Prime Minister Sonexay Siphandone chairs the government’s July cabinet meeting. --Photo Prime Minister’s Office

PM orders tougher action on economy, floods, fuel security, public safety

Prime Minister Sonexay Siphandone has instructed ministries and provincial authorities to intensify efforts to strengthen the economy, safeguard energy security, prepare for flooding, and crack down on transnational crime after the government identified these as key priorities during its July cabinet meeting.
Chairing the meeting at the Prime Minister’s Office on July 27-28, Dr Sonexay advised ministries and local administrations to translate the agreed priorities into detailed action plans.
Deputy Head of Office of the Prime Minister’s Office Mr Kheungkham Keonouchan told a press briefing that the meeting reviewed progress across key sectors while identifying areas requiring stronger action to sustain economic growth.
Despite continued global and regional economic uncertainties, the government reported that political stability and public order were maintained, while steady progress was made in public finance, infrastructure development, investment, education, healthcare, tourism, legal reform and digital transformation.
To date, budget revenue collection has reached 64 percent of the target for the whole of 2026, while expenditure stands at 42 percent of the 2026 target figure. Foreign exchange reserves are sufficient to cover at least five months of imports, while inflation averaged 7.6 percent in July.
Despite these positive developments, the meeting acknowledged continuing challenges, including online scam operations, drug trafficking, road accidents, illegal mining, illegal border crossings, electricity outages, water shortages, and rising living costs.
In response, PM Sonexay instructed authorities to strengthen law enforcement, ensure continued political stability and public order, intensify efforts to combat organised crime, and improve monitoring of misinformation and malicious online content.
With the rainy season at its peak, ministries were directed to strengthen flood preparedness, ensure timely assistance to affected communities, monitor dam safety and reservoir management, and safeguard electricity supplies to minimise the risk of power disruptions.
Energy security was also cited as a top priority. The Prime Minister ordered closer monitoring of international oil prices and instructed the relevant agencies to prepare contingency measures against fuel shortages and price volatility, prevent fuel hoarding, and accelerate studies on a proposed oil pipeline linking Vietnam and Laos.
He also reiterated the government’s wish to increase the number of electric vehicles and use renewable energy sources to reduce dependence on imported fuel.
In addition, ministries were instructed to accelerate budget revenue collection, recover outstanding government receivables and unpaid overflight fees, strengthen fee collection at border crossings, and encourage more tourist spending at duty-free shops.
The Prime Minister further instructed ministries to speed up repairs to roads in flood-prone areas, support agricultural production, improve workers’ skills, attract quality investment, strengthen disease surveillance, modernise healthcare services, improve the management of tourism and cultural activities, and ensure preparations for the 2026-2027 academic year.
The cabinet also endorsed, in principle, revisions to the list of controlled business activities under the Law on Investment Promotion, reducing the number from 44 to 20 to improve the investment climate and align the law with current development needs.
Members further approved in principle 16 draft laws for submission to the National Assembly, comprising two new laws and amendments to 14 existing legislation.
Closing the meeting, Prime Minister Sonexay instructed all ministries, government bodies and provincial authorities to incorporate the August priorities into detailed work plans with clearly assigned responsibilities and deadlines to ensure effective implementation.

By Times Reporters
 (Latest Update July 30, 2026)