WB: Vietnam's Land Market Yet Controlled

A. Hudd, a real estate expert of the World Bank said that the land market in Vietnam has not yet been controlled as the underground land transactions are accounting for 85 per cent of the total deals, the Dai Doan Ket newspaper said.

 

The WB official also cited the statistics by the Asian Development Bank as saying that only 50 per cent of farmland transaction deals have been registered officially.

 

That local land authorities have lowered tax on land ownership to 2 per cent from 10 per cent of farmland deals’ values and 20 per cent of non-farmland deals’ values plus an additional 1 per cent of issuing fees since 2000 has not encouraged dealers to officially register with authorities, the paper said.

 

The WB also said that Vietnam lacks a complete land appraising mechanism for compensation as land prices set by the State are normally lower than prices at the market.

 

The WB official noted that the bank will work with the Ministry of Natural Resources and Environment and policy makers of Vietnam before releasing an official report on land situation. (Great Unity)