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Headlines:
Party Congress Sets Path to 2030
Defense Posture Prioritizes Security
China-Laos Relations
Railway Allows for Epic SG-Portugal Trip
Regional Partnerships: VN, KH
Hydro and Wind Power On
Japan, Korea Back Health and Forest Projects
ADB Funds Urban Planning
Digital Transformation Becomes National Mission
22M Tourists by ‘30, Pakse Flights
Sinkhole Leaves Four Missing
Education and Youth Development
Bueng Kan-Bolikhamxay Bus Service
U.S. Travel Ban Hammers Hmong
Party Congress Sets Path to 2030
The 12th National Congress of the Lao People’s Revolutionary Party (LPRP) wrapped up on January 8,and Thongloun Sisoulith came out again on top as he was re-elected as General Secretary. The congress approved a third Political Programme with 11 things to accomplish, along with a target of annual economic growth of at least 6% between now and 2030, GDP per capita of US$3,104, and inflation below 5%. Public debt is expected (hoped?) to drop to below 70% of GDP, down from a staggering 116% in 2022, and and (at last report) an improved 88%. The government wants to shepherd the nation through the transition from Least Developed Country status by 2030 and find itself an upper-middle-income nation by 2055. Thirteen members were elected to the Politburo and 11 to the Secretariat; 73 official and 15 alternate members make up the Party Central Committee. North Korean leader Kim Jong-un and Vietnamese Party chief Tô Lâm both sent congratulations on Thongloun’s re-election.
Read more: The Star (Congress Opening), Vietnam News (Congress Conclusion), The Star (Leadership Meeting), Korea JoongAng Daily (Kim Congratulations), Vietnam News (Vietnam Congratulations)
Defense Posture Prioritizes Security
Minister of National Defence Khamlieng Outhakaysone laid out plans for a national defense strategy during the Party Congress. Plans include the consolidation of political foundations, improvement of personnel in the militia and self-defense forces, and building “combat-ready” communities at the grassroots level.
Read more: VietnamPlus
China-Laos Relations
Xi Jinping’s special envoy Liu Haixing paid a visit to Vientiane to congratulate Thongloun on his re-election and bring a message of China’s continued readiness to work on building a China-Laos community with a shared future. Bilateral cooperation has grown into energy, healthcare, and work against poverty. Trade between the two countries sits at more than US$8 billion, and China is the largest foreign investor with more than US$18 billion deployed. The Laos-China Railway is again being lauded for its success at helping connect landlocked Laos to the world. Reports are that the Laos section of the railway has so far moved nearly 12 million passengers and more than 16 million tons of freight.
Read more: CGTN (Envoy Visit), The Star (Bilateral Relations)
Railway Allows for Epic SG-Portugal Trip
The Laos-China Railway has made possible the world’s longest train journey, running almost 19,000 kilometers from Singapore to Portugal, and passing through 13 countries. The 21-day trip connects Southeast Asia to Western Europe entirely by rail (save a short bus transition, for the moment, at the border between Thailand and Laos), passing through Malaysia, Thailand, and Laos before connecting to China’s network. One segment runs 7,622 kilometers from Moscow to Beijing and takes seven days to traverse. A new railway bridge across the Mekong River is in the works - that will support direct rail travel between Vientiane and Thailand under the Belt and Road Initiative, and remove the need for even the short bus transfer.
Read more: The Star
Regional Partnerships: VN, KH
Vietnam and Laos had bilateral trade of nearly US$3 billion last year and continue working on an agreement to build “strategic cohesion” into their relationship. On water resources, the two countries met in December to talk transboundary river co-op, with plans to sign an agreement by the middle of this year that will see the creation of data-sharing facilities and an inter-ministerial committee. Cambodia and Laos also continue to rub shoulders collaboratively, with military cooperation including training, disaster relief, and cross-border crime suppression. This year is the 70th anniversary of Cambodia-Laos diplomatic relations; there are sure to be a few events to mark the occasion throughout the year.
Read more: Vietnam News (Vietnam-Laos), IUCN (Transboundary Rivers), Khmer Times (Cambodia Military), Khmer Times (Cambodia Solidarity)
Hydro and Wind Power On
The Nam Mo 2 Hydropower Project in Xieng Khouang Province impounded its reservoir (the fancy term for closing the dam and the start of filling) on January 10. The plant will serve around 160,000 households. Operating under a 27-year concession, the project came in with a total price tag of something between US$225-240 million, including a US$152 million loan from the Vietnam Bank for Investment and Development. Construction started in late 2015 but was delayed by contractor changes and Covid-19. In a separate project, Goldwind turbines have also started spinning at a 300-MW wind farm in Xieng Khouang province.
Read more: Laotian Times (Hydropower), Renewables Now (Wind Farm)
Japan, Korea Back Health and Forest Projects
Japan has ponied up a grant of about US$18 million to upgrade Champasak Provincial Hospital, a facility that serves four provinces in southern Laos. The funding will cover the cost of building a new clinical building with emergency, surgery, and ICU departments. The project is expected to be completed within 36 months. South Korea’s Forest Service opened an office in Phongsaly province on January 9 to oversee a REDD+ carbon reduction project that covers about one and a half million hectares. The two countries signed an MOU in 2023 to expand the effort under the Paris Agreement.
Read more: JICA (Japan Hospital Grant), Laotian Times (Hospital Details), Korea Herald (Korea Forest Project)
ADB Funds Urban Planning
The Asian Development Bank has approved a US$700,000 grant to support studies for urban development. An inception workshop chaired by Deputy Minister Detsongkham Thammavong was run on Monday with the participation of almost 60 people. The main areas of interest are urban planning, transportation, flood management, and solid waste treatment in the Xay and Namtha districts. Data collection and sub-project evaluations have already started.
Read more: Laotian Times
Digital Transformation Becomes National Mission
Digital transformation has been declared “essential” for modernization and sustainable growth. Minister of Technology and Communications Santisuk Simmalavong is now on the record saying that digitalization is no longer optional but must be a national mission. The nation’s fiber optic network now runsmore than 36,000 kilometers, 4G is available in almost four fifths of all villages, and 5G is running in 59 cities, pushing internet usage to 63%. A National Digital Transformation Committee has been formed, with future plans including a national AI strategy and the Lao Digital Park to support startups and the development of a skilled workforce.
Read more: Laotian Times
22M Tourists by ‘30, Pakse Flights
The government is shooting for 22 million foreign tourists by 2030, a number that they think will bring in revenue of about US$8 billion. The PM shared the target during his presentation of the National Socio-economic Development Plans. Champasak Province is negotiating direct air routes between Pakse and Hong Kong and Guangzhou.
Read more: The Star (Tourism Target), Laotian Times (Champasak Flights)
Sinkhole Leaves Four Missing
A sinkhole collapse in Thongmang Village, Xaythany District, on January 2 left four people missing. This is the fifth such incident since May of last year. The collapse appears to be connected to underground potash salt extraction and tunnel construction by a nearby company that had been ordered to stop work in July. Two risk zones have been identified, and about 30 families have been relocated from high-risk zones. Search and recovery operations continue, but teams are unable to safely get into the sinkhole because of its depth.
Read more: Laotian Times
Education and Youth Development
The Ministry of Education and Sports, under Deputy Minister Dr. Dalavone Kittiphan, wants to train young people for the job market demands by way of new investment in educational infrastructure, reforms of the curriculum, and teacher training. A new school grade structure (6+3+3) is expected to bring the local system into alignment with other regional systems. Thongly Sisoulith of the Lao People’s Revolutionary Youth Union says that the nation’s youngsters are ready to contribute to development goals, but challenges persist, including high youth unemployment and school dropouts.
Read more: The Star (Education Ministry), VietnamPlus (Youth Development)
Bueng Kan-Bolikhamxay Bus Service
A new cross-border bus service that connects Bueng Kan Province in Thailand with Bolikhamxay Province began trial operations on January 7. Buses run twice daily from each terminal at a fare of THB 100 (US$3.20). Thai authorities say they’ll evaluate passenger demand and the overall efficiency of the project before they decide on long-term plans.
Read more: Laotian Times
U.S. Travel Ban Hammers Hmong
The U.S. Government added Laos to its travel ban list effective on New Year’s Day, keeping Lao citizens from entering the U.S. or applying for new visas. The ban is the result of reportedly high visa overstay rates and is being framed as a national security measure. Hmong-Americans in Wisconsin (there’s a huge community there) have shared their fears about the ban because many of them still have family ties in Laos.
Read more: News 8000
That’s all for this week, thanks for reading.
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