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Outline of Investment Approval Scheme

・ “Amended Law on Investment” of 2003 was made to adopt the automatic approval system of the investment projects, which must be completed within 31 working days after the receipt by the CDC or PMIS of the investment proposal, unless they are among the fields prohibited in the negative list or investment project related to the national interest/ environmental sensitivity.

・ An investment approval will be issued not to an investor or investing enterprise but to a project. A project which receives the investment approval is called a Qualified Investment Project (or “QIP”).

・ “Amended Law on Investment” governs all QIPs and defines the procedures by which any person establishes a QIP.

・ The investment incentives are granted automatically to a QIP.

・ The CDC is expected to act as One-Stop Shop and obtain all of necessary licenses required from relevant ministries entities listed in the Conditional Registration Certificate (CRC) for investment on behalf of the investment applicant.

・ A QIP may be in the form of a joint venture. A joint venture may be formed between Cambodian entities, between Cambodian entities and foreign entities or between foreign entities. There is no limitation based on nationality or the share-holding proportion of each shareholder, except in the case a joint venture owns or intends to own land or an interest in land in Cambodia. In such a case, the maximum combined share-holding of all foreign parties must not exceed 49%.

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