Japan has committed to providing grant assistance totaling 2.3 billion yen ($16 million) to Cambodia. The funds will be allocated to facilitate the construction and equipping of the National Data Center, a pivotal component in Cambodia’s efforts to digitize its administrative services.
During a meeting between Japan’s Minister for Foreign Affairs, Kamikawa Yoko, and Cambodia’s Deputy Prime Minister and Minister of Foreign Affairs and International Cooperation, Sok Chenda Sophea, the agreement was successfully negotiated.
The groundbreaking ceremony for the National Data Center in Phnom Penh took place in July 2023, with an estimated completion cost of $30 million. Anticipated to be fully operational by 2025, the center will serve as a centralized hub for data storage and processing for the Cambodian government.
In line with Cambodia’s Digital Government Policy 2022-2035, which aims for full digitization by 2035, the Ministry of Post and Telecommunications plans to establish Digital Revolution Units by 2024. Recognizing the deficiency in national infrastructure and technical capacity for ensuring digital security, the policy identified the need for a national data center.
Cambodia, with a relatively modest data center market, witnessed the launch of a 3MW facility by ByteDC in Phnom Penh in May 2023. The introduction of the National Data Center is expected to substantially bolster the country’s data storage and computing capabilities, supporting its broader digitization objectives.
In addition to the grant for the National Data Center, Japan and Cambodia have agreed on a separate grant of up to 1 billion yen ($6.9 million) for the development of a Digital Management System for water supply facilities in the Metropolitan area. This system aims to enhance the efficiency and monitoring of water supply services in the region.