Japan-Myanmar Association for Industry of Housing and Urban Development (JMHU) has offered to provide US $20 million to Myanmar to implement low-cost housing projects, according to a press release issued by the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI).
A local public company, Myanmar Construction and Development, has also offered capital for those projects.
During a meeting between Vice President Myint Swe and UMFCCI and its sister associations on January 13, Myanmar Construction Entrepreneurs Association (MCEA) offered to sell low-cost apartments for Ks 23,000 per one feet square, said association vice chairman Ko Ko Htwe and some construction entrepreneurs after the meeting.
One entrepreneur said they would invest in such projects if the government provides land, adding that they could take part in the project through a bank backing system in which a buyer must make a 30 per cent down payment and pay the remaining 70 per cent through long-term bank loans. Then, 100 per cent could be paid to the constructor when apartments are sold, he commented.
MCEA proposed the plan to be implemented under a public-private partnership that does not require the government to cover construction costs.
Another construction entrepreneur said the required investment would be made by the entrepreneurs themselves while the government only needs to provide land and arrange for bank loans.
The association also said under such a plan, a million of apartments could be built, said an entrepreneur who attended the meeting.
Min Htein, director general of the Department of Urban and Housing Development under the Ministry of Construction, said plans were underway to build 4,000 apartments in Yangon Region within a year.
Source: Eleven Myanmar
