China tightens land-use rules

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clpstaff

On September 7 2006, the State Council and Ministry of Land announced new rules to control land. These include increased compensation for evicted residents…

On September 7 2006, the State Council and Ministry of Land announced new rules to control land. These include increased compensation for evicted residents and a requirement for more land to be sold through auctions. The eight-point plan is part of the Chinese government's plan to curb property speculation and over-investment in the property sector.

The central government has existing rules to manage land use, but they have been largely ignored by local governments due to the revenues that land sales generate and the opportunities for corruption.

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