Tuesday, May 02, 2006

Sino Mongolian free trade zone could be boosted by casino project

Back to BVI - Asia connections. Today let's talk about Mongolia.

Zamyn Uud is a small Mongolian city (population 8,400) on the China borders. From China's side there is a much bigger city – Erlian, a trading post of 100,000 people.

Some time ago Sino-Mongolian free trade zone was established there. The municipal government signed a cooperative agreement with the West Paradise Co., Ltd., offshore company based in the British Virgin Islands. Accordingly, a 900-hectare parcel on the western side of Erlianhot Port was meant for Zamyn Uud Free Economic Zone. The BVI company was promised tax breaks and other incentives.

The city is located in a desert and currently it is the only thing, which the Mongolian border town Zamyn Uud has in common with the gambling Mecca of Las Vegas. Mongolian planners and foreign entrepreneurs hope that one day the tiny town will become a major gambling and resort destination. The government of Mongolia is ready to sign a contract that will put a little-known US real estate company in charge of building a casino complex that will include hotels, shopping malls, banks and financial institutions, a convention center as well as a modern airport.
Visitors from China are those on whom the success of the plan depends. Many casinos in border towns in Vietnam, Myanmar and North Korea attest to the potential market among Chinese visitors itching to place their bets.

It could really happen that this casino project will boost Zamyn Uud Free Economic Zone, started by the BVI company. Good Luck.

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