Lao-German intergovernmental negotiations in Vientiane
Germany will support development in Lao PDR in the years 2016-2017 with 45.8 million Euros. Agreement on the total volume of new commitments and core projects and programs was reached during the Lao-German intergovernmental negotiations held in Vientiane Capital, on the 9th-10th of November 2016. In the opening remarks Dr. Kikeo Chanthaboury, Vice Minister of Planning and Investment thanked the German government for the longstanding commitment to support Laos in its effort to graduate from LDC status by 2020 “The Government of Lao PDR highly values and appreciates the support and assistance from the government of Germany in various areas for the development of Lao PDR and especially for improving living standard of all Lao people across the country”.
Out of the total funding, 18.8 million Euros are marked for financial cooperation and 27 million Euros are for technical cooperation. The funds come from the German government through the Ministry of Economic Cooperation and Development (BMZ). Projects will be implemented through the main German implementing agencies GIZ, KfW and BGR and focus on sustainable economic development, rural development as well as ASEAN integration. GIZ will implement Projects with a budget of 25 Mill. Euros, including a commitment that is financed by the Special Initiatives of BMZ. Australia, the EU and Switzerland participated as observers since they are important co-financiers of projects that are implemented by GIZ. Klaus Supp, BMZ’s Head of the Division China, East Asia, Lao PDR and Cambodia said: “With our very strong commitment to the development partnership with Lao PDR, we want to assist in bringing the benefits of growth to as many people as possible. German support has been aligned with the 8th NSEDP and the Europe Joint Programming. The right balance between using and preserving natural resources is essential for sustainable development in Laos. Both sides agree that better governance to help Lao PDR is a key factor for the development of the country.” The German delegation thanked the Lao government for entrusting Germany with the co-chairs of the sector working groups dealing with natural resources/environment and trade/private sector development. Both sides highlighted that they look forward to continuing the fruitful cooperation in mutual trust and good partnership for the upcoming years.