New Business Registrations Increase by 0.3 Percent

New Business Registrations Increase by 0.3 Percent

After the government officially launched the Business Registration System on Information Technology Platform (OBR), 7127 new companies were registered with the Ministry of Commerce in 11 months of 2021, an increase of 0.3 percent from 7000 companies compared with same period in last year.

At the same time, the ministry dissolved 585 businesses at the November of 2021, up 37.32 % from 436 percent in 2020.

Commerce ministry spokesman Pen Sovicheat told Khmer Times that despite Cambodia under the Covid-19 era, new business registration has increased to nearly 100 companies between January to November of year 2021.

There are several reasons behind noticeably growth during this period. First, the Business Registration System on Information Technology Platform was launched in 2020 that allowed companies to register their business online. Second, the Ministry of Commerce promoted new platform for private companies with confidence and easier condition. Not least, the government prepared a strong system with role selection for daily register.

The Covid-19 crisis hardly impacted the new business online registration. New company owners or businessmen made more profit from export and import goods.

The Ministry of Commerce educated and promoted new registration system for small and medium enterprises. Information Technology Platform (OBR) made it easier to do business in Cambodia by allowing companies to register online. The fast and lawful system encouraged the private sector to export their products to international market, particularly the Chinese market.

Sovicheat said that under the Cambodia Data Exchange Platform (CamDX) and the cooperation between Ministry of Economic and Finance and Ministry of Commerce, the new system has drastically cut down on complex procedures for private companies with reducing a lot of money of lawyers and administrative complications. Entrepreneurs made self-registrations online in consultation with the ministry.

Minister Pan Sorasak said his ministry is committed to diversifying the economy and negotiating bilateral and multilateral free trade zones with trading partners to draw in new investment.

He said the ministry will work towards strengthening the Kingdom’s intellectual property and consumer protection regimes, promoting public services and further facilitating conditions for doing business.

According to the data from Ministry of Commerce, there are more than 52,000 small and medium sized enterprises (SMEs) registered with the Commerce Ministry at the end of year 2019. According to the press release, Royal Government of Cambodia has realized the vision of building a vibrant digital society and economy by using technology as a core of the implementation.

Business Registration System on Information Technology Platform (OBR) Phase 1 was officially launched on June 15, 2020. The spontaneous data exchange between OBR Phase 1 and Phase 2 was made possible by the data exchange between relevant ministries/institutions on the Cambodia Data Exchange Platform (CamDX). Khmer Times