Lao State Fuel Company set to transform into public–private joint venture


VIENTIANE (Laotian Times): The Lao government is moving to restructure the Lao State Fuel Company (LSFC) into a public–private joint venture as part of its broader overhaul of major state-owned enterprises, according to a report presented to the National Assembly this weekend.

Officials detailed the reform plan during the 10th Ordinary Session of the 9th Legislature of the National Assembly (NA), held from 10 to 21 November. The report states that LSFC is currently seeking partnerships with financially capable private investors to improve operational efficiency and strengthen its financial position.

Under the proposed structure, the government will retain at least a 51 percent stake to maintain majority control and protect national interests.

To guide the transition, authorities are selecting a reputable international consulting firm, such as KPMG, Deloitte, PwC, or EY, to advise on operational planning and asset valuation.

The initiative is a priority within the government’s wider reform agenda aimed at improving management practices and addressing persistent financial losses across state-owned enterprises.

Officials have identified three other entities slated for similar restructuring: Electricité du Laos (EDL), Lao Airlines, and Nayoby Bank.

On 10 November, during the opening day of the NA session, the government also confirmed that China’s Commercial Aircraft Corporation of China (COMAC) will acquire a 49 percent stake in Lao Airlines, while the state retains 51 per cent. 

The national carrier currently operates two COMAC C919 aircraft, delivered in late March and early September. - Laotian Times

 

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