CAMBODIA, Dec. 20, 2023 - Japan has agreed to provide up to 2.3 billion yen (US$16 million) in grant assistance to Cambodia for its national data center and digitalization initiatives, according to recent reports.
The data center is designed to support the digitization of state administrative services. The grant will be used for the equipment and construction needed for the Phnom Penh National Data Center, which broke ground in July this year. The data center is expected to be operational in 2025. Its total cost is about $30 million.
In January 2022, Cambodia announced the Cambodia Digital Government Policy 2022-2035;The plan will enable ** to fully digitize its operations by 2035.
At that time, the lack of national data centers for storing data and providing computing resources was considered a weakness, and all ministries and agencies had little infrastructure and technical capacity to ensure digital security.
As Data Center Dynamics points out, the data center market in Cambodia is very small. In May 2023, ByteDC launched a 3MW facility in the capital city of Phnom Penh.
According to Japan's Ministry of Foreign Affairs, the agreement with Japan also supports "the comprehensive promotion of investment and technical assistance from the Japanese private sector to promote the development and upgrading of public telecommunications networks, building on Cambodia's efforts to improve mobile network coverage and connectivity," the Phnom Penh Times added.
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