Cambodia faces a deepening economic crisis following border clashes with Thailand, which began in July 2025 and reignited in December, displacing over one million civilians and severing vital trade and labor links. The conflict has exacerbated existing economic vulnerabilities, including a slowdown in the property sector and a reliance on manufacturing exports. The return of approximately 950,000 Cambodian migrant workers from Thailand has created significant unemployment and a sharp decline in remittances, impacting rural households. Energy supply has also been affected, with Cambodia seeking alternative sources after ceasing petroleum trade with Thailand. This economic strain occurs during a critical generational leadership transition, testing Prime Minister Hun Manet's authority as he steps out of his father's long shadow. The economic fallout is increasing political pressure, with growing public calls for reform.