The government yesterday signed finance agreements with the Asian Development Bank (ADB) worth almost US$83 million, which will fund three development projects
These projects are one of the key partnership areas between the Lao government and ADB from 2012 and 2016.
US$41.4 million will finance the Greater Mekong Subregion East-West Economic Corridor Towns Development Project, with a loan of US$26.6 million and a grant worth US$14.8 million.
A further US$36.5 million will go towards the Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project, with a loan of US$24 million and a grant of US$12.5 million.
The Greater Mekong Subregion Capacity Building for HIV/AIDS Prevention Project received a grant of US$5 million.
Under the Greater Mekong Subregion East-West Economic Corridor Towns Development Project in Savannakhet province, the three districts of Kaysone Phomvihane, Phin and Xepon will upgrade roads to improve local development and infrastructure. This will increase the overall ease of transportation and increase trade and private investment nationwide.
The East-West Economic Corridor provides a land transport link running 1,320 kilometres through Thailand, Laos and Vietnam, connecting the Andaman Sea and the South China Sea.
In addition to transport, the economic corridor also focuses on developing telecommunications and energy infrastructure, tourism, and private sector involvement.
Laos is also working to prepare for future natural disasters.
The Greater Mekong Subregion Flood and Drought Risk Management and Mitigation Project will seek to increase the knowledge base for the management of floods and droughts, upgrade water management infrastructure, and enhance capacity for community-based flood and drought management.
The Greater Mekong Subregion Capacity Building for HIV/AIDS Prevention Project is one of the main programmes of the 7th National Socio-economic Development Plan and includes capacity building for the health service sector for the planning and management of disease.
This project will enhance healthcare for people living with HIV/AIDS and at-risk populations.
