Chief Minister U Phyo Min Thein Has Approved Five Points among Six Points Requested By the Construction Entrepreneurs

The meeting with Chief Minister U Phyo Min Thein and construction entrepreneurs was held on 17th February 2018 at Myanmar Convention Center (MCC). At the meeting, the construction entrepreneurs requested 6 important points needed to be better in construction sector. Chief Minister U Phyo Min Thein has approved the remaining five points except one point that is bank interest, according to the sources.
The 6 points requested by the construction entrepreneurs are as follow:

(1) To reduce temporarily tax rate on real estate transactions from 30% to 5% for two years (the amount of state revenue will be more increased)

(2) To obtain bank loans depending on the extent of projects by putting up a pledge

(3) To reduce the interest of bank loan from 13% up to 9%

(4) To support bank loan for the housings buyers to be able to purchase through 15 years to 20 years installment plan

(5) To announce the specified period for the construction permits (for example, one month for the buildings under 8 and half stories, two month for the buildings up to 12 stories and six months for the buildings more than 12 stories and so on)

(6) To allow a large number of construction projects to be implemented by the state budget

Except point (3), the remaining 5 points have been approved by Chief Minister of Yangon Region.

“I’ve approved other points except to reduce bank loan interest. The interest rate is quite broad. It means our country’s financial size. So, we need to consider in various sectors,” U Phyo Min Thein explained in concern with the points requested by the construction entrepreneurs.

The construction entrepreneur U Maung Weik who organized the meeting said, “Our construction sector is under suspended situation. So, we ask help from the Government”.

“We have difficulties to continue the operation while the buildings have not been sold out. The specified terms between the Central Bank and the Private Banks directly hit our construction businesses. As a result, construction workers, engineers, technical experts and design companies are affected. The construction sector is directly connected with other sectors which are important for the country’s development. So, the respective government needs to cooperate and help to set up the construction sector again,” he said.

“The draft of 2018 Union Tax Law which has been released previously supports the economic development of the country. So, I welcome the law. We have submitted the law to Pyihtaungsu Hluttaw and I would like to urge the respective parliamentarians to try to approve the law as fast as possible,” Chief Minister U Phyo Min Thein said.

The construction entrepreneurs, the responsible officials from other business associations, the experts, the technical experts and the basic staffs working in the construction sector in Yangon attended to the meeting. As a result, there were more than 10,000 attendants to the meeting, according to the statement.

Credit: iMyanmarHouse.com
Translated by: iMyanmarHouse.com