by RentsBuy Property 
LuangPrabang Special Economic Zone.
Pursuant to the Agreement on the Development of LuangPrang Special Economic Zone between the Government of Lao PDR and PHOUSY Group Sole Company Limited, dated on 17 January, 2016;
Pursuant to New Degree on Special Economic Zone, ref no: 188/G, dated 7 June, 2018.
1. Project Areas for Concession:
LuangPrang Special Economic Zone (LSEZ) has total area of 4,850 hectares, located in new city namely Chompheth city (S1) covering a total areas of 3,350 hectares and covering an urban area of Luang-Prabang for 2 points (S2 and S3) with total area of 1,500 hectares. Such areas are located among Mekong River and if we want to cross between S1 and S2, it is required for the Lao Government or Phousy Group Sole Company Limited (Project Developer) shall establish a
Mekong Bridge in order to provide facilities in communication.
2. Investment Project approved by the Lao Government 12 Investment Projects approved by the Lao Government for implementing and establishing as planned:
Investment Portfolio:
1. Real Estate Development.
2. International High School.
3. Hospital Medical Centers.
4. Banking and Financial Institution.
5. Golf Course and Sport Fields.
6. Business Centers and Duty Free Shops.
7. Hotel, Entertainment Venues and Restaurant.
8. Warehousing Facilities.
9. Agriculture Areas and Agricultural Processing Products.
10. Industrial Areas.
11. Infrastructure (Wastewater Treatment, Waste Disposals, Telecommunications, Electricity, Eater Supply, and others).
12.Sport Center, Cultural Center and Amusement Park.
3. Benefits from the Investment
LuangPrabang Special Economic Zone (LSEZ) provide the facilities and other benefits to developers and investors as follows:
- Co-Developer for LSEZ has rights to be member of Administration Board of Luangprabang Special Economic Zone, which authorizes to issue the enterprise licenses by itself;
- In case of investment value of more one hundred thousand (100,000) US dollar, husband or wife and children shall have rights to get multiple visa for the first period of 10 years with the possibility of extension;
- Such Co-developer for LSEZ shall receive the special rights from Lao Government such as other incentives on taxes:
3.1 Receive profit tax exemption for four (4) years from the year that generates revenue, upon the expiration date, it shall pay 50% of the tax rate defined in the laws of Lao PDR;
3.2 Pay all other taxes at 50% of the rate defined in the laws of Lao PDR;
3.3 Receive an exemption for all taxes and custom fees for importing machinery, equipment, raw materials, vehicles that are used within the zone in accordance with the construction plan. - LSEZ has Lao China Railway Station for loading goods and services in the zone. The objectives are to import and export based on the Lao Government’s applicable rules and regulations;
- Co-Developer for LSEZ shall receive incentives from the land concession for establishing and its objectives are to sell, handover, transfer or success for the next generation until the expiration date of the use of the property, but after the expiration date of land concession, it becomes the property of the Lao Government that the property owner is able to rent for the land with the state or other kind of conditions in accordance with the Laws of Lao PDR.
Location Advantage:
- SEZ located in Luang Prabang Province, the World Heritage city by UNESCO. International airport is located in the province has direct flight to Thailand and China, offering wide range opportunity for tourism and leisure business investments. Since 2018, more than 700,000 tourists of all nationalities visited the province.
- Additionally, the Lao-China train route from Vientiane, Luang Prabang and Kunming is assumed to be representative of trade movements between Lao PDR (primarily from Vientiane) and P.R. China.
- LSEZ is made up of three zones (S1, S2 and S3).
Zone S1: The Highway 4B land is located at a mere 16KM from the New Chomphet City. This zone covers an approximately 3,350 hectares of area in Chomphet District.
Zone S2: S2 covers 1,335 hectares. It is conceptualized to be a hub for both national and regional traffics enable investors to take full advantage of the Laos-China Railway Luang Prabang Station.
Zone S3: The Mekong Riverfront Land is located at 1.4KM across the Mekong River. S3 covers 228 hectares. This zone is close to one of the most popular natural tourist destinations in Luang Prabang – Kuang Si Waterfall.
Investment Projects:
- Zone S1: Real Estate and Trading Centre and infrastructure development
- Zone S2: Agricultural, food processing manufacture, R&D institutes, Bank and financial institutes
- Zone S3: Cultural and e-co tourism site, international schools, Hotels, resorts and other entertainment business.
- LSEZ offers opportunities to cooperate with the developer to develop tourism, new urban center, sub-zone or processing zone.
Reference by Investment Promotion Department.
