In July 2016, Cambodia became the lower-middle income country, then after that GDP growth rate maintains around 7%. Recently, Japanese corporations are actively expanding their business in Cambodia. JICA's assistance—such as strengthening the logistics network on both the hard and soft sides such as roads, ports, and procedure of customs on the Southern Economic Corridor, and comprehensive soft support such as developing human resources in industry—is contributing to the activities of the private sector. However, Cambodia is facing new challenges such as the disparity between urban and rural areas and the intensification of urbanization problems in Phnom Penh. To further strengthen the economic and social infrastructure for achieving upper-middle income countries by 2030, JICA is focusing its support on industrial development by promoting agriculture, improving infrastructure, enhancing better quality of life through health care and water supply and sewerage system development, and fostering a sustainable society through the strengthening of governance through legal reform.