Foreign aid is extremely important to the Lao economy and government, financing nearly 70 percent of the public investment programme. society. It is important that external aid is effectively co-ordinated and managed to maximise its full potential.
Although the government has made good progress in improving aid coordination in recent years, there is still much work to be done to develop the human and institutional resources necessary for really good aid management. UNDP – and indeed many other agencies – is taking a role in helping to strengthen the government’s ability to handle aid management on its own.
UNDP has been supporting aid co-ordination for more than a decade through a series of Round Table Meetings (RTM), which bring together as many organisations as possible involved in the Lao development sector, as well as government and other interested parties. The RTM is the highest level of donor coordination between the Government of Lao PDR and its development partners.
9th Round Table Meeting (RTM) for the Lao PDR
The 9th Round Table Meeting for Lao PDR concluded on the 29 November 2006 in Vientiane . The RTM, with participation of 36 countries, the European Community (EC), 4 International Financial Institutions and 22 NGOs, held from the 28 – 29 November ended with a vote of confidence for the Lao PDR's progress.
The Government of Lao PDR led by the Prime Minister Mr. Bouasone Bouphavanh made a series of presentations related on the Government's five-year plan and its implementation plans in order to achieve the national goal of alleviating poverty by 2020. These included good governance, measures to promote private sector and trade development , achieving Millennium Development Goals and the priorities of the 6th Five-Year National Socio Economic Development Plan 2006-2010 (NSEDP). The partner countries and organizations commended the process of formulation and the content of the Plan that has incorporated the National Growth and Poverty Eradication Strategy (NGPES) reviewed at the last RTM in September 2003 as well as the MDGs. The partners expressed their support for the implementation of the NSEDP with pledges for areas of support. It was stressed that human resources development is one of the most crucial areas for sustainable development and growth.
Dr. Hafiz Pasha, the UN Assistant Secretary General and UNDP Assistant Administrator and Director for the Regional Bureau for Asia and the Pacific concluded that “this past day and a half has been truly remarkable, and many of you may agree, beyond our expectations. The dialogue has been rich and development partners have consistently expressed clear recognition and strong appreciation for the impressive achievements of Lao PDR since the last round table Meeting in September 2003.”
During this high level meeting, the Vientiane Declaration confirming the implementation of the Paris Declaration in Lao PDR was signed by the Government and 23 development partner countries and organizations. During the meeting, both bilateral and multilateral partners emphasized the need for Lao PDR to develop private sector through support for small and medium enterprise development, effective use of Foreign Direct Investment, skills development and enhanced market orientation. The Lao PDR's 2006 National Human Development Report on “International Trade and Human Development” is in line with this analysis: Under the right conditions - well-targeted public policies and appropriate governance reforms that are pro-poor in their focus and outreach, increasing trade in goods and services can make a substantial contribution to improved human well being, help achieve the MDGs and lift the country from the Least Developed Country Status. 8th RTM
The 8th Round Table Meeting occurred in September 2003. At the meeting, the government tabled its National Poverty Eradication Programme (NPEP), which has since been renamed the National Growth and Poverty Eradication Strategy. |
Lao PDR
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