North Korea has published some of the new regulations on renting and owning properties in its special economic zones (SEZs), in a Pyongyang Times article published Friday.
While a full list of the new regulations which span seven chapters and 57 articles does not appear available online, the article follows a similar piece from the same publication on new SEZ tax rules.
The rules indicate that property can leased, bought and sold within SEZs, with contracts running for 50 years.
“Those who have registered immovables can transfer or mortgage the whole or part of them within the expiry date and the realty can be granted by way of sale, exchange, donation and inheritance,” the article reads.
“Buying and selling of real estate are conducted through negotiations, tender and auction and the procedure of succession to property is subject to relevant legislation of the DPRK,” it adds.
The new rules also imply foreigners can rent land and properties which include revolutionary sites, historic sites, or “living monuments” as long the tenant takes the necessary steps to take care of them.
“This is probably a good example of a clause that is written, has a bit of vagary to it and implementation is what matters. It is inconceivable that a foreign investor could own or have free reign over a revolutionary site,” Andray Abrahamian, executive director of the Chosun Exchange, told NK News.
Such clauses might instead be a way of not precluding sites containing revolutionary sites from being in SEZs, while ensuring foreigners and North Koreans cooperate on their maintenance.
The final sentence of the article adds that the full document also contains guidelines on sanctions in the economic zones, though gives no further details on the regulations.
While the articles indicate that the DPRK is trying to some extent to make potential foreign investors aware of new legal infrastructure around investments, the lack of a full, published online copy is a curious oversight.
“It’s important for Choson Exchange and other foreign groups to really help the North Koreans understand that the lack of information about their zones, plans and economy hurts their efforts. Why aren’t the regulations and amendments online in their entirety?” Abrahamian said.
North Korea has published some of the new regulations on renting and owning properties in its special economic zones (SEZs), in a Pyongyang Times article published Friday.
While a full list of the new regulations which span seven chapters and 57 articles does not appear available online, the article follows a similar piece from the same publication on new SEZ tax rules.
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