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Prohibited Fields of Investment

The activities listed in Section 1 of ANNEX 1 (“Negative List”) of the “The Sub-Decree No. 111 on the Implementation of the Law on the Amendment to the Law on Investment” are prohibited for the investment of both Cambodian and foreign entities. Those investment activities are as follows:

・  Production/processing of psychotropic substances and narcotic substances

・  Production of poisonous chemicals, agriculture pesticide/insecticide and other goods by using chemical substances prohibited by international regulations or the World Health Organization, that affect the public health and environment

・  Processing and production of electrical power by using any waste imported from a foreign country

・  Forestry exploitation business prohibited by Forestry Law

・  Investment activities prohibited by law: Deleted by Sub-Decree # 34 (RGC) on Adjustment to Sub-Decree No. 111 of April 23, 2007

In addition, “investment activities not eligible for incentives” are listed in Section 2 and the “investment activities with specific characteristics which shall be eligible for Custom Duties Exemption, but not eligible for the Profit Tax Exemption,” are listed in Section 3 of ANNEX 1.

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