Urbanization presents an enormousopportunity for Cambodia. As has been demonstrated incountries around the world, urbanization is a driving forcefor growth and poverty reduction. Given Cambodia’srelatively early stage of urbanization, there is still animportant opportunity to shape the future direction ofurbanization. To positively shape the future of Cambodiancities, strong institutions for urban planning andmanagement, collaboration across agencies, and a sustainedcommitment to the importance of principles of sustainabilityand inclusion will be needed. This report provides a summaryof key issues related to urbanization in Cambodia, with aparticular focus on Phnom Penh given its role as thecountry’s largest and most prosperous city. Section oneprovides context on urbanization, institutional andfinancial arrangements, urban planning, urban servicedelivery, and sustainability and inequality. Section twofocuses in on three underlying constraints to efficienturbanization and section three includes priorities for PhnomPenh as a competitive, sustainable, and inclusive city.