Laos require US$1.6 billion of FDI yearly

http://www.kplnet.net/english/news/edn2.htm

 (KPL) Laos requires US$1.6 billion of foreign direct investment per year to meet the 7 th national Socio-Economic Development Plan target of at least 8% annual GDP growth between the years 2011-15.

According to an opening remark of Vice-Minister of Planning and Investment Mr. Bounthavy Sisouphanthong given at a two-day forum on Sustainable Investment held from 18-19 May at ICTC, between the Investment Promotion Department, UNDP and United Nations Environment Programme (UNEP) Poverty-Environment Initiative.

The new 7 th National Socio-Economic Development Plan (NSEDP) aims to build upon the country�s many impressive achievements of the past two decades including relatively high economic growth, the near halving of poverty, progress towards the country�s Millennium Development Goals (MDGs) and steady improvements in human development said, Mr. Minh Pham, Resident Representative of the UNDP to the Lao PDR.

�The valuable goals of the new NSEDP include GDP growth of at least 8% per annum, achievement of the country�s MDGs by 2015 and substantial progress towards graduation from LDC states by 2020,� he said, adding that �these important goals are very closely inter-related.�

High GDP growth will be needed. But not just any kind of GDP growth. Rather, the kind of quality GDP growth that is inclusive, equitable and sustainable, and substantially improves the well-being of all Lao people.

While high quality GDP growth will contribute to the achievement of the MDGs, it�s also true that progress towards the MDGs especially in areas like health, education and human resource development, will also contribute to high rates of quality GDP growth.

Also noteworthy, based on the UN�s official criteria for graduating countries from LDC status, achieving the MDGs by 2015 will bring Lao PDR very close to achieving its long-standing goal of graduation from LDC status, perhaps even before 2020.

Notably, the new NSEDP will rely very heavily on private sector investment, especially foreign direct investment (FDI), as the main source of investment to achieve the country�s valuable development goals.

This is in addition to smaller amounts of ODA and government budget.

The government plans to mobilize into implementation some US$ 8 billion of FDI over the next five years. This is a substantial amount by almost any standard, especially given the still relatively small size of the Lao economy.

As we know from the successful experiences of other former least developed countries like Singapore, Malaysia, China, Vietnam and others, FDI can be catalytic in lifting a country to higher levels of development.

Clearly foreign investors are more than enthusiastic, and the Government approvals reached a sky high US$4.3 billion, amounting to over 70 per cent of GDP, including some US$ 2.3 billion in new mining concessions.

As a result, the central government was compelled to impose a moratorium on new mining concession in 2010 in order to take stock and review the more than 160 mining concessions already approved.

Just  like the Old Words used to say about" KhonLao" : (Khow khee Reo Chuong Haa Kon )

Begging for help is in the Lao-Blood. Most of us (Laos Govt) never shine about it. We (Laos Govt) are just like the beggars at the conern of the streets.

I be wonder when we (Laos Govt) going to stand on our own feet.
Most of us ( Laotians ) are like to saveface, never admitted about negative things.

Pride or Laopride, We (Laotians) never had it. Asking yourself : If you like beg from someone to help you; Are you have pride ?

If the corruption can be stop , Laos or Our country would be better than now. Laos today is just like a wild tree is growning without watering it.

I wish this Govt would be pro-Chinese not pro-Vietnamese. Look at it, 36yrs under the Hanoi Govt ain't be no where.

I do not think the Lao govt is 'begging for help'.  The Lao govt is asking for payment from other countries if these countries want to come to Laos and do something in Laos in the future.  Almost like a quid pro quo.

Laos is hoping for more for foreign direct investment.  This is not charity and it's not begging.  Foreign investers invest because they expect to see a good return on their investment.

It's business, not charity.

Thank for clearing that out.


Laosnow wrote on 20^th May, 2011 at 6:41am:

PEACE wrote on 20^th May, 2011 at 12:11pm:

I think the adage goes something along the lines of:

"You have to spend money, to make money".

PEACE wrote on 20^th May, 2011 at 5:49pm:

I beg your pardon?

PEACE wrote on 21^st May, 2011 at 3:34am:



I don't know where you 'heard' that from, but it's not true! The kiwis is NZ's national emblem. If you get caught poaching one, you'll probably go to jail, if not shot first. They are also an endagered species.