INTRODUCTION

The holding of the second General Elections in 1998 which were organized by the Cambodian people themselves were both fully in line with the spirit of 1993 Constitution of the Kingdom of Cambodia and an expression of our continued implementation of democratic, liberal and multi-party system so as to put into full play the sense of mastership over the country's destiny as well as enhancing the Cambodian nation's prestige in the international arena. Starting from the above historical event that the international community viewed it as a miracle of the Mekong River, the Royal Government of Cambodia, with Samdech Prime Minister Hun Sen at the helm, came into being and laid down a triangular   strategy aimed at boosting a sustainable national development.

Strong with its Win-Win Policy initiated   by Samdech Prime Minister Hun Sen, the Royal Government of Cambodia had put a total end to the Khmer Rouge military and political organization, thereby bringing a full peace to the whole country by ending a more than two-decade of internal rift and civil warfare. In turn, the Cambodian people have had rights to freely travel nationwide with joy and hope.

The Kingdom of Cambodia upgraded the relations with the United Nations, became   the tenth member of ASEAN, and normalized its relations with various international financial institutions and international organizations. Efforts are being made in order to join in the nearest   future the World Trade Organization so as to fully integrate Cambodia into the regional and world community.

         The Government also paid its special attention to restore and boost the socio-economic development through public administrative reform, military reform, demobilization of armed forces, economic and public finance reform, legal and judicial reform, land policy implementation, environment protection, sustainable natural resource management, all of which are aimed at alleviating the people's poverty.

As far as the social reform is concerned, the Government curtailed the military and security expenditures year by year through the demobilization of militiamen and armed forces in order to re-allocate it to the four priority sectors, namely health, education, rural development and agriculture.

The Government had designed the Second Socio-Economic Development Plan (SEDPII) for a period of five years (2001-2005), the National Economic Growth and Poverty Reduction Strategies (2003-2005), the Yearly Public Investment Plan to back up the second five-year plan and a related plan of action for each specific sector within the framework of good governance.

The strengthening of democratic practices   and the rule of law through the successful holding of the Communal Council Elections on 03 February 2002 constitutes an undeviating and firm commitment of the Royal Government in carrying out the   decentralization policy at the local level.

In the same vein, the Government has been doing its part to provide support to the preparatory process of the upcoming third General Elections scheduled to be held on 27 July 2003.

The successive successes obtained by the Government and the entire people of Cambodia indeed have broadly won the sympathy and confidence both inside and outside the country and this was reflected in the positive result of the Consultative Group Meetings. Last but not least, Cambodia recently hosted the first Greater Mekong Sub-region Summit, the eighth ASEAN Summit, the ASEAN + 3 Summit, the ASEAN + 1 Summit as well as the third World Buddhism Conference.

In short, all these significant achievements stemmed from the efforts striven by the Coalition Government between the Cambodian People's Party and the Funcinpec Party coupled with the full backstopping rendered respectively on the part of the members of National Assembly and Senate under the Royal leadership of His Majesty Preah Bat                Norodom Sihanouk, the King of   Cambodia and Her Majesty the Queen as well as the support from the Royal Cambodian Armed Forces, Military Police, National Police, Civil Servants, Local Authorities of all levels, Private Sector, Workers, Farmers, Youth, Students, Intellectuals, Benefactors, Civil Society,  Monks and Buddhist believers, other religions and the Cambodian people as a whole  along with the precious and indispensable assistance rendered on the part of the international community.

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         KINGDOM OF CAMBODIA

       Nation Religion King

                      SURFACE AREA AND POPULATION OF T       OF THE KINGDOM OF CAMBODIA

1-Surface Area: 181,035km²

Cambodia borders Thailand, Vietnam and Lao.

Statistics of   Provinces (P), Municipalities (M), Districts (D), Precincts (Pr), Communes (C), Quarters (Q) and Villages (V)

2- Population

 - In 1998:                     11,437,656

 - In 2002:                        12,251,098

       -Over 18 years old:       6,749,876

A triangular strategy laid down by the   Royal Government with Samdech Prime Minister Hun Sen at the helm was carried out in four axes.

MAJOR WORK ACHIEVED BY    THE ROYAL GOVERMENT                       (30 Nov, 1998-2002)

I- Strengthening Peace, Security and Social Order

The Government took great pride in its work to strengthen and ensure peace   security and social order for the Cambodian people, local and foreign businessmen and investors, national and international guests, diplomatic corps, national and international organizations as well as NGOs based in Cambodia.

The Government has also been successful in its endeavors to provide security and social order to the proceedings of the sixth Consultative Group Meeting held for the first time in Phnom Penh, the first Greater Mekong Sub-region, the eight ASEAN Summit, the ASEAN + 3 Summit, the ASEAN +1 Summit, the third World Buddhism Conference with the participation of 16 countries and the Royal procession of Buddha's relics that was held to take the relics from a decades-old stupa to a newly-constructed site located at Preah Reach Trop mountain of Ponhear Leu district, Kandal province, where the relics would be placed.

-Up to 31 January 2003, the competent authorities have seized 119,104 riffles (946 short guns), destroyed and burnt down 103,995 riffles on 22 times.

    Results of Crime Suppression

Confiscated Evidence

II-Democratization, the Rule of Law and Integration of Cambodia into the Regional and   World Community

 1-Democratization

The constitutional establishments are normally functioning in accordance with the constitution, namely the King's institutions, the Senate, the National Assembly, the Constitutional Council, the Supreme Council of Magistracy, the judiciary institutions and                         the Governmental establishments. Furthermore, so free was the operation of the Civil Society that the international opinion could regard the Kingdom of Cambodia as heaven of the NGOs.

 1-1-Political Parties

 57 political parties including 45 were   registered at the Ministry of Interior.

 1-2-Political Parties competing the Communal Council Elections

8 political parties competed in the Communal Council Elections that were held on 3 February 2002.

Summary  (source from NEC)

 1-3-Associations and Non-Governmental Organizations:  1,204

-Local Associations and non-governmental organizations:          974                                       

-International NGOs/organizations: 230                    

 1-4-Mass Media

-Newspapers: 13 daily news, 90 weekly news and 73 fortnightly news

-Bulletins: 2 daily bulletins, 4 weekly bulletins and 24 monthly bulletins  

       -Magazines: 59                                              

-Agencies of news and foreign TV to Cambodia: 12                                              

-Radio and television stations in Phnom  Penh

        - State-run TV station:                                    1

        - Private-run TV stations:                          5

-Foreign relay-TV stations:                       2   (Vietnamese: 1 and French: 1)

        - Cable-TV companies:                             3

        - AM and FM radio stations:                   17

-Radio and television stations in provinces/municipalities

- TV stations:                                          14     

- Relay-TV stations and cable-TV stations    (18 provinces/municipals):                     31

2-Strengthening of the Rule of Law

           Total (1999-2002)

  -Cabinet meetings:                             128

  -Meetings between the government and the private sector:                                 8

  -Inter-ministerial meetings:               977              

  - Drafted legislation:                           95  

  -Law adopted by Legislative institutions :73                                       

  -Issuance of sub-decrees:                487  

  -Nomination sub-decrees: 2159; and,   

  -Issue and vulgarize other legal   documents among the public through the Royal Gazettes in order to increase the effectiveness and efficiency of law enforcement; thereby encouraging civil servants, armed forces, people, civil society and the private sector to participate in the implementation of laws and legal documents. 

3-State Reform

To implement successfully the reform policies of the Royal Government of Cambodia, the Supreme Council for Sate Reform has been established by the Royal Decree NS/RKT/0399/72 dated March 19,1999 chaired by Samdech HUN SEN, Prime Minister, Deputies Prime Minister, H.E SAR KHENG and H.E TOL LAH are Vice-chairs, and Senior Minister, H.E SOK AN is Permanent member.

3-1 The Council for Administrative Reform

Significant achievements of the Royal Government of Cambodia are as followings:

-Create a database and personal files of all civil servants through the Civil Servant Census which is a necessary tool for the new management system to better manage the civil servants. Distribute ID cards to central and provincial civil servants.

-New classification regime and new remuneration system for civil servants, were established and implemented, started from January 2002.

-Create necessary legal texts to reinforce the new management system such as civil servants obligations, 22 particular statutes (inter-ministerial administration, health, diplomacy and techniques).

-Computerized payroll was created and implemented since 2001.

-Pay automation is in place and working for all ministries and provinces by implementing the new remuneration system, started January 2002, by which, the average salary has been increased of 44.3% (the components of new remuneration system are: basic salary, functional allowances, pedagogical allowances,....).

-Improve and shorten the process of the payroll and the retirement.

-Draft the concept of "One window service delivery".

-Draft politics and strategies of De-concentration in Cambodia and design policies and particular structures to administrate the urban districts.

For Local Administration, significant achievements of the Royal Government of Cambodia are as follows:

-Law on commune-Sangkat election and Law on Commune-Sangkat Administration Management.

-1,621 Commune-Sangkat Councils elected.

-Mechanism to support decentralization process at Commune-Sangkat.

( See  Annex I)

  3-2 Civil Service

Situation and Variation in the Size of Civil Servants

Providing Visas to Nomination (from 2000 to February 2003)

-Provide nominating visas to 24 positions of civil servants (nominated by Royal decrees)

-Provide nominating visas to 179 positions of civil servants (nominated by sub-decrees).

3-3 Economic and Public Finance Reform

  3-3-1 Macro-Economic Situation

The implementation of this State reform            has brought about a positive result, reflecting through the GDP Growth's average rate of 7% from 1999 to 2002.

*Initial evaluation

The Government continues to push forward the implementation of military demobilization program so as to further reallocate the savings from defense and security to other priority expenditures, particularly to socio-economic development.

In 2003, the Government continues to further increase the budgetary allocation to the four- priority ministries:

- The Ministry of Health (MoH): 17.6%                           

-The Ministry of Education, Youth and    Sports (MoEYS): 12.9%                                                                                        

-The Ministry of Rural Development (MRD): 5%                                                               

-The Ministry of Agriculture, Forestry and   Fisheries (MAFF): 8.4%                                                                             

3-3-2 Current Expenditures for the Priority Ministries and for the Defense and  Security        

(Million Riel)

*Estimation ** Plan

  3-4 Reform of Armed Forces

  3-4-1 Reform of the Royal Cambodian   Armed Forces

 The Council for Reform of the Royal Cambodian Armed Forces was established by the Royal Decree No. 44 dated 17 May 1999.

-In early 1999, the Government decided to downsize 55,000 military personnel over a period of 5 years from its current army strength of 140,740.

  3-4-1-1 Number of Soldiers

  3-4-1-2 Number of Military Units

The General Secretariat of the Council for 

 the Demobilization of Armed Forces was

 established by a Governmental Sub-

Decree No.42 dated 12 May 1999.

  3-4-1-3 Figures of Reduction-in-force

*In 2003 the Government plans to further demobilize another batch of 15,000 soldiers.

 3-4-2 National Police Reform

   In early 1999 the Government decided to curtail 22,000 national police over five years.

-In 2002 the Government decided to rename the General Department of National Police into the General Commissariat of National Police and at the same time established the Royal School of National Police. 

-The Commission in charge of undertaking the second round census of police force was created by a Ministerial decision No. 422 dated 24 April 2000.

  3-4-2-1 Figures of reduction-in-force

   3-5 Legal and Judicial Reform (up to December 2002)

-The Council of Legal and Judicial Reform was established by a Royal decree No 0602/158 dated 19 June 2002.

  3-5-1 Legal Reform

-Law on the Organization and Functioning of the Supreme Council of Magistracy was promulgated by a Royal decree No 09 dated 22 December 1994. The law was amended and submitted to the President of the National Assembly for a debate and adoption from the legislative institution.

-The Secretariat of this Magistracy was constituted by a Royal decree No 43 dated 24 May 2001.

-The Ministry of Justice, in cooperation with the French Jurists delegation had already completed the review and amendment to the draft law on Penal Code consisting of 818 articles.

-The Ministry of Justice in collaboration with the Japanese legal team had already put a final touch on the draft law on Civil Code (1,301 articles) and Civil Procedure Code (571 articles).

A draft Royal decree on the Particular Statutes of Court Clerk is being written.

-A draft law on the Statutes of Judges and Prosecutors of the Kingdom of Cambodia was drafted and submitted for consideration and consultation with the civil society on 03 April 2003.

-The Government decided a monthly allowance of 1,3 million Riels at minimum and 2,5 million Riels at maximum for adding to the current salary of judges and prosecutors in the whole country, which will be put into practice from January 1, 2003 onward.

 3-5-2 Judicial Reform

3-5-2-1 Judiciary Establishments

- Municipal and provincial courts:21 of 24

 municipalities/provinces

-Military court:                                        1

-Appeal court:                                         1    

-Supreme court:                                       1

 3-5-2-2  Number of Officials Working for Judicial Establishments

-Court clerks:                                       802   

- Judges and prosecutors:                    200         

- Disciplined Judges and prosecutors:  48      

-Transferred Court clerks:                    70     

 3-5-2-3 Training of Judges and Lawyers                    

-The Royal School of Magistracy was formally established on 5 February 2002 and planned to select 150 judges for the first promotion.                                                                                                           

-The Lawyer Training School was constituted on 14 September 2001 and selected 60 lawyers in 2002.

-Lawyers on the Bar Association's list:272    

3-6 Reform of Natural Resource Management

 3-6-1 Forest Management Reform

 3-6-1-1  Concession Forest Manage-

ment

-In order to secure the management of forestry which was regarded as our rare natural resources in a sustainable way, from 1999 up to late 2002, the Royal Government decided to terminate 15 forestry concession   investment contracts covering the total area of up to 3,001,470 ha (22 places).

-Up to late 2002, still there have been 14 legal remaining forestry concession contracts covering 3,874,029 ha.

  -A Forestry Law was promulgated by a Royal Code 0802/016 dated 31 August    2002.

3-6-1-2 Forest Exploitation and Forest Crimes

            3-6-1-3 Small Tree Plantation

3-6-1-4 Result of Crackdown on Forest Crimes

    3-7-3-Fisheries

The Government decided to cut 536,289 ha of fishing lots equivalent to 56.23% of the total exploitation lots (953,740 ha), in order to put at the people household' s disposal.

-Processing of Fish Production

3-6-3-Land Reform

-The Royal Government created the Council for the Land Policy through a sub-degree No 88 dated December 1, 2000.

-A land law was promulgated by the Royal Code No 0801/14 dated August 30, 2001.

-A preliminary document on the strategic framework of land policy was approved by the Council of Ministers on 6 September 2002.

3-7 Social Development Reform

 The Government redesigned the Second Socio-Economic Development Plan for five years (2001-2005) and the Poverty Reduction Strategies (2003-2005). 

4- Integration of Cambodia into the Regional and World community

4-1 The Kingdom of Cambodia   reoccupied its seat at the United Nations on 7 December 1998.

4-2 ASEAN Affairs

   The Association of South East Asian Nations (ASEAN) was established on 8 August 1967 in Bangkok, Thailand with five founding members namely Indonesia, Malaysia, Philippines, Singapore and Thailand signed the Bangkok declaration.

   -Brunei Darussalam was admitted as the sixth member of ASEAN in 1984

   -Vietnam became the seventh member of ASEAN in 1995

   -Lao and Myanmar both became members of ASEAN in 1997 and

   -Cambodia was admitted as the tenth member of ASEAN on 30 April 1999.

     -Cambodia-- ASEAN

-On 22-25 November 2000: Cambodia attended an unofficial ASEAN Summit in Singapore

-On 5-6 November 2001: Cambodia participated in an unofficial ASEAN Summit in Bandar Seri Begawan, Brunei

-On 3-5 November 2002: Cambodia hosted the first Greater Mekong Sub-region Summit, the eighth ASEAN Summit, the ASEAN + 3 Summit (ASEAN + Japan + China + Republic of Korea), the ASEAN + 1 Summit (ASEAN + Japan, ASEAN + China, ASEAN + Republic of Korea, and ASEAN + India)  (See Annex II)

4-3 Diplomatic Affairs

  -Embassies, Permanent Missions, General Consulates and Honorary Consulates accredited to 32 foreign countries.                

- 76 Foreign Diplomatic Missions were   accredited to the Kingdom of Cambodia:      

-121 countries worldwide have established their diplomatic relations with the Kingdom of Cambodia. (See Annex III)

III- Poverty Reduction

1-Contributions from both national and foreign generous people to the construction of infrastructure             

Medals Awarded to Generous people, Civil Servants, Officers of Armed Forces and Dignitaries

       (Medal)

-The logo of the Royal Government of   Cambodia was promulgated by the Royal Decree No 0210/030 dated 5 February 2001.

- Rank marks and uniforms for members of   the Royal Government and Under Secretaries of State to be worn during the different traditional ceremonies and functions were promulgated by the Royal decree No 0201/031 dated 5 February 2001.

- Rank marks and uniforms for in-line ministries' civil servants to be worn during the different traditional ceremonies and functions   were promulgated by the Royal decree No 0701/242 dated 25 July 2001.

2-Rural Development

2-1 Drinking Water Supply

2-2 Irrigation System for Agricultural    Plantations

   2-3 Community Development

2-4 Rural Roads

      3- Water Resources

 3-1 Repair and Maintenance of Constructions       

                                                  (place)

3-2 Renovation and Construction of Irrigation Systems financed from State Budget, Credit and Grant Aid            

4- Women's and Veterans' Affairs

4-1-Neary Ratanak Project

-Design 5-year-strategic plan (Neary Rattanak) in 1999.

- The Cambodian National Council for Women was formed in 2001.

- A Gender issue became part of the school curriculum while a gender strategic framework is being prepared in order to incorporate it into the SEILA program, the decentralization system and local governance.

-A draft law on prevention of domestic violence and protection of victim reached the floor of the National Assembly in February 2003.

-Draft a policy to combat the exploitation of women and children.

  4-2-Veterans' Affairs

Statistics of retired and disabled ex-combatants

5- Results of Mine Clearance

   * Casualties From Mines and UXOs (person)

     * Up to November

6- Land Policy Implementation, Land Management, Urban Planning and Construction

* Partial Registration

** Systematic Registration

-The total registration of land for homestead (1989-2002): 581,965 cards (tenure cards and immobile asset certificates).

 -Geographical Work: Putting up of 237 land pillars in different provinces.

 -Land Management and Urban Planning: Conducting a training course on land usage planning in a number of areas located in the provinces of Kampong Speu, Kampot, Kratie, Mondulkiri and Kampong Chhnang.

-Construction Projects approved by the Ministry of Land Management, Urban Planning and Construction

- More than 20,000 construction projects costing around 700-800 million Riels were approved by the municipal and provincial levels. 

    7- Education