of the study also include the opportunities and challenges of infrastructure bond market development. Underwriters and financial firms have suggested some concrete solutions to overcome such challenges.