Germany provides EUR 24 million for rural development, education​

Germany is continuing its collaboration with Laos by pledging EUR24 million to contribute to the Lao government’s goal of increased connectivity and sustainable socio-economic development.
Of this amount, EUR18 million will go towards the fourth phase of the Rural Development Programme and EUR6 million be used to support the Vocational Education Financing Facility.

Deputy Minister of Planning and Investment Dr Sthabandith Insisienmay (seated right) and the Ambassador of the Federal Republic of Germany to Laos, Mrs Annette Knobloch, address a press conference in Vientiane yesterday.

The new commitment of EUR24 million reflects the appreciation of the longstanding Lao-German partnership in promoting socio-economic development and poverty alleviation, primarily in rural areas of Laos.
To contribute to these goals, the Rural Development Programme in its fourth phase aims to repair rural roads, bridges and other infrastructure in the provinces of Huaphan and Phongsaly.​
Jointly​ with​ the Public Works and Transport Institute,​ the project will strengthen the capacities of the Ministry of Public Works and​Transport’s provincial developments.
In addition, villages in the target areas will be supported in the formation of village maintenance committees to reinforce routine maintenance.
The project is part of the Team Europe partnership with Laos in trade, investment and  connectivity​ in the agriculture and forestry sectors.
Deputy Minister of Planning and Investment Dr Sthabandith Insisienmay said “The governments of Laos and Germany have maintained close relations and strong bilateral cooperation since 1954.”
“The assistance provided to Laos is directly aligned with the priorities of the national socio-development plan,​ particularly the development of infrastructure in poor regions and the strengthening of vocational education.”
Ambassador of the Federal Republic of Germany to Laos, Mrs Annette Knobloch, said “In line with Germany’s commitment to support rural development and infrastructure in Laos, the new project essentially aims to benefit people in local communities, especially farming families.”
“Laos is currently expanding infrastructure, especially road networks, in order to improve connections from rural and remote villages to towns and to create better access to public services and trade opportunities for income generation.”
“This project is also a German contribution under the framework of the European infrastructure initiative “Global Gateway”, the Ambassador said.
The Vocational​ Education Financing​ Facility provides technical and vocational education and training that is strongly oriented towards the needs of the labour market.
With detailed concepts, jointly elaborated with private sector companies, vocational training institutions across the country can apply through a challenge fund mechanism for financing of their training programmes.
A precondition for access to project funds is the application of the dual cooperation training approach. This system leaves the teaching of theoretical knowledge to vocational training institutes and at the same time provides students with practical skills through on-the-job training at selected companies.
This allows young people to gain relevant work experience in line with the needs of the labour market and to contribute to their families’ income, while also pursuing a tertiary diploma.

By Times​ Reporters​
 (Latest Update October 26, 2023)