Gov’t Ends Freehold Sale of Concessional Land & Rubber Plantations

• 24 June 2021
• Property Focus
• 3934 Views

The Cambodian government has issued a new order to end the freehold sale and exchange of all economic land concessions and co-investment rubber plantations*, to strengthen the efficiency of land management nationwide.

According to Official Order No. 01 issued on 7 April 2021, there are also some exceptions.

In cases where freehold sale and ownership transfers are allowed, the firm must provide appropriate compensation relative to the land size for local people, plus a concrete development plan on that plot of land.

Meanwhile, freehold sales and exchanges made before the regulation was enforced are still valid, as those firms can still legally own the land.

However, all the owners must obey all the regulations and contracts; otherwise, the government will revoke the ownership at any time.

*Rubber plantation land used to be co-investment land between the government and the private sector. Thus far, the government has been pulling out shares and converting them into private investment only. In that process, the government can transfer the land ownership to private partners. However, according to this new order, freehold ownership is no longer allowed.

• Laws and Regulation
• land development and policy