Cambodia's Country InformationBackground
Most Cambodians consider themselves to be Khmers, descendants of the Angkor Empire that extended over much of Southeast Asia and reached its zenith between the 10th and 13th centuries. Attacks by the Thai and Cham (from present-day Vietnam) weakened the empire, ushering in a long period of decline. The king placed the country under French protection in 1863 and it became part of French Indochina in 1887. Following Japanese occupation in World War II, Cambodia gained full independence from France in 1953. In April 1975, after a five-year struggle, Communist Khmer Rouge forces captured Phnom Penh and evacuated all cities and towns. At least 1.5 million Cambodians died from execution, forced hardships, or starvation during the Khmer Rouge regime under POL POT. A December 1978 Vietnamese invasion drove the Khmer Rouge into the countryside, began a 10-year Vietnamese occupation, and touched off almost 13 years of civil war. The 1991 Paris Peace Accords mandated democratic elections and a ceasefire, which was not fully respected by the Khmer Rouge. UN-sponsored elections in 1993 helped restore some semblance of normalcy under a coalition government. Factional fighting in 1997 ended the first coalition government, but a second round of national elections in 1998 led to the formation of another coalition government and renewed political stability. The remaining elements of the Khmer Rouge surrendered in early 1999. Some of the remaining Khmer Rouge leaders are awaiting trial by a UN-sponsored tribunal for crimes against humanity. Elections in July 2003 were relatively peaceful, but it took one year of negotiations between contending political parties before a coalition government was formed. In October 2004, King SIHANOUK abdicated the throne due to illness and his son, Prince Norodom SIHAMONI, was selected to succeed him. Local elections were held in Cambodia in April 2007, and there was little in the way of pre-election violence that preceded prior elections. National elections are scheduled for July 2008.
Cambodian flag

The National Flag of the Kingdom of Cambodia has horizontal bands of blue and red with a white three-towered temple representing Angkor Wat outlined in black in the center of the red band.
Geography

Cambodia is located on mainland Southeast Asia between Thailand to the west and north and Vietnam to the east. It shares a land border with Laos in the northeast. Cambodia has a sea coast on the Gulf of Thailand. The Dangrek Mountain range in the north and Cardamom Mountains in the southwest form natural boundaries. Principal physical features include the Tonle Sap lake and the Mekong and Bassac Rivers.
Capital

Situated at the crossroads of the Mekong, Bassac and Tonle Sap Rivers, Cambodia's capital, Phnom Penh is the wealthiest and most populous city in Cambodia. Phnom Penh is known for its traditional Khmer and French colonial architecture blended with cosmopolitan restaurants, hotels, and bars with lively nightlife scene. It is also the gateway to the temples of Angkor in the west, and the beaches of Sihanoukville on the southern coast..
People

Ninety percent of Cambodia's population is ethnically Cambodian. Other ethnic groups include Chinese, Vietnamese, hill tribes, Chams, and Laotian. Theravada Buddhism is the religion of 95% of the population; Islam, animism, and Christianity also are practiced. Khmer is the official language and is spoken by more than 95% of the population. Some French is still spoken in urban areas, and English is increasingly popular as a second language.
Angkor Wat
Over a period of 300 years, between 900 and 1200 AD, the Khmer Kingdom of Angkor produced some of the world's most magnificent architectural masterpieces on the northern shore of the Tonle Sap, near the present town of Siem Reap. The Angkor area stretches 15 miles east to west and 5 miles north to south. Some 72 major temples or other buildings dot the area. Suryavarman II built the principal temple, Angkor Wat, between 1112 and 1150. With walls nearly one-half mile on each side, Angkor Wat portrays the Hindu cosmology with the central towers representing Mount Meru, home of the gods; the outer walls, the mountains enclosing the world; and the moat, the oceans beyond.

Angkor Thom, the capital city built after the Cham sack of 1177, is surrounded by a 300-foot wide moat. Construction of Angkor Thom coincided with a change from Hinduism to Buddhism. Temples were altered to display images of the Buddha, and Angkor Wat became a major Buddhist shrine. During the 15th century, nearly all of Angkor was abandoned after Siamese attacks. The exception was Angkor Wat, which remained a shrine for Buddhist pilgrims. The great city and temples remained largely cloaked by the forest until the late 19th century when French archaeologists began a long restoration process. Concerned about further destruction and dilapidation of the Angkor complex and cultural heritage, the Cambodian Government in 1995 established the Authority for the Protection and Management of Angkor and the Region of Siem Reap (APSARA) to protect, maintain, conserve, and improve the value of the archaeological park. In December 1995 the World Heritage Committee confirmed Angkor's permanent inscription on the World Heritage List. Tourism is now the second-largest foreign currency earner in Cambodia's economy.
Government
Cambodia is a constitutional monarchy, and its constitution provides for a multiparty democracy. The Royal Government of Cambodia, formed on the basis of elections internationally recognized as free and fair, was established on September 24, 1993. The executive branch comprises the king, who is head of state; an appointed prime minister; eight deputy prime ministers, 14 senior ministers, 28 ministers, 135 secretaries of state, and 146 undersecretaries of state. The bicameral legislature consists of a 123-member elected National Assembly and a 61-member Senate. The judiciary includes a Supreme Court, lower courts, and an internationalized court with jurisdiction over the serious crimes of the Khmer Rouge era. Administrative subdivisions are 20 provinces and 4 municipalities. On October 7, 2004, King Sihanouk abdicated the throne due to illness. On October 14, a special nine-member Cambodian Throne Council selected Prince Norodom Sihamoni to succeed Sihanouk as King. King Norodom Sihamoni officially ascended the throne in a coronation ceremony on October 29, 2004.The monarchy is symbolic and does not exercise political power.
Economy
Since 2004, the Cambodian economy has expanded by more than 10% per year, with the garment sector and the tourism industry driving the growth. Inflation has remained relatively steady and at low levels, not rising above 6% since 1998. The economy is heavily dollarized; the dollar and riel can be used interchangeably. Cambodia remains heavily reliant on foreign assistance, about half of the central government budget depends on donor assistance. Foreign direct investment (FDI) has increased 12-fold since 2004 as sound macroeconomic policies, political stability, regional economic growth, and government openness towards investment attract growing numbers of investors. Manufacturing output is concentrated in the garment sector, which started to expand rapidly in the mid-1990s and now employs 350,000 workers. Garments dominate Cambodia's exports, especially to the U.S. Despite predictions that Cambodia's garment sector would contract following the expiration of the Multifiber Arrangement in 2005, Cambodia's garment sector has actually expanded by nearly 20% to an estimated $2.6 billion in 2007. The other main foreign currency earner is tourism. The number of tourists coming to Cambodia is increasing by 20%-25% per year, with two million visitors expected to visit Cambodia in 2008. The service sector is heavily concentrated in trading activities and catering-related services. Exploratory drilling for oil and natural gas began in 2005. In spite of recent progress, the Cambodian economy continues to suffer from the legacy of decades of war and internal strife. Per capita income and education levels are lower than in most neighboring countries. Infrastructure remains inadequate, although road networks are improving rapidly. Most rural households depend on agriculture and its related subsectors. Corruption and lack of legal protections for investors continue to hamper economic opportunity and competitiveness.
