Cambodian Prime Minister Hun Manet said that scam syndicates are destroying Cambodia’s economy, damaging the country’s reputation, and seriously undermining local tourism and investment activities.
According to AFP, Hun Manet rejected external accusations that the government condones scams and stressed that Cambodia’s crackdown since the beginning of this year has cut online fraud by half.
On the 25th in Brussels, the capital of Belgium, Hun Manet gave a rare interview to international media. He told AFP that scams are part of the black economy, not only destroying the legitimate economy but also severely hitting tourism, the investment environment, and Cambodia’s international reputation. “That is why we must root out these activities completely.”
He acknowledged that such criminal activities have indirectly boosted some business activities and created some jobs, but denied that the national economy depends on scams, emphasizing that Cambodia has never profited from fraudulent activities.
“Some say that Cambodia’s GDP depends on these scam centers. Not true, our economy relies on legitimate sectors such as tourism and manufacturing.”
AFP reported that in recent years Cambodia has become a base for scam groups. Criminals run multi-billion dollar scam operations, defrauding global users online through romance scams, investment fraud, and more, with victims including citizens from the United States and other countries.
The United States Institute of Peace published a report in 2024 estimating that Cambodia’s annual online scam revenue exceeds $12.5 billion, about half of Cambodia’s GDP.
As a result, Cambodia has faced criticism and pressure from the international community, prompting the government to take determined measures against internet fraud. In July last year, Hun Manet signed a national directive to launch a nationwide crackdown. This action mobilized law enforcement and armed forces at all levels to sweep out all scam dens and networks within their jurisdictions, aiming to completely destroy scam syndicates and rebuild Cambodia’s international image.
● “Unaware Chen Zhi Was the Mastermind”
In early January this year, Cambodian authorities arrested Chen Zhi, founder and chairman of Prince Group, for suspected telecom fraud and money laundering, and deported him to China. This move was seen as a major success in Cambodia’s anti-fraud campaign.
Hun Manet responded to AFP, “We did not know he was the mastermind behind the scenes.”
He stressed that previous background checks found nothing abnormal, and that Chen Zhi’s businesses operated legitimate commercial activities in various countries, including the UK.
Hun Manet said that prior to the allegations, Chen Zhi had always been regarded as a businessman who contributed to Cambodia’s economy. Authorities only took legal action after obtaining concrete evidence of his suspected illegal activities.