'They have stuffed the place': How Chinese investment has turned a once-picturesque town with the best beaches in Asia into a seedy gambling Mecca dubbed 'the new Macau'

  •  A quaint seaside town has caught attention of developers and investors 
  •  Sihanoukville was a haven which was assumed would likely be capitalised on
  •  More than 100 Chinese companies work out of a joint-country special zone
  • Cambodian leader Hun Sen spoke glowingly of the countries' relationship

A once-lush rainforest with the best beaches in Asia has caught the eye of developers and investors keen to cash in on its natural beauty.

With its idyllic seaside setting the coastal Cambodian city of Sihanoukville is being transformed into a gambling metropolis thanks to a boom in Chinese investment.

Almost a third of Cambodia's total foreign investment in 2017 was made up of Chinese money flowing into the country, with billions invested in textile factories, banking and agriculture. 

A once lush rainforest with the best beaches in Asia has caught the eye of developers and investors ready to make the most its potential

A once lush rainforest with the best beaches in Asia has caught the eye of developers and investors ready to make the most its potential

The town has been tipped as 'the next Macau' as rapid expansion in the form of casinos, restaurants, airports, bridges and apartments inundates the city, the Sydney Morning Herald reported. 

Property prices in Sihanoukville have dramatically increased as Beijing’s $1.3trillion Belt and Road Initiative takes shape with the region picked as an ideal hub thanks to its deep-water port.

More than 100 Chinese companies work out of a joint-country special zone which is soon to be upgraded and manufactures machinery, textiles and electronics.

Planned upgrades to the zone will accommodate a further 200 companies in the area, leading to the creation of 100,000 new jobs.

Property prices in Sihanoukville have dramatically increased as Beijing¿s $1.3trillion Belt and Road Initiative takes shape

Property prices in Sihanoukville have dramatically increased as Beijing’s $1.3trillion Belt and Road Initiative takes shape

The town has been known for its pristine beaches - dubbed the best in Asia by some

The town has been known for its pristine beaches - dubbed the best in Asia by some

In just the last few months Chinese lenders announced further investment of $US7billion in forestry work, a hospital and new airport.

During a speech in February Cambodian leader Hun Sen spoke glowingly of the country's relationship with China.

He also attempted to put minds at ease over the level of investment.

In just the last few months Chinese lenders announced further investment of $US7 billion in forestry work, a hospital and new airport

In just the last few months Chinese lenders announced further investment of $US7 billion in forestry work, a hospital and new airport

Emeritus Professor at The University of New South Wales Carl Thayer said the impact of Chinese investments on Cambodia had a number of downsides, claiming the focus on physical infrastructure will leave important services underfunded.

However, the rise in Chinese investment and tourism in the country has also led to friction with the locals, managing director of CambodiaRealEstate.com Brad King told the Sydney Morning Herald. 

Almost a third of Cambodia's total foreign investment in 2017 was made up of Chinese money flowing into the country

Almost a third of Cambodia's total foreign investment in 2017 was made up of Chinese money flowing into the country

'I’ll be blunt. They have stuffed the place. You ask any Cambodian there, if you go to the city’s roundabout around midnight you can usually see Chinese and Cambodians fighting. There are also the Chinese mafia gangs fighting each other,' he said.   

Another factor in the Chinese boom is the lure of online gambling which is illegal in China.

Insider speculation that profits from the casino industry could exceed US$1billion.  

Plans are for upgrades to the zone will accommodate a further 200 companies in the area leading to the creation of 100,00 jobs
Emeritus Professor at The University of New South Wales Carl Thayer said the impact of Chinese investments in Cambodia has a number of downsides

Emeritus Professor at The University of New South Wales Carl Thayer said the impact of Chinese investments in Cambodia has a number of downsides