Don’t buy more vehicles for state use, PM warns

Prime Minister Thongloun Sisoulith has warned state departments not to buy more vehicles for their use after learning that some provincial authorities were planning to purchase new cars.
“I have heard that some provinces have issued purchase orders for cars. Unless this is really necessary, don’t do that, comrades,” he told the recent 2020 annual meeting of the finance, planning and investment sector in Vientiane.
The purchase of new vehicles contravenes the government’s policy on austerity, the premier warned.

Given that the number of state vehicles already exceeds 30,000, the premier said he has told the relevant state body to re-calculate and re-allocate vehicles for appropriate use.
“Austerity must be tangibly realised,” he said.
He added that numerous state vehicles coupled with private cars have resulted in roads becoming badly crowded, especially during the rush out.
Emerging reports about provinces’ plans to buy new cars comes during a time of change in leadership in state bodies, which takes place every five years.
According to traditional practice, senior officials taking up new posts are usually given a new car.
Recently, all local and central Party committees held congresses at which new leaders were elected to lead the country’s development over the next five years until 2025.
Laos is also preparing to hold nationwide elections on February 21, to elect members of the National Assembly (parliament) and Provincial People’s Councils (provincial parliament).
Shortly after the elections, these legislative bodies will hold inaugural sessions to elect leaders, including the state president and prime minister, and approve a new government cabinet.
As many senior officials are set to retire soon, this means their successors will replace them and expect to be provided with new cars, according to a traditional practice.
Prime Minister Thongloun, who was recently elected as Secretary General of the Lao People’s Revolutionary Party, warned that the state’s budget should be used only for essential and priority needs as Laos is suffering financial difficulties mainly driven by chronic budget deficit and accumulated debt.
The premier has spearheaded the attempt to reduce extravagant spending on luxury state vehicles. As a result, in 2017 Party and state leaders returned their expensive European cars to the state, which were then sold at auction. Japanese cars have been provided to replace the luxury vehicles that were returned.
The same year, the premier issued Prime Ministerial Decree No. 15 on the provision and management of vehicles for high-level leaders, which cut spending on vehicles and maintenance costs.

By Times Reporters
(Latest Update February 12, 2021)