The Crucial Link: How Logistics Efficiency Drives Cambodia’s Economic Growth

Ratha Long*

Efficient logistics are becoming a cornerstone of economic growth in Cambodia. Global reports, like the World Bank’s analysis of the Logistics Performance Index (LPI), consistently highlight that a strong logistics sector is vital for a country’s competitiveness on the international stage.

This research, drawing insights from studies on other developing regions, examines how improvements in logistics over a decade directly impact economic indicators in Cambodia. We conducted a comprehensive factor analysis, considering not only the logistics sector (including transport and telecommunications) but also broader economic measures such as GDP, trade, and industrial output.

Our findings identify key interconnected factors that drive Cambodia’s economic expansion. These include the health of general and agricultural industries, investment levels, trade volumes (especially auto transport and freight turnover), the state of communication networks (service and mobile), and the efficiency of railway and air transport. The study reveals that logistics efficiency significantly influences not only Cambodia’s current economic growth but also its future development and integration into the global economy.

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Published on: Oct 7, 2025 Pages: 21-23

Full Text PDF Full Text HTML DOI: 10.17352/ojps.000065
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