Land Reform and the Rights of Foreign Investors
There are a number of important legal documents regarding foreigners’ rights in relation to land ownership. Two specific legislations have been ratified by Mongolian Parliament in 2002 and revised in 2003. Namely Law on Land (new version) and Law on Mongolian Citizens’ Ownership of Land.
Foreign countries, international organizations, foreign legal entities, entities with foreign investment, foreign citizens and stateless persons may become users of land for a specific purpose and period of time subject to contract conditions and in compliance with the law.
Citizens, companies and organizations possessing or using land shall pay land fees in accordance with relevant laws and contracts. The amount of land fees and regulations on partial waiver from land fees, exemption from land fees, and expenditure of the income from land fees shall be regulated by the law.
Land, excluding pastureland, land for public and special government use, may be given into ownership of Mongolian citizens only.
Law on Mongolian Citizens’ Ownership of Land (effect in May 1, 2003, revised in 2004 and 2005) allows to privatize land for private use in urban areas (0.01% of total land) will be done freely to all Mongolian citizens. Families in capital city are entitled to 0.07 ha, aimag centers – 0.35 ha and soum centers – 0.5 ha of land. Subsequent acquisitions of land will require payment. Individuals that possess land on leasehold terms (including farming) have the preemptive right to purchase it form the state.
Entry filed under: Land Reform and the Rights of Foreign Investors.