Working Papers   68

Sectoral Composition of China's Economic Growth, Poverty Reduction and Inequality: Development and Policy Implication for Cambodia

Author(s): ROTH Vathana

Published: 01-Mar-2012
Keyword: China-Cambodia development cooperation, sectoral economic growth, poverty reduction strategies, industrial diversification, inclusive rural development
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Abstract/Summary

This paper explores China's economic transformation and its implications for Cambodia’s development and poverty reduction strategies. It analyses the sectoral composition of China's growth—particularly the roles of trade liberalization, industrial diversification, and rural development—and how these have contributed to poverty alleviation and reduced inequality. The study highlights China's government-led approach, including targeted poverty reduction programs and strong institutional frameworks, as key drivers of inclusive growth. Drawing lessons for Cambodia, the paper emphasizes the importance of strengthening rural infrastructure, enhancing agricultural productivity, and improving institutional capacity for poverty reduction. It also discusses constraints Cambodia faces in replicating China’s model, such as limited resources, governance challenges, and low investment in education and research. The role of China as a development partner through official development assistance and foreign direct investment is examined, with recommendations for more inclusive and sustainable cooperation. The paper concludes with policy implications for Cambodia, advocating for a more coordinated, inclusive, and sectorally balanced development strategy that leverages lessons from China’s experience.

DOI: https://doi.org/10.64202/wp.68.201203




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