Due to complaints on higher land rental fare for foreign investors, Yangon regional government is planning to develop new industrial zone projects, which will allow land to be leased out by developers at a fair rate

The government is planning to develop the new industrial zone projects in Yangon as foreign investors have to pay higher land rental, according to the pre-briefing on Yangon Investment Forum 2018, at Cooperative Business Centre in Yangon on May 2.

Myo Khaing Oo, Joint-Secretary of Yangon Region Investment Committee said: “There currently are 30 industrial zones in Yangon. All land spaces in the industrial zone are owned but some lands remain idle. Foreign investors have to pay higher land rental. They also face difficulties such as higher annual land rentals as they have to hire land spaces from private owners. We have got many such complaints. The investment committee is thinking about a plan that will allow land spaces to be leased out by developers at a fair rate.”

In late March, Aye Thaung, chair of Hlaingtharyar-Shwelinpan Industrial Zone claimed that it was essential to draft the Industrial Zone Law as quickly as possible as the country had no such law.

“In Yangon, there are 29 industrial zones apart from Thilawa Special Economic Zone. It’s going to be the 30 years anniversary of establishing industrial zones.  But still, there is no law relating to it. The establishment and operation of industrial zones has to be done only with the Directive-1/97 issued by the Housing Department under the Ministry of Construction. At the beginning of industrial zone era, we frequently pointed out the fact that the country needed such law,” Aye Thaung added.

Due to lack of industrial zone law, foreign investors find it difficult to invest in other industrial zones in Yangon, Aye Thaung continued.

(Eleven Media Group: http://www.elevenmyanmar.com/business/13846 )

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