Twelve special economic zones (SEZs) established across the country have attracted investment of almost US$5.7 billion and created thousands of jobs for local people, a report this week showed.

The zones’ developers have invested US$4.28 billion, individual companies invested US$1.36 billion, and the Lao government has underwritten the remaining more than US$52 million.

The number of zones increased from 10 in the 2013-2014 fiscal year to 12 in 2018, with an estimated total investment of US$43.77 billion and registered capital of US$14.30 billion.

As of 2018, the zones had attracted actual investment capital of almost US$5.7 billion, according to a report presented at the second meeting of the Party Committee of the SEZ Promotion and Management Office on Monday (Feb 3).

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The post Special economic zones in Laos attract huge investments and create jobs first appeared on Open Development Mekong.

In a remote part of northern Laos, the bamboo forest gives way to cranes. A city is being carved out of jungle: tower blocks cloaked in scaffolding loom over restaurants, karaoke bars and massage parlours. The beating heart of Golden Triangle Special Economic Zone (so called because it sits at the point where Laos, Myanmar and Thailand converge) is the casino, a palatial confection featuring faux-Roman statuary and ceilings covered in frescoes. “Laos Vegas” does not cater to Laotians, however. Croupiers accept only Chinese yuan or Thai baht. Street signs are in Chinese and English. The city’s clocks are set to Chinese time, an hour ahead of the rest of Laos.

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The post South-East Asia is sprouting Chinese enclaves first appeared on Open Development Mekong.

Rayong residents have raised concerns about pollution and the empty promises that the Eastern Economic Corridor (EEC) project might bring.

Their concerns, they said yesterday, were based on the lesson they learned from the Eastern Seaboard Development programme more than 30 years ago. 

The post Rayong residents worry EEC will come with empty promises first appeared on Open Development Mekong.

Nearly 150 families in six villages in Khong district of southwestern Laos’ Champasak Province say they do not want to give up their homes and land to a special economic zone planned for their area and that they fear that project developers will not compensate them fairly. The first phase of the Mahanathy Siphandone special economic zone (SEZ) is expected to be built by 2021 and will cover nearly 200 hectares (494 acres) of land throughout the six villages. The project will be expanded to cover nearly 10,000 (24,710 acres) hectares of land in the province.

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The post Lao Families Fear Getting Cheated by Developers of New SEZ in Champasak Province first appeared on Open Development Mekong.

In a bid to diversify its revenue stream, Phnom Penh SEZ will restructure its business model by injecting capital into building its own factories that can be leased to tenants of its flagship industrial park, a company representative said on August 23.“Right now, 90 per cent of our revenue is from land sales and only 10 per cent from services,” said Fong Nee Wai, chief financial officer of Phnom Penh SEZ. “We need to have a more balanced model.”The unveiling of a plan to build factories, which will be leased out under 15-year contracts, comes after the release this week of the company’s first financial report since going public in May, which showed marked declines in revenue and net profit over the past 18 months on slower land sales.

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The post Phnom Penh SEZ to construct factories for hire first appeared on Open Development Mekong.