Background
The discovery of oil, gas and hard mineral resources in Cambodia represents a windfall opportunity to support the Kingdom on its path to development and to achieve the objectives outlined in the National Strategic Development Plan (NSDP.) While the actual future value of the resources is not yet known, significant progress has been made in offshore and onshore oil and gas exploration as well as in the allocations of licenses for the exploration and exploitation of mineral resources. Current projections suggest that these extractive industries may begin to produce significant resources as early as 2011.
In his key-note address at the Cambodia Economic Outlook Conference, H.E. Samdech Hun Sen, Prime Minister, noted that: "Whether oil and gas revenues translate into greater economic diversification and poverty reduction is the most salient issue in Cambodia’s medium term outlook". We know from other countries that when a resource windfall is properly stewarded, it can stimulate economic growth, decrease poverty, and fund improvements in infrastructure and the social sectors. All too often, however, countries have suffered negative effects including increased poverty and inequality, detrimental environmental impacts and political and social instability. We applaud the recent commitments made by the RGC to increase transparency related to revenues from the oil, gas and mining industries by making available quarterly financial reports of government revenues and expenditures.
In January 2008, the five local NGOs such as: Centre for Social Development (CSD), Development and partnership in Action (DPA), Economic Institute of Cambodia (EIC), NGO Forum on Cambodia and Youth Resource Development Program (YRDP) came together with a common aspiration to act jointly as an agent of constructive engagement with government and the private sector to help ensure that revenues from extractive industries are equitably and transparently managed in a way that is understood by the general public. Together, the members offer capacities in economic analysis, budget monitoring, transparency and good governance, and citizen empowerment. And together, they founded a new coalition called Cambodians for Resource Revenue Transparency (CRRT).