ThaiInquirer.com-Sept 8

Amata Corporation Plc (AMATA), Thailand’s leading industrial estate developer, has come out to announce that it was undertaking the 2nd project in the landlocked and currently economically impoverished country of Laos PDR which could cover as much as 20,000 rai of land. Vikrom Kromadit, Chairman of AMATA revealed that Amata City Lao, a subsidiary company, has signed a concession agreement with the government of Laos PDR to develop the Amata Smart and Eco City Na Mo project or a modern, environmentally friendly city at AMATA Smart and Eco City Namor, Oudomxay province, in the northern part of Laos PDR. The Amata Smart and Eco City Na Mo project, when completed, will cover an area of ​​3,150 hectares or 19,687 rai, with the 1st phase of development divided on an area of ​​1,292 hectares or 8,075 rai, supported by Thai and foreign partners. Vikrom said that this is the result of the long-term work that the firm has been undertaking with the Laos government since 2018 to develop Amata Smart and Eco City Na Mo which has been developed according to the Amata Smart and Eco City Na Mo concept. The signing of the concession agreement since January 2022 aims to invest and develop a total area of ​​approximately 200 square kilometers in Laos. Through the investment and operation of Amata City Lao Company Limited, the initial investment is expected to be $500 million. The investment comes as a sign of relief for Laos which is facing economic crisis. Laos, which is a US$ 18 billion economy, faces one of the worst times in decades as the highly indebted economy faces balance of payment crisis. Fuel prices in Laos has risen by as much as 110% year-on-year, while the ‘kip’ the Laos currency trades at 15,000 kip to the US$, a far cry from the 9,400 kip to the US$ it was trading just about a year ago. To make matters worse, Laos foreign exchange reserve stood at a mere US$1.3 billion which was good enough to cover just 2.2 months of imports, and the country has foreign debts of US$ 1.3 billion that it needs to pay off this year. Reports suggest that Laos debts to big brother China could be as high as US$ 12.2 billion or nearly 65% of the GDP. Read more at: https://www.thaienquirer.com/43919/amata-announces-plans-expand-operations-in-laos-despite-the-landlocked-countrys-economic-malaise/