EU adopts strategic framework for assistance to Lao PDR

The European Commission has adopted a five year strategy for its financial assistance to Lao PDR. At the same time, it announced that over the next three years, 2002-2004, € 18 million has been earmarked for the Laos to finance this strategy. The strategy has been prepared in consultation with the Government of the Lao PDR and EU Member States. The priorities sent in the strategy are rural development, the social sector and trade sector development.

Rural Development: Taking into account the poverty profile in Lao PDR, rural development in ethnic minority areas of the north of Lao PDR will be a major focus of the EC-Lao PDR development co-operation programme, with a particular focus on small-scale rural infrastructure and livestock.

Social Sector: Educational and health indicators in Lao PDR are dramatically low and represent major bottlenecks in sustainable development and poverty reduction. Priority will be given to basic education, primary education in particular, with specific attention to gender issues and disadvantaged groups. Further support to the health sector will be considered within the areas where the EC have already supported projects, namely Malaria Control, Sexually Transmitted Diseases and Reproductive Health.

Trade Sector Development: Assistance to trade sector development with the aim of facilitating the integration of Lao PDR in the world trade flows, will include activities in support of Lao PDR's accession to the WTO. Technical assistance to the Lao administration both for institution and capacity building is foreseen.

Specific co-operation in good governance, a crosscutting theme, is also proposed.

The strategy developed has taken into account lessons learnt from past EC-Lao PDR co-operation, resources available and the need to reinforce co-ordination with other donors, in particular EU Member States. Other areas of co-operation include human rights and democracy, unexplored ordinance UXO clearance (de-mining) and environment protection. Measures in these areas will mainly be supported through horizontal EC instruments, encouraging synergies with the main areas of EC-Lao PDR co-operation and the various existing EC instruments.


Background Information:

Country Strategy Papers were introduced in 2001 as part of a wider programme of Commission reforms in the field of External Assistance. Their purpose is to improve the coherence of the policy toward third countries, particularly, to ensure a match between political priorities and spending on development assistance. CSPs are developed in collaboration with national governments, Member States, other donors, and where possible, with representatives of civil society.

http://europa.eu.int/comm/external_relations/lao/intro/index.htm

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• Report on EU External Assistance (12/2/2002)