Cambodia had attracted some $427 million of investment from China last year, up 62 percent compared with the $263 million in a year earlier, according to a report by the Council for the Development of Cambodia (CDC).

The cumulative Chinese investment in Cambodia has totaled $9.6 billion from 1994 to 2013, the report said.

China's investment projects have been focused on garment and manufacturing industries, banking and finance, agriculture, tourism, energy, mining, real estate, transport and telecommunication.

Chea Vuthy, deputy secretary general of the CDC's Cambodian Investment Board, said that China's investment has positively contributed to developing Cambodian economy and reducing poverty.

"Our excellent bilateral ties and preferential business opportunities in Cambodia have been encouraging more and more Chinese investors to Cambodia," he told Xinhua in a recent interview.

Ok Boung, secretary of state at the Cambodian Ministry of Commerce, said Chinese investment in Cambodia has greatly helped develop local economy and reduce poverty through job creation.

"As we all know, a lot of Chinese investors have been doing businesses here in various fields," he told Xinhua. "Large amount of investment from China is vital to boost Cambodian economy and reduce poverty."

He said excellent ties between the two governments have encouraged more and more Chinese investors to Cambodia.

"Moreover, Cambodia gets GSP (Generalized System of Preferences) from Europe, Canada, ASEAN, South Korea, Japan and China, so products made in Cambodia can be exported to those countries with reduced or zero rates of custom duties," he said. "This is one of the key factors attracting Chinese investors to Cambodia."

But Ok Boung said for future investment, Chinese investors should focus their investment on food processing so as to increase Cambodian exports and to reduce the country's reliance on imported food products.

"We want to see more Chinese investors, particularly in food processing sector," he said.

Kim Savuth, president of the Federation of Cambodian Rice Exporters, which comprises 117 rice millers and exporters, said close ties between the two countries have boosted Chinese investment in Cambodia.

"In my opinion, the presence of Chinese investment in Cambodia will be stronger in the future because Chinese people like doing businesses here--the country that many people can speak Chinese and have descent from China," he said.