Rent Control Laws End Up Strangling Housing Supplies

New rent control laws were passed by the National Assembly with support from both major parties, and will be implemented in the coming year. The law mandates a freeze on rental prices for garment workers for two years, during which time the rental price may not be increased.

Electricite du Cambodge (EdC), the state electricity provider, has been tasked with surveying the areas with a high density of dwellings rented by garment workers in order to assess rent prices, which will be fixed when the law is implemented. The rent control laws are implemented concurrently with laws to reduce the price of electricity for tenants using less than 50 kilowatt-hours per month, which will cut the expenses of low-income workers including those in the garment industry (read more).