Summary
Cambodia's 2026 Policy on Social and Affordable Housing Development, signed on 13 February 2026, commits the government to developing public housing directly for the first time, according to an analysis by APS Cambodia. Earlier efforts relied mainly on incentives for private developers. The new policy keeps an incentive scheme and adds a public-private partnership (PPP) framework.
The policy replaces the Policy on Encouraging and Establishing a National Program for Affordable Housing Development 2017, according to a Ministry of Economy and Finance statement reported by Khmer Times and a 28 May 2026 report by AMS Economy. A sub-decree signed the same day set up an inter-ministerial committee to carry it out.
What counts as affordable
The General Department of Housing's director-general, Prak Angkara, said on 28 May 2026 that buyers should not have to spend more than 30% of their monthly income on housing payments, and that an affordable home should cost no more than 3 years of a household's annual income. He said the policy is aimed at workers, civil servants on low incomes and small traders.
Three types of supported housing
The same 28 May 2026 report said three categories can receive government support: social housing, affordable housing for ownership, and affordable housing for rent. Developers can apply to invest in any of them. Under the policy, supported projects may use at most 70% of the total project land for housing, must keep green space, and must include a preliminary environmental and social impact assessment, the report said.
Route 1: incentives for developers
According to APS Cambodia, developers of eligible affordable-housing projects can receive:
- partial or full state-funded utility connections
- tax relief
- regulatory fast-tracking
Route 2: public-private partnerships
Under the PPP framework, ministries, government institutions, development partners, non-governmental organisations and private companies may submit social-housing proposals using any of four financing options: the national budget, development-partner funds, private-sector funds, or blended financing, APS Cambodia said. The policy also provides for land allocation, potentially including land for public housing aimed at households on extremely low incomes.
Who runs it
Sub-decree No. 20, signed on 13 February 2026 and in effect from that date, created the Inter-Ministerial Committee for Social and Affordable Housing Development Projects (IMC-SAHD) to implement the policy, according to the Open Development Cambodia record of the sub-decree published in the Royal Gazette.
What this means for Cambodia
The policy changes who builds lower-cost housing and how it is financed. For developers, it creates a defined route to incentives and partnerships, but only for projects that meet its criteria and land-use limits. For buyers and renters, the 30% and 3x tests give a practical yardstick for judging whether a home marketed as affordable actually is. The policy is expected to expand affordable housing access across Phnom Penh, laying groundwork for broader national initiatives, APS Cambodia said.
What to do next
- Before buying a home marketed as affordable, check the monthly payment against 30% of your household's monthly income.
- Compare the price with 3 times your household's annual income.
- If you are a developer, review the incentive and PPP routes with the General Department of Housing before you design a project around them.
- Find and list Cambodia property on ProprKey: proprkey.com/en/onboarding