Lao overseas missions tasked to source FDI, development funding

Doha, Qatar: The government will add new portfolios for Lao diplomats and Lao missions overseas, requiring them to play a greater role in sourcing Foreign Direct Investment (FDI) and expanding trade and economic cooperation with the international community, according to a senior cabinet member.
“The Ministry of Foreign Affairs is preparing and will propose a Prime Ministerial Decree on Economic Diplomacy soon”, Deputy Prime Minister Mr Saleumxay Kommasith said on March 6, adding that the move is intended to give the foreign ministry more responsibility in generating FDI and development funding for Laos.

Mr Saleumxay speaks with the Lao National Television and the Vientiane Times after delivering the Lao PDR statement at the Plenary Session of the LDC5 in Doha, Qatar on March 6. --Photo Thanouphet Xaiyavong

Mr Saleumxay who is also Minister of Foreign Affairs unveiled the new government initiative during an interview with Lao National Television and the Vientiane Times after delivering the Lao PDR statement at the Plenary Session of the LDC5 in Doha, Qatar.
The UN event, which continues until March 9, is an opportunity for high level representatives of least developed countries, development partners, civil society and the private sector to form partnerships to implement the Doha Programme of Action to reduce the number of least developed countries over the next 10 years.
The Deputy Prime Minister said that given Laos’ current economic and financial difficulties, all sectors of government and societies, including foreign affairs officials, must implement the national agenda to secure economic and social stability as well as Laos’ smooth transition from LDC to developing nation status.
He added that the participation of foreign affairs officials in FDI and development fund mobilisation was possible, saying that one of the key challenges for Laos is that the country must be ready to welcome foreign investment, otherwise foreign companies will not come to Laos.
In a bid to improve the business environment in Laos, the government has adopted a number of policies, strategies and measures to facilitate investment, development funding and support for business operations by external entities.
At the plenary session of the LDC5, Mr Saleumxay reiterated Laos’ strong commitment to reduce poverty levels and improve people’s living conditions.
He also used the UN event as an opportunity to explain the Lao government’s policy, direction, development opportunities and challenges to the international community, development partners, and the private sector.
On top of that he asked for international support to help Laos overcome its current economic and financial difficulties and secure a smooth transition into developing nation status in 2026 and beyond.
“Graduating from LDC status requires not only strong commitments and concrete actions by the national government but also by the international community as a whole. We therefore call for continued partnership, cooperation and international support during graduation, transition and beyond graduation,” he told the gathering at the plenary session. “The international community should support export diversification, the provision of easy and flexible access to climate mitigation and adaptation finance on a concessional basis, transfer appropriate technology and capacity building, and honour ODA commitments pledged for least developed countries,” Mr Saleumxay said.

By Ekaphone Phouthonesy
 (Latest Update March 8, 2023)