Germany pledges 13 million euros for two projects in Laos


Burkhard Hinz officially handed in the two Grant Agreements to Sisomboun Ounavong with witnesses from representatives of both sides. - VT

VIENTIANE (Vientiane Times/Asia News Network): Germany will provide 13 million euros for the third phase of the Rural Development Programme (RDP) and Land Management Project for Laos (LMPL) to support the government’s goal of road connectivity and accelerating nationwide land titling through a unified system by 2025.

KfW, on behalf of the German government, is supporting Laos to promote rural development, with the focus on improving rural infrastructure and environmental protection through two new projects – phase III of RDP and LMPL.

The ceremony for handing over the two grant agreements for these projects was held recently in Vientiane, in the presence of the Director General of the International Cooperation Department under the Ministry of Planning and Investment (MPI), Sisomboun Ounavong, and Burkhard Hinz, KfW’s Head of Division for Urban Development and Mobility in East Asia and South-East Asia. Representatives of the MPI and KfW also attended the event.

The two grants include 6 million euros for the Rural Development Programme and 7 million euros for the land sector.

Phase III of RDP will be implemented in Huaphan province in the second quarter of 2022, and is expected to be completed by 2025 as planned.

The project will be implemented by the Department of Roads under the Ministry of Public Works and Transport (MPWT).

It targets the repair and improvement of rural roads, associated bridges and other rural infrastructure in Huaphan, and capacity building for local representatives of the Ministry of Public Works and Transport, including the Public Works and Transport Institute (PTI).

Individual villages in the target area will receive support in forming village maintenance committees, which is an important contribution to routine maintenance.

The project’s goal is the sustainable use of climate-resilient rural roads and other infrastructure throughout the year, and improved maintenance of these roads.

The new LMPL will be implemented in the four provinces of Xieng Khuang, Huaphan, Oudomxay and Xayaboury in 2022, and it is expected to be completed by the end of 2025.

Project activities include capacity building, improvement of infrastructure and provision of equipment for public offices at the provincial and district levels.

The purpose of the project is to support the government in implementing land sector reforms, with the focus on accelerating systematic land registration of eligible residential areas and agricultural lands, and speeding up the land titling process in the four provinces.

This is expected to contribute to effective and efficient land use for the benefit of all citizens and the environment.

Hinz said: “In line with Germany’s commitment to support rural development in Laos, the two projects essentially aim at benefiting people in local communities, particularly famer families.”

He added, “Land title registration ensures land tenure security and facilitates farmers to undertake investment in their own areas, thereby increasing agricultural productivity as well as boosting local socioeconomic development.

Laos is currently expanding infrastructure, particularly road networks, in order to improve the connection from rural and remote villages to cities and to create better access to public services and trade opportunities for income generation.”

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