The COVID-19 infection rate in Cambodia has been much lower compared to other countries around the world and for this we thank God. However, the knock-on effect on the Cambodian economy will be long felt, be it in absence of the thousands of tourists who will not visit the country or the loss of exports for the garment industry.
These industries, employing hundreds of thousands of workers, will suffer long-term effects of the disease despite the decline in infection rates or the relaxation of shopping restrictions in the west. We live in a global economy and developing countries like Cambodia depend on healthy, well managed buying and selling arrangements, any hold-ups or failures in the system has a downstream impact. Many garment workers, already on a tight budget, have had their hours cut, some being suspended and others have been dismissed. As a result, they have tried to find other work around the city or returned to the provinces to live with their already burdened families.
The tourism industry has also been hit hard with this virus and far fewer visitors are coming to see the sights of this beautiful nation. Whether due to fear or restrictions, people are not booking holidays to the Kingdom. Cities like Seim Reap, that normally see thousands of tourist flocking to see the temples, has been described as a ghost town. Added to the possible fear of travel are the formalities that are required by the Cambodian government for entry to the country. Visitors are having to produce prearranged clearance documents, are required to undergo tests on arrival and to place a large sum of cash as a deposit on arriving at the airport. While all precautions and provisions for quarantining in case of infection may be advisable, all factors and costs considered, this will result in a drastic reduction in incoming travellers. There has been a sharp decrease of budget airlines connecting flights into Cambodia from major airlines. Thai Airways, a popular carrier, are not taking any bookings until September.
Cambodia’s largest jobs sector is in those businesses that support larger industries. It is estimated for every one person employed, two other people benefit through small enterprises.
The micro-economy is diverse, be it the lady that cooks cheap lunches, the man that searches for scraps of recyclable plastic to sell or the street water sellers making a few dollars on hot days, COVID-19 pays no respect to anyone, affecting thousands of household incomes.
All of this does not bode well for Cambodia. Recently, the Asia Development Bank published an article stating that over 68 million jobs could be lost across Asia with Cambodia standing to see over 400,000 jobs cut because of the impact of COVID-19. According to news sources, in 2020 the economy will shrink to a growth rate of 2.3% versus 7.1% in 2019. But thanks be to God, despite all of this we faint not.
Our Team Stayed
Cambodia Action works in the country through partnerships that are already on the ground. We have always seen the importance of supporting local NGO’s who minister to the poor and vulnerable. As a result of the outbreak of COVID-19, that same determination to help Cambodia guided the decision for our team members to remain in the country. It gave an opportunity to be of help and advise those that need it the most. A lot of the focus has moved to the dangers of the virus, awareness and prevention of any further spread. Cambodia Action as a mission supports our partners and team through prayer and administrative support, and we applaud the hard work that is carried out in a difficult situation.
Children's Work
With the immediate closure of schools ordered by the government, parents were landed with the added issue of how to continue educating their children at home. For families living on the edge, using their children to earn some income is a constant temptation, especially if one or both parents have HIV or struggle with other serious health issues.
Sunrise, one of the projects supported by MMN, have tried to keep these young people engaged and their minds occupied. Firstly, they offer the children technical assistance in accessing e-school.
Secondly, they give out phone cards with internet minutes so they can receive online lessons and finally offer follow-up visits from teachers to offer homework monitoring and encouragement. Added to this the Sunrise HIV programme helps in practical ways, by paying for school fees and study materials. They also want to see the creative side of the children activated, so they provide fun times and playful activities for the children in these poor neighbourhoods. They are doing a great job and are a great witness to God’s love.
Please pray for this ongoing work in Cambodia.