Laos initiates reform of public investment management

Laos initiates reform of public investment management
Published 29 July 2019

by News Desk

VIENTIANE (Vientiane Times/ANN) - Government officials gathered with representatives of the Japan International Cooperation Agency (JICA) and Japanese Embassy to Laos in Vientiane on Friday to discuss improvements in the field of public investment management (PIM).

Participants discussed the structure of the proposed committee to lead this project, along with the outline and development timeframe of the PIM improvement action plan.

Speaking at the meeting, Deputy Minister of Planning and Investment Dr Kikeo Chanthaboury said the mission of the proposed committee was to ensure the effectiveness and efficiency of the overall performance of public investment management.

The committee will oversee the improvements made through the project, with the hope that outcomes will become more productive and meet economic and social requirements, he added.

He also said the PIM action plan would be aligned to public finance management reform which is being initiated by the Ministry of Finance. Improvements in the area of PIM have been supported by the government of Japan and JICA for more than a decade.

JICA will continue its support through the project for Improving Public Investment Management (PIMCAP).  The project will provide technical expertise for the improvement of PIM through the committee.

The Ambassador of Japan to Laos, Mr Takeshi Hikihara, said the government of Japan has been continuously supporting Laos and he hoped this project would contribute to macroeconomic stabilisation in Laos, and that friendship between Laos and Japan would be enhanced more than ever.There is a great need for both economic and social development in Laos in order to boost economic growth and sustainable development, which it is hoped will help to eradicate poverty and improve people’s well-being.

To this end, the government has been investing in infrastructure across the country which has led to project debts and arrears, so the government is seeking to initiate drastic and comprehensive reform in the area of public investment management.

The Ministry of Planning and Investment will set up a multi-organisational committee to improve public investment management, involving the Ministry of Finance and other important stakeholders, to draft a comprehensive government reform document for PIM improvement.