Beyond Phnom Penh : Unlocking Potential in Cambodia’s Secondary Cities

Overview & Synopsis

This report analyzes the role of Cambodia’s secondary cities as a critical yet underutilized driver of future economic growth and spatial development. Despite rapid population and spatial expansion, urban growth remains heavily concentrated in Phnom Penh, while secondary cities have not translated their demographic and physical growth into productivity, firm dynamism, and income gains. Drawing on demographic, economic, and spatial analysis including an Economic Potential Index and land-use trends - the report identifies gaps between potential and performance, highlighting challenges such as informality, low-density expansion, weak infrastructure, and limited service delivery capacity. It emphasizes the importance of improving infrastructure, fostering formal and productive firms, and adopting spatially differentiated policies to unlock the economic potential of secondary cities and support more balanced, inclusive national development.