PHNOM PENH, Sept. 4 (Xinhua) -- The International Monetary Fund (IMF) on Wednesday revised down Cambodia's economic growth forecast in 2025 to 4.8 percent from its January prediction of 5.8 percent.

The Southeast Asian country's economy faces significant external headwinds from trade policy uncertainty and regional tensions, the IMF said in a press release.

Kenichiro Kashiwase, mission chief for Cambodia, Asia and Pacific Department at the IMF, said Cambodia's economy performed strongly in 2024, with real GDP growth reaching 6 percent, supported by a robust rebound in garment and agricultural exports and a recovery in tourism.

"This momentum continued in early 2025. However, growth is expected to moderate to 4.8 percent in 2025 as trade tensions and the border dispute with Thailand, despite the recent ceasefire, begin to weigh on external demand, tourism, and remittance inflows," he said in the press release.

He added that inflation is expected to rise moderately to about 2.8 percent but remains contained.

The kingdom's economy mainly relies on garment, footwear, and travel goods exports, tourism, agriculture, and real estate and construction.

On Aug. 1, the United States imposed a 19 percent tariff on all goods imported from Cambodia.■