|
Savan-Xeno economic zone sees growing investment
The Savan-Xeno special economic zone in the central province of Savannakhet is set to become a hub of investment and business after the zone administration granted investment licenses to a number of international and local companies.
According to a report from the Ministry of Planning and Investment on the implementation of the national socio-economic development plan over the first six months of the current fiscal year, the zone administration has approved investment licenses for 28 local and international companies with investment funds totalling US$85 million since it was established in 2003.
At present, 6 companies have begun construction of offices, warehouses and processing facilities in the zone. One of the more advanced projects is the completion of a tin smelting facility and warehouse.
Construction of an aircraft spare parts production plant and a vehicle showroom have also begun and are expected to be completed in the near future.
Involved officials said the zone administration is now improving its capacity to deliver services to businesses that want to invest in the zone. The administration will also join hands with foreign investors to develop infrastructure to accommodate industry in the zone.
The Savan-Xeno special economic zone is the first such zone in the country, aiming to attract local and foreign investment and create job opportunities for local people.
The zone is located along the east-west corridor created by Road No. 9, linking Thailand, Laos, and Vietnam. It also runs along the north-south Road No.13 that runs through Laos, leading north into China and south into Cambodia.
The zone administration offers special incentives, including tax breaks, to businesses that invest in the zone.
The zone is one of five special economic zones in the country, the others being the Boten special economic zone in Luang Namtha province, the Golden Triangle special economic zone in Bokeo province, Phoukhiew special economic zone in Khammuan province and the Vientiane-Nonthong industrial zone.
The National Assembly has approved a prime ministerial decree on special economic zones, which offers special incentives to investors who gain permission to develop the zones, including the right to set up tax rates in the zone and duty free imports of vehicles and fuel into the zone.
The government decided to offer investment incentives to zone developers in an effort to increase investment in Laos, particularly in more remote areas such as Xieng Khuang, Xekong and Attapeu provinces.
vientiane times
|
