PHNOM PENH – The European Union has pledged to support Cambodia by mobilising grants and loans to the sum of an estimated US$483 million, but has failed to mention whether it will postpone the country’s partial suspension from the Everything But Arms (EBA) scheme, which will otherwise come into effect from August.
Over recent weeks and months, native trade bodies such as the Garment Manufacturers Association in Cambodia (GMAC) have pleaded with the EU to postpone the implementation of measures – which includes new tariffs for garment exports – for 12 months to allow time for economic recovery.
Whilst the European Union has affirmed that it “stands together with Cambodia in these challenging times”, the authority hasn’t detailed how it plans to handle the impending decision which it’s feared could exacerbate the country’s crippling financial difficulties post-pandemic.
