Beyond Angkor Wat: Cambodia's Modern Challenges in the Hun Manet Era
For centuries, Cambodia’s global identity has been tethered to the awe-inspiring grandeur of Angkor Wat—a symbol of ancient Khmer civilization’s glory, spiritual depth, and architectural brilliance. But in 2025, under the fresh leadership of Prime Minister Hun Manet, the country faces challenges that no temple stone can solve. The question is no longer just how Cambodia honors its past, but how it confronts the future.
As the baton of power passes from the long-reigning Hun Sen to his U.S.- and U.K.-educated son, Cambodia enters a new chapter—one marked by a younger, more connected population, greater exposure to global trends, and increasingly urgent demands for reform. Beyond the shadows of its sacred monuments lies a nation at a crossroads.
Youth Unemployment and the Skills Gap
With more than 60% of Cambodia’s population under the age of 30, the country is grappling with a demographic dividend that could either energize or destabilize its development.
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Youth unemployment remains stubbornly high, particularly among university graduates, who often lack the skills demanded by the labor market.
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The education system, while expanded, is still criticized for outdated curricula, limited technical training, and inadequate investment in digital and vocational skills.
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The new administration has voiced intentions to address this gap through public-private partnerships and digital education initiatives, but implementation remains in its early stages.
Without meaningful change, a growing, underemployed youth population could become a source of frustration, not progress.
Economic Diversification: Breaking the Garment Dependency
Cambodia’s economy has traditionally leaned heavily on garment manufacturing, construction, and tourism, sectors that are vulnerable to global demand shifts, environmental disruption, and automation.
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Garment exports still account for over 60% of total exports but face competition from cheaper or more efficient producers like Bangladesh and Vietnam.
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Tourism, while recovering after COVID-19, remains concentrated in a few key destinations such as Siem Reap and Phnom Penh, with little emphasis on sustainability or regional development.
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The country’s new economic vision under Hun Manet includes plans to grow sectors like agriculture processing, digital services, and green energy, yet these remain nascent and underfunded.
Diversification is critical to protect the economy from external shocks and to provide higher-quality jobs for its citizens.
Inequality and Urban-Rural Divide
Economic growth has lifted millions out of poverty, but inequality remains stark, especially between urban and rural regions.
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Phnom Penh and Sihanoukville shine with foreign investment, malls, and skyscrapers, while large portions of the countryside still lack reliable electricity, healthcare, and quality education.
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Land rights conflicts, often involving poor rural families and large-scale developments, remain a flashpoint for social tension.
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The CPP’s patronage-based system has, in many cases, channeled resources toward elites, further widening the gap.
Bridging this divide will require not only investment but also reforms in governance, land tenure, and public accountability.
Environmental Degradation: A Silent Emergency
Cambodia’s environment is under growing strain from illegal logging, sand mining, unregulated construction, and climate-related threats.
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The country loses tens of thousands of hectares of forest annually, much of it to economic land concessions.
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Water pollution and garbage management remain serious issues, especially along the Mekong River and Tonle Sap.
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Climate change is already impacting fisheries and agriculture, with erratic rains and droughts threatening food security.
While the government has introduced some environmental protection initiatives, enforcement remains weak, and politically connected companies often escape scrutiny.
Governance and Institutional Reform
Hun Manet has promised efficiency, digital governance, and anti-corruption measures. Yet skepticism remains:
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The administration is still dominated by figures tied to the previous regime, with many positions filled by children of CPP elites.
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Independent media and opposition voices continue to be suppressed.
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The recent national elections, though peaceful, lacked genuine competition.
Without broader political reform and space for civil society, trust in government institutions may continue to erode—even if public services improve incrementally.
Geopolitical Maneuvering: China, the West, and Sovereignty
Cambodia’s strategic tilt toward China has delivered roads, bridges, and billions in investment. But it has also raised alarms.
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The Ream Naval Base, reportedly upgraded with Chinese assistance, has drawn scrutiny from the U.S. and ASEAN neighbors concerned about regional militarization.
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Western partners, including the EU and U.S., have pressured Cambodia on human rights, suspending trade preferences and reducing aid.
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Hun Manet has signaled a more balanced foreign policy, making high-profile visits to Paris and New York while affirming ties with Beijing.
How Cambodia navigates this tightrope—between economic needs and political alignment—will shape its international standing and internal stability.
Conclusion: Ancient Glory, Contemporary Responsibility
Angkor Wat stands as a testament to what Cambodians once built. The question in 2025 is what kind of future they are now prepared to construct.
Hun Manet's rise has generated both hope and doubt. Will he bring real change, or simply modernize a deeply entrenched system? Will Cambodia remain locked in dependency—on garments, on China, on elite networks—or will it find a path to inclusive, sustainable development?
The past is carved in stone. The future is still being written.
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