World Business Report What is the economic impact of the fighting between Thailand and Cambodia?
Dec 26, 2025
Dr. Sam Seon, a policy analyst from the Royal Academy of Cambodia, discusses the severe economic impacts of the Thailand-Cambodia border conflict, highlighting a significant drop in tourism and halted $5 billion in trade. Neil Atkinson, an energy analyst, sheds light on the declining global oil prices due to excess supply and low demand. Bissi Adebayo, a BBC reporter, shares insights on Nigeria's festive 'Detti December', showcasing how celebratory spending influences the economy during the holiday season.
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Conflict Displaces Millions And Shuts Lives
- The Thailand–Cambodia border war has displaced around a million people, mostly Cambodians, and is causing daily fear and disruption.
- The conflict is deeply damaging local economies and civilian life, undermining stability in affected provinces.
Tourism Hit In Peak Season
- Cambodia's tourism fell about 20% since May as visitors avoid conflict-affected areas during peak season.
- Attacks reportedly reached as far as 80km into Siem Reap province, directly threatening heritage sites and tourism recovery.
Border Trade Has Collapsed
- Cross-border trade worth about $5 billion has effectively stopped after border closures.
- Agricultural exports like cassava, rice and cashew from border provinces have halted, freezing local incomes and supply chains.