Remarks by Ms. Alissar Chaker, Resident Representative, UNDP Cambodia
Consultative Workshop on Developing the M&E Framework for the National Strategy on the Development of the Informal Economy 2023-2028
January 13, 2025

H.E. Hem Vanndy, Minister of the Ministry of Industry, Science, Technology & Innovation and Chairman of the Coordinating Committee for Development of Informal Economy (CCDIE)
Mr. Paul Keogh, Director of CAPRED
Mr. Tun Sophorn, National Coordinator of ILO Cambodia
Excellencies, ladies and gentlemen,
It is with great honor that I welcome you to this pivotal Workshop focusing on the development of the Monitoring and Evaluation (M&E) Framework for the National Strategy on the Development of the Informal Economy for 2023-2028. I would like to extend my heartfelt gratitude to our esteemed partners, namely, the Ministry of Industry, Science, Technology & Innovation, the Australian Department of Foreign Affairs and Trade, the Cambodia Australia Partnership for Resilient Economic Development (CAPRED), and our UN sister agency, the International Labour Organization. This collaboration reflects our joint commitment to fostering an inclusive economy in Cambodia and enhancing decent work for all citizens.
Today’s workshop represents a significant step toward validating and refining the draft M&E framework and action plan that will guide the implementation of the National Strategy for Informal Economic Development. Launched in October 2023, this strategic framework aims to enhance protection, build capacity, boost efficiency, and strengthen the resilience of the informal economy, eventually facilitating a gradual transition to the formal economy, and ensuring comprehensive incentives for formal enterprises.
Excellencies, Ladies and gentlemen,
The findings from the Cambodia Labor Force Survey 2019 reveal that approximately 6.2 million individuals—representing a staggering 88% of employment—are in the informal sector. This statistic highlights the urgent need for innovative strategies to facilitate their transition into the formal economy. Global experiences have shown that a robust engagement in the formal economy can yield substantial benefits, including increased productivity, decent work opportunities, and enhanced social protection.
I would like to underscore four transformative initiatives recently launched in line with the National Strategy for Informal Economic Development which UNDP contributed/ or is contributing to.
Firstly, the extension of the Health Equity Fund to near-poor populations has enabled over 500,000 additional households to access free healthcare services at public hospitals over the past two years.
Secondly, the establishment of the National Social Security Fund (NSSF) for self-employed individuals, particularly those within the informal economy, allows them to contribute to the NSSF, bridging the coverage gap towards achieving progressively Universal Health Coverage. To date, over 350,000 informal workers, predominantly women, have registered and are reaping the benefits of this initiative.
Thirdly, the launch of the Digital Platform for Onboarding the Informal Economy aims to recognize the contributions of informal economy actors and facilitate targeted government interventions, especially in times of crisis. This platform will also open avenues for actors in the informal economy to access skills development, social protection, and formal financial services, addressing the longstanding challenge of data scarcity within the informal sector.
Fourthly, the adoption of the Universal Trusted Credentials (UTC), a digital credentialing system based on Internet Computer Protocol blockchain technology, will facilitate access of MSMEs to finance through an alternative non-financial collateral system. This is still a work in progress with the Central Bank and other national institutions.
Excellencies, ladies and gentlemen,
Today’s consultation workshop offers an invaluable opportunity for dialogue and knowledge exchange. The draft M&E framework is based on inputs from relevant ministries compiled by the Coordinating Committee for Development of Informal Economy. By fostering collaboration, we aspire to inform policies and strategies that will lead to meaningful improvements in the lives of workers, businesses, and the society at large.
In closing, I wish you all fruitful deliberations and a successful workshop.
Thank you.