The rule is effective immediately for municipalities included in Fomilenio II and for housing projects.
"... After six months of its entry into force it can be used by project developers of any kind nationwide, explained Ismael Nolasco, executive director of CASALCO. "
Carlos Guerrero, president of the Salvadoran Chamber of the Construction Industry (CASALCO) said the Special Act for Streamlining Paperwork for Building Construction Projects will help boost the economy and create more jobs.
It is expected that its entry into force will accelerate the procedures for granting permits for construction projects.
From a press release issued by the Legislative Assembly of El Salvador:
During the plenary session, the deputies approved with 70 votes, the Expediting Act on Procedures for Construction Project Development, which aims to promote economic and social development, by streamlining processes and procedures relating to the granting of administrative permits and approvals for the development of construction projects and its subdivisions.
An act to streamline procedures intends to reduce the bureaucratic time delay to 120 days, so that construction companies can dynamize the economy with new buildings.
Currently the number formalities required for a construction project is 18.
Elmundo.com.sv reports that "Carlos Guerrero, president of the Salvadoran Chamber of the Construction Industry (Casalco), who also served as environment minister between 2004 and 2009, indicated that this delay makes the country less competitive and will increase costs unnecessarily. "
The goal of the Government of El Salvador is to reduce fom the current 880 days to 120 days the period for obtaining a building permit.
This project is part of a new proposal that the government will present to the Legislature next week and aims to encourage private investment.
Ismael Nolasco, director of the Chamber of Construction, said if successful, the initiative will have a positive impact on the sector, generating interest from foreign investors. "This really is going to impact on investment. An investor who comes to the country and says, 'I want to build three warehouses', and realize that in order to start building it will take three years, leaves."