1、July 2023Asia Sourcing UpdateCambodia,Indonesia,the Philippines,Thailand and VietnamSoutheast Asia|South and West Asia2Highlights:12-month sourcing outlookCambodiaNote:Arrows indicate an improvement()or deterioration()compared to the previous periodSource:National Bank of Cambodia Fast facts312-Mont

2、h Sourcing Outlook:PositiveThe Cambodian economy grew 5.2%yoy in 2022,mainly driven by tourism,domestic consumption,and garment exports.However,exports of the country have continued to decline since the start of 2023 due to sluggish demand in both the EU and the US markets.Exports of the GFT sector(

3、garments,footwear,travel goods and other textile-related products),Cambodias largest foreign exchange earner,slumped by 24.6%yoy in the first four months of 2023.Cambodian industry experts expected that orders for GFT goods would not revive until mid-2023,as retailers in the EU and the US are cleari

4、ng the stocks of unsold goods from the previous seasons.Despite the difficulties in the export sector,the overall economic prospect for Cambodia is promising this year because of the robust tourism recovery and the expected high growth in the services and agricultural sectors.The World Bank,in its l

5、atest Cambodia Economic Update published in May 2023,sets Cambodias economic growth in 2023 at 5.5%,saying Cambodias economy is firmly on a path to recovery.CPI(Apr 2023)+1.07%yoyExchange rate(USD:KHR,as of 31 May 2023)4,116(0.02%appreciation year-to-date)Footwear-23.6%yoyGarments-32.2%yoyBicycles-3

6、9.1 yoyMerchandise exports(Apr 2023)-1.8%yoyElectrical parts-106.4%yoyLatest DevelopmentsCambodias goods exports decreased by 4.9%yoy to US$7.2 billion in the first four months of 2023,according to the General Department of Customs and Excise.During this period,the exports of the GFT sector decrease