The original five members included Indonesia, Malaysia, Philippines, Singapore, and Thailand. Since its formation, ASEAN has been growing slowly, and more countries in the region have gained membership. Through co-operation the goal of the organization is to increase the welfare of the people in the region, both economically and culturally.
Cambodia’s long-term growth prospects within the AEC could be hampered by the narrow base of its export industry which largely depends on garment production, milled rice and tourism. New sources of economic growth are called for. At the same time, Cambodia needs to further reduce its dependence on aid donors. A substantial proportion of Cambodia’s skilled workforce is absorbed by the ‘development industry’ financed with foreign aid money. Transformation of this sector through commercialisation is slow.