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Myanmar at the HLP Crossroads: - Displacement Solutions

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<strong>Myanmar</strong> <strong>at</strong> <strong>the</strong> <strong>HLP</strong> <strong>Crossroads</strong> 24projects in rural areas, and allow <strong>the</strong>m all to enjoy, as is stipul<strong>at</strong>ed in <strong>the</strong> Intern<strong>at</strong>ional Covenant on Economic,Social and Cultural Rights, <strong>the</strong> “continuous improvement in living conditions” and protection against forced evictionsand loss of housing rights.Expand capital investment opportunities.Steps should be taken immedi<strong>at</strong>ely to expand capital investment opportunities for investors as a means of relievingpressures on <strong>the</strong> real est<strong>at</strong>e sector in urban areas. This could include <strong>the</strong> establishment of a stock exchange oro<strong>the</strong>r investment vehicles th<strong>at</strong> would divert funds away from real est<strong>at</strong>e thus reducing land grabbing, residential landprices and specul<strong>at</strong>ive profit seeking.Consider a land value tax to prevent specul<strong>at</strong>ion.Ano<strong>the</strong>r valuable tool <strong>at</strong> <strong>the</strong> Government’s disposal to prevent specul<strong>at</strong>ion is <strong>the</strong> imposition of a land value tax. Inaddition to raising Government revenue, land value taxes can help induce investment in and use of land in a productivemanner and serve to reduce or undermine specul<strong>at</strong>ively driven land acquisition. Such a new tax should be leviedon new land transfers and purchases (as well as acquisitions contrary to legal norms). Long-term occupiers andlow-income households should be exempted from any new land tax. All new land transfers and purchases shouldbe subject to strict monitoring and only approved once a series of criteria have been met. Frameworks could bedeveloped to earmark 50% of <strong>the</strong> proceeds from <strong>the</strong> new tax to rebuild and renov<strong>at</strong>e <strong>the</strong> severely dilapid<strong>at</strong>ed publichousing stock in Yangon where many civil servants and members of <strong>the</strong> armed forces reside.Carefully regul<strong>at</strong>e foreign company ownership and leasehold rights.Many countries already strictly regul<strong>at</strong>e foreign ownership of land, and such measures should be strenuouslypursued in <strong>Myanmar</strong>. Though allowing foreign ownership of land will be tempting to some sectors of society for avariety of reasons, non-citizens should not be allowed to own land on a freehold basis, particularly not <strong>at</strong> this fragilestage of <strong>the</strong> reform process. There is nothing extraordinary about such restrictions, with many countries having suchrestrictions on <strong>the</strong> book including, of course, neighbouring Thailand. Similarly, leasehold rights should be strictlyregul<strong>at</strong>ed. Both measures are needed to prevent land specul<strong>at</strong>ion and growing political and economic influence bynon-<strong>Myanmar</strong> corpor<strong>at</strong>e entities th<strong>at</strong> may not always have <strong>the</strong> country’s best interests <strong>at</strong> heart. The <strong>HLP</strong> rights ofeveryone in society and <strong>the</strong> needs of investors need to carefully balance. <strong>Myanmar</strong> clearly needs investment, but thisshould never be to <strong>the</strong> detriment of its people. When and if leases are provided to non-<strong>Myanmar</strong> entities, compliancewith a model contract should be secured to ensure th<strong>at</strong> if land is leased, labor requirements are met, adequ<strong>at</strong>e rentpayments are made, th<strong>at</strong> a defined minimum number of local people are employed and so forth. In addition, suchcontracts could include provisions th<strong>at</strong> protect food security by barring <strong>the</strong> replacement of food crops with o<strong>the</strong>rforms of agricultural production exclusively for purposes of export.<strong>Myanmar</strong> should develop a workable system of access to <strong>the</strong> justice systemth<strong>at</strong> is suitably tailored to its history, culture, values and resources.The <strong>Myanmar</strong> people must be enabled to exercise <strong>the</strong>ir rights and take advantage of <strong>the</strong> protections afforded by <strong>the</strong><strong>HLP</strong> laws. Laws and rights become meaningless unless <strong>the</strong>re is a mechanism to assert and vindic<strong>at</strong>e <strong>the</strong>m. Unlike <strong>the</strong>vast majority of <strong>the</strong> world’s Governments, <strong>Myanmar</strong> currently has no Government-supported legal aid system or o<strong>the</strong>rtools to provide access to <strong>the</strong> justice system for those who have claims. When people have no meaningful recourse toassert <strong>the</strong>ir rights, those rights lose <strong>the</strong>ir meaning and people lose faith in Government and <strong>the</strong> rule of law. The housing,land and property rights domain is an excellent place to commence expanded access to judicial remedies because<strong>the</strong>se sectors are so immedi<strong>at</strong>e and fundamental, with implic<strong>at</strong>ions for peace, food security and overall stability.Establish a n<strong>at</strong>ional legal aid institute.The cre<strong>at</strong>ion of a n<strong>at</strong>ional legal aid institute would fill a sizable gap in <strong>the</strong> protection of <strong>HLP</strong> rights in <strong>Myanmar</strong>. Whilesuch an institute should provide free legal assistance to citizens alleging viol<strong>at</strong>ions of <strong>the</strong>ir rights in any sphere,beginning with a focus on <strong>HLP</strong> issues will surely assist in clarifying law, improving faith in Government and considerablyimproving access to justice for those claiming abuses of <strong>the</strong>ir <strong>HLP</strong> rights.

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