It has been nearly a full 12 months since we offered advice to families, and specifically teachers, who are making the move to the Cambodian capital for the start of the new school year 2024-2025 at the many international schools.
The longest holidays for the schools start wrapping up over the coming weeks and we relook at some of the family activities and parks in Phnom Penh and offer updated advice for those who might be moving homes or signing their first rental lease.
International Schools In Cambodia
There is still a steady flow of expatriate families and individuals, who in response to the growing demand for international education, make the move to Cambodia and specifically to Phnom Penh, as it is home to several highly reputable international schools, ranking among the most affordable in the region.
There are thought to be more than 50 international schools in the capital, some are part of franchises or multi-campuses. The International Schools Database report released in 2024 compared the costs of international schools and Phnom Penh remained the second cheapest city across Asia for international school fees.
According to the report, the median price of annual school fees was USD $5,120, but the maximum school fees are in excess of USD $20,000. The most affordable international schools were priced at around USD $2,400 per annum in Phnom Penh at the start of 2024.
Are Costs of Living Still Affordable In Cambodia?
Although in 2021, Phnom Penh was ranked the least expensive city in Asia for international schools and, for the past two years, has been ranked the second most affordable, some have complained about the rising cost of living in Cambodia post-pandemic. Globally there have been inflationary issues and this is true of the Kingdom, but we still think that the city remains very affordable.
A recent report that was shared across social media, suggested Phnom Penh had the second highest cost of living in Southeast Asia after Singapore, based on Mercer’s 2024 cost of living data. Honestly, these reports need to be consumed with some critical thinking and the fine print mentions that the data used was based on a basket of everyday items including a dozen large eggs, 1 litre of olive oil, espresso coffee at a popular café, 1 litre of gasoline (unleaded 95 octane), men's blue jeans, and women's shampoo and haircut styling.
In June 2022, inflation reached 7.8 per cent in Cambodia, before dropping to 5.4 per cent in mid-2023 so the prices are up but some of these would be considered generally luxury items in Cambodia. If you take into account transport, the size of the city, and food affordability (taking into account the delivery apps, local wet markets and supermarkets and dining out) we would argue that prices remain very affordable albeit more expensive than in previous years.
In Phnom Penh, electricity costs around USD $0.25 per kWh, garbage collection at USD USD $2 per household and high-internet WiFi may cost USD $19 per month, while water costs are very affordable at around USD $1-2 per month!
Add in the ease of visas and work permits compared to neighbouring countries, Cambodia remains an attractive destination.
There are ambitious goals for the economic growth of Cambodia, and it is fair to say that as the country grows (the World Bank projects the country's GDP to increase by 5.8 per cent in 2024, up from 5.6 per cent in 2023) there will be general rise in the general cost of living, especially in urban centres due to increased urbanisation. The government anticipates the population in the cities will reach 7.92 million by 2030.
Rental Costs In Phnom Penh
The cost of renting an apartment in the Cambodian capital varies significantly depending on the location, size and amenities available. Monthly rentals can range from USD $250 to $2,000 for city apartments, while in other locations such as Battambang, Siem Reap, and Kampot, the rental prices are even more affordable.
We looked at the construction of the real estate sector in Cambodia recently, and there are still many condo and borey developments being developed, with the general consensus being that there is oversupply. This also means it still remains a renters and buyers market and room for price negotiation remain
In the 2024 condo market alone, the Phnom Penh housing market will see the addition of 14,000 units before the end of the year. The pricing remains very competitive compared to the market in the region with Phnom Penh offering the lowest sale price (USD $2,500/sqm) for condominiums and offering among the best rental yields (5.3 per cent) compared to Bangkok, Hong Kong, Ho Chi Minh, Manila, and Singapore.
Popular Phnom Penh Neighborhoods to Consider
- BKK1 (Boeung Keng Kang 1): Referred to as the city's expatriate hub, BKK1 is known for its upscale apartments, international schools, and vibrant nightlife. It offers a cosmopolitan lifestyle with numerous amenities and remains a favourite among expats and affluent locals.
- Tuol Kork: This neighbourhood has gained in popularity due to its relatively affordable housing options and proximity to the city centre. It’s home to several educational institutions and shopping centres and thus attracts families and young professionals.
- Chak Angre: Chak Angre is a commune located in the Chbar Ampov district of Phnom Penh and living there offers an enjoyable range of amenities with bustling markets & modern shopping centres. The real estate market here has something for everyone.
Family Activities & Green Spaces In Phnom Penh.
Family Activities & Green Spaces In Phnom Penh
Family-centric and group activities have come and gone in the city, but there remains a diverse choice with playgrounds and recreational facilities, swimming pools on the weekends (either at condos or at the many hotels that allow outside guests) and the opening of the Garden City Water Park and the Phnom Penh Safari.
There are also escape rooms, Fly Phnom Penh (trampoline park) and cafes which specialise in board games and even expanded into roleplaying games and hobby clubs.
There has always been a diverse selection of sporting activities which include the CIS Roller Dome, several coaching clinics and youth sports from AFL, GAA, touch rugby, soccer, basketball, netball, hockey, and a variety of MMA aimed at youths and adults.
Arts and crafts, music and dance, and a selection of other cultural activities are also available, as well theatre, stand-up comedy nights and more.
Parks can be found in Phnom Penh too but more green spaces are always welcome. On Koh Pich (Diamond Island) has Treellion and Coconut Park which host regular events, live music and rare greenspaces for the family with farmer and weekend markets a regular occurrence when the season suits.
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