Laos

Partner country

Introduction

Diplomatic relations were established between Laos and Luxembourg in 1997, and thus Laos can be seen as a historic partner of Luxembourg’s Development Cooperation. The first Indicative Cooperation Programme (ICP) was signed in 2000 and the ICP is now in its fourth iteration (2016-2020). As a reliable development partner, Luxembourg’s Development Cooperation endeavours to contribute to poverty reduction and to strengthening institutions. Luxembourg supports Laos, which is among the least developed countries, in its transition to the category of middle-income countries and meeting the Sustainable Development Goals (SDGs).

The highlight of 2019 was the official visit by Minister Lenert to Laos from 6 to 14 September, accompanied by three members of the Luxembourg Chamber of Deputies and a Luxembourg press delegation. At the partnership committee meeting which was held at that time, the two countries’ authorities considered the recommendations made in the ICP IV mid-term review, which was completed at the start of 2019. The review confirmed the relevance of the four priority sectors supported by Luxembourg’s Development Cooperation in Laos, namely health; integrated local development; education and the development of vocational skills in tourism and hospitality; and inclusive governance and respect of the rule of law.

In 2019, a new strand of Luxembourg’s cooperation with Laos began, targeting the strengthening of management of official development assistance (ODA) in Laos. This project, implemented by LuxDev, seeks to build the capacities of the Laos authorities to enable better coordination of ODA and appropriate consideration of the Sustainable Development Goals (SDGs) in the interventions to support the national socio-economic development plan in Laos.

Five Luxembourgish NGOs were operating in Laos in 2019: Aide au Développement de la Santé (ADS), CARE Luxembourg, Handicap International Luxembourg and Fondation Caritas Luxembourg. Their sectors of operation were focused on the following areas: health and medical services, rural development, education and vocational training, clearance of land-mines and explosive remnants of war, and food and nutritional security. In addition to its continuing support for the Laos Microfinance Association (MFA), the Luxembourg association ‘Appui au développement autonome’ (ADA) has also continued its technical assistance for the transformation of village banks into formal microfinance institutions (MFIs), in synergy with the bilateral rural development programme financed by Luxembourg’s Development Cooperation within the framework of the ICP IV.

Highlighted project

Health sector support programmes

For many years, Luxembourg’s Development Cooperation has been supporting the health sector in Laos with a raft of projects. The bilateral programme supports the Ministry of Health in the implementation of sectoral reforms and the improvement of access to basic, high-quality health services by strengthening the health districts in the provinces where intervention is carried out. Multilaterally, three UN agencies (WHO, UNICEF and UNFPA) are improving maternal and child health care services in Laos, in a coordinated approach. In addition, the Pasteur institute of Laos, financed by Luxembourg’s Development Cooperation, is providing support to the Ministry of Health for taking evidence-based decisions when producing health policies and Aide au développement de la Santé, a Luxembourg NGO, is building the capacity of cardiac surgery operators.

In the current context of the COVID-19 health crisis, Luxembourg’s Development Cooperation has enabled the Lao Ministry of Health to act rapidly to implement a national and regional coordinated health response and to prepare the health districts and their infrastructure as well as possible, by providing them with technical and logistical assistance, testing equipment, medical supplies and personal protective equipment for health workers.

Priority areas of intervention

Good health and well-being
Quality education
Reduced inequalities
Peace, justice and strong institutions

Development of PDA

Reference data

Population: 7,169,455
GNI (per resident): USD 2,570
Human Development Index (HDI): 140/189
Life expectancy: 68
Indicative Cooperation Programme: 2016-2020

Key achievements 2019

Women account for 53% of the Central American migrant population, and social and physical violence are major risks during the migration process. Through Luxembourg’s support for the IMO’s regional programme hundreds of migrant women have had access to psycho-social and economic support since the start of this year.
In order to protect the environment in Central America, Luxembourg is continuing its regional commitment to the Forestry and Climate Change Fund by supporting local communities and re-establishing forest areas that have been degraded as a result of climate change.

Sector breakdown

2019