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STATUS OF PROJECTS IN EXECUTION FY10 SOPE

EAST ASIA AND PACIFIC REGION

Lao People’s Democratic Republic

Operations Policy and Country Services OCTOBER 03, 2010

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Introduction

The Status of Projects in Execution (SOPE) Report for FY10 provides information on all IBRD, IDA, and trust funded projects that were active as of June 30, 2010. The World Bank has issued a SOPE Report every year as an internal communication to the Board of Executive Directors. In accordance with the Bank’s revised disclosure policy, since FY02, the SOPE Report is available to the public. The report is intended to bridge the gap in information available to the public between the Project Appraisal Document or Program Document, disclosed after the Bank approves a project, and the Implementation Completion Report, disclosed after the project closes.

In addition to the project progress description, the FY10 SOPE report1 contains project level comparisons

of disbursement estimates and actual disbursements, and a table showing the loan/credit/grant amount and disbursements to date.

1 Notes:

Amounts and Graphs for loans/credits/grants in currencies other than U.S. dollars may not match exactly due to exchange rate fluctuations over the life of the project.

Disbursement graphs are not included for Development Policy Operations, which provide quick-disbursing financing to support policy and institutional reforms. For these operations, funds are disbursed in one or more stages (tranches), released when the borrower complies with agreed prior actions.

Projects which are not yet effective may not have a planned disbursement schedule and thus will not include a graph.

STATUS OF PROJECTS IN EXECUTION FY10 EAST ASIA AND PACIFIC REGION

Lao People's Democratic Republic

Project Name (ID): LA-SUSTAINABLE FORESTRY FOR RURAL DEV. (P064886)

Country: Lao People's Democratic Republic

Board Approval Date: 06/24/2003

Midterm Review Date: 09/22/2005

Closing Date: 12/31/2011

Loan/Credit/Grant Number: TF-95057, TF-26765, IDA-H4460, IDA-38020

Sector (s): Forestry (100%)

Theme (s): Other public sector governance (50%), Land administration and management (50%)

Project Development Objectives: The objective is to achieve the sustainable management of production forests to

alleviate rural poverty in the Project Provinces.

Progress toward achieving development objective(s): Progress toward the PDO is reasonable. The policy, legal

and regulatory frameworks continue to be strengthened. Priority natural production forests are being brought under

Participatory Sustainable Forest Management. Villagers' support for the project is strong and livelihoods should

continue to improve as village development activities are expanded to the new project provinces. Project activities in

sector monitoring and control are moving more slowly but a revised management information system was shared

with the Bank. A few concerns include: benefit-sharing arrangements which need further improvement; Hmong

refugees returning from Thailand need support to avoid unsustainable forest use; and potential impacts of

overlapping hydro and mining concessions must be understood and mitigated.

Lending Information/Disbursement Summary (USD millions, as of June 30, 2010)

Loan/Credit/Grant Status Amount Disbursed Undisbursed Cancellation

TF-95057 Effective 0.50 0.00 0.50 0.00

TF-26765 Closed 0.08 0.07 0.00 0.01

IDA-H4460 Effective 10.31 4.12 6.20 0.00

IDA-38020 Effective 10.93 10.81 0.07 0.00

STATUS OF PROJECTS IN EXECUTION – FY10 EAST ASIA AND PACIFIC REGION

Project Name (ID): LA-Health Services Improvement Project (P074027)





Loan/Credit/Grant Number: IDA-H1830, TF-50606, IDA-Q4760

Sector (s): Health (90%), Central government administration (5%), Compulsory health finance (5%)

Theme (s): Health system performance (33%), Child health (17%), Malaria (17%), Population and reproductive

health (17%), Nutrition and food security (16%)

Project Development Objectives: To assist the Lao PDR to improve the health status of its population, particularly

the poor and rural population, in eight Central and Southern Provinces.

Progress toward achieving development objective(s): The Project has progressed well in achieving its

development objectives. However, targets related to the immunization of children under 1 year of age with DPT3

and the immunization of children aged 12-23 months against measles have not been fully achieved. This is due to

the disruption of the cold chain system resulting from damages caused by the typhoon Ketsana in September 2009,

which severely affected Sekong and Salavan provinces. The Ministry of Health has provided assurances that the

targets will be met as the cold chain system has been re-established and vaccines are now available.



IDA-H1830 Effective 15.69 12.79 3.11 0.00

TF-50606 Closed 0.28 0.28 0.00 0.00

IDA-Q4760 Closed 0.56 0.00 0.00 0.56


Project Name (ID): LA-Rural Electrification Phase I (P075531)




Loan/Credit/Grant Number: TF-52798, IDA-H2180

Sector (s): Power (85%), Renewable energy (15%)

Theme (s): Rural services and infrastructure (33%), Regulation and competition policy (17%), Climate change

(17%), State enterprise/bank restructuring and privatization (17%), Rural policies and institutions (16%)

Project Development Objectives: The objectives are to increase access to electricity of rural households in villages

of targeted provinces and improve financial performance of the power sector.

The project was restructured, or received Additional Financing during FY 10

Additional Financing was provided by AusAid (US$9.82 million equivalent) to fill a financing gap and this will

allow achievement of the targeted number (42,000) of rural household connections to the grid and to scale up the

impact of the project.

Progress toward achieving development objective(s): Good progress is being made toward achieving the PDO.

Some 34,443 households in 544 new villages now are connected to the power grid and another 9900 households in

200 new villages are receiving solar power. With regard to improving the financial performance of the power sector,

tariff adjustments between 2005-2009 are on track; however, the tariff adjustment proposal for 2010 has not yet

been submitted to the Ministry of Energy and Mines for approval. A timely tariff adjustment is vital to the financial

viability of Electricite du Laos, the implementing agency. Also the Government needs to settle its electricity arrears.

With regard to the GEF PDO, progress is excellent. The market share of off-grid renewable households was targeted

at 19% and it has already reached 21%.



TF-52798 Closed 1.32 1.30 0.00 0.02

IDA-H2180 Effective 10.60 9.37 1.22 0.00


Project Name (ID): LA-Poverty Reduction Fund Project (P077326)





Loan/Credit/Grant Number: IDA-Q3350, IDA-H4180, IDA-36750

Sector (s): General transportation sector (28%), General education sector (28%), Other social services (25%),

Central government administration (11%), Sub-national government administration (8%)

Theme (s): Rural services and infrastructure (23%), Decentralization (22%), Gender (22%), Participation and civic

engagement (22%), Other social protection and risk management (11%)

Project Development Objectives: To alleviate poverty throughout its territory by: (a) financing community

infrastructure activities, and other community public capital investments endeavors and training activities at the

village level; (b) building local capacity at the village level in poor districts to manage public investment planning

and implementation; and (c) strengthening the capacity of local institutions to support participatory decision-making

at the village, Kum Banh, and district levels.

Progress toward achieving development objective(s): Progress toward achieving the PDO is good. The project is

financing the ongoing construction of community infrastructure such as rural roads, health centers, water points and

schools. The project is building local capacity at the village level to manage public investment planning and

implementation by training communities in proposal development, selection and implementation of subprojects. The

project is strengthening the capacity of local institutions to support participatory decision-making at all levels.

Relevance of the PDO is high as is borrower commitment to reducing poverty through the project as demonstrated

by the scale-up approved in FY09.



IDA-Q3350 Closed 0.60 0.00 0.00 0.60

IDA-H4180 Effective 14.01 10.75 3.40 0.00

IDA-36750 Effective 22.90 22.98 0.00 0.00


Project Name (ID): LA-Fin. Management Capacity Building Cr. (P077620)





Loan/Credit/Grant Number: TF-57139, IDA-H3160, IDA-36760

Sector (s): Central government administration (58%), Banking (35%), General industry and trade sector (7%)

Theme (s): State enterprise/bank restructuring and privatization (29%), Regulation and competition policy (29%),

Public expenditure, financial management and procurement (14%), Small and medium enterprise support (14%),

Rural markets (14%)

Project Development Objectives: The objective is to improve GOL budget preparation, execution, reporting and

auditing systems; strengthen monitoring of state owned commercial bank operations; and to improve financial

management of selected state owned enterprises.

Progress toward achieving development objective(s): The project is on-track to meet its development objective.

Over the last year, the project has assisted the Government in: (i) upgrading the budget monitoring and reporting

system (GFIS), which has been rolled out country wide; (ii) implementing value added tax which went into effect

from Jan-1 2010; (iii) centralizing the national treasury as well as consolidating spending accounts across the

country.



TF-57139 Closed 0.30 0.09 0.00 0.20

IDA-H3160 Effective 2.92 3.07 0.03 0.00

IDA-36760 Effective 10.26 8.19 2.14 0.00


Project Name (ID): LA-Second Education Development (P078113)





Loan/Credit/Grant Number: TF-92092, TF-26344, IDA-Q3930, IDA-H5410, IDA-H0840, IDA-38860

Sector (s): Primary education (54%), Central government administration (35%), Tertiary education (11%)

Theme (s): Education for all (67%), Participation and civic engagement (33%)

Project Development Objectives: The development objective is to increase primary school enrollment and

completion (reduce repetition and drop-out rates) in the 19 poorest provinces.


The Development Objective of the Additional Financing remains the same as the PDO of the Second Education

Development Project. The goal of the Additional Financing is to continue to improve service delivery and develop

the capacity for transitioning to manage a sector wide program. The size of the Additional Financing is USD 15.5

million for three years implementation.

Progress toward achieving development objective(s): The Project Development Objective is progressing well and

on the right track. The achievements towards the PDO are the increasing of primary school enrollments in the

targeted districts from 110,626 to 112,870; increasing of the primary completion rate from 64.2% to 67.6%; 443

schools been built; 1080 community grants been provided and 1982 teachers trained on multigrade teaching

methodology.



TF-92092 Closed 2.71 2.30 0.28 0.00

TF-26344 Closed 0.46 0.40 0.00 0.06

IDA-Q3930 Closed 0.23 0.00 0.00 0.23

IDA-H5410 Effective 14.30 0.00 14.30 0.00

IDA-H0840 Effective 8.26 8.55 0.00 0.00

IDA-38860 Effective 5.77 5.12 0.84 0.00


Project Name (ID): LA-Khammouane Development Project (P087716)




Loan/Credit/Grant Number: TF-92394, TF-55140, IDA-H4040

Sector (s): Sub-national government administration (36%), Irrigation and drainage (24%), General agriculture,

fishing and forestry sector (18%), Roads and highways (11%), Water supply (11%)

Theme (s): Rural services and infrastructure (34%), Rural policies and institutions (33%), Decentralization (33%)

Project Development Objectives: To strengthen the planning process and public financial management associated

with the decentralized delivery of services and infrastructure, including irrigation development, in Khammouane

Province.

Progress toward achieving development objective(s): Progress toward strengthening the planning process and

public financial management for delivery of services and infrastructure has been slower than expected especially for

the Local Development and Capacity Building component. The project management is weak and has had difficulties

attracting competent staff in adequate numbers to perform its duties. Implementation of the component supporting

irrigation development has also been somewhat sluggish but is getting back on track with repairs to village-based

irrigation schemes now underway, and procurement of the ThaThot Scheme has begun. Overall there are clear

indications of commitment on behalf of the province to improve implementation. The PDO remains relevant and

achievable, if with some delays.



TF-92394 Effective 0.99 0.10 0.89 0.00

TF-55140 Closed 0.58 0.55 0.00 0.03

IDA-H4040 Effective 8.38 1.60 6.81 0.00


Project Name (ID): Lao Environment and Social Project (P090693)





Loan/Credit/Grant Number: IDA-H1770, IDA-H5400

Sector (s): Central government administration (48%), Forestry (25%), Other social services (11%), Sub-national

government administration (9%), General education sector (7%)

Theme (s): Environmental policies and institutions (33%), Other social development (17%), Biodiversity (17%),

Water resource management (17%), Participation and civic engagement (16%)

Project Development Objectives: To strengthen the management of environmental and social issues associated

with the sustainable use of natural resources in Lao PDR.


US$3 million in additional financing (AF) was approved in FY10 and was declared effective in April. The AF will

(a) provide technical assistance and operational support to key agencies of the Water Resources and Environment

Administration (WREA); and (b) finance further activities for the Community and Biodiversity Investments window.

The PDO and Results Framework were also somewhat modified and the closing extended.

Progress toward achieving development objective(s): The project is on track toward achieving the PDO by

making good progress on key institutional and legal reforms. The new Environmental Impact Assessment decree has

been approved and took effect in March. Promulgation of the River Basin Organization decree (approved in June),

operation of the Nam Theun-Nam Kading River Basin Program, and strengthening of the local community

conservation network will demonstrate an operational model for river basin management in Lao PDR.

Implementation of the new subgrants (four of which are now approved) will further strengthen capacity to address

social safeguards and ethnic group communications. Borrower commitment is high as demonstrated by the request

for AF and the relevance of the PDO is also high as more than half of the country's GDP depends on agriculture and

natural resources sectors, which must be well managed to attain maximum benefits.



IDA-H1770 Effective 4.07 3.96 0.21 0.00

IDA-H5400 Effective 2.88 0.20 2.68 0.00


Project Name (ID): LA-Avian and Human Influenza Control (P100081)





Loan/Credit/Grant Number: TF-57185, TF-56737, IDA-H2430, TF-90764

Sector (s): General public administration sector (35%), Health (29%), Agricultural extension and research (20%),

Animal production (12%), Other social services (4%)

Theme (s): Rural services and infrastructure (29%), Other communicable diseases (29%), Participation and civic

engagement (14%), Other social protection and risk management (14%), Health system performance (14%)

Project Development Objectives: Contribute to Government's National Plan which aims to minimize the threat

posed to humans and poultry sectors by highly pathogenic avian influenza infection and other zoonoses in Lao PDR,

and to prepare for, control, and respond to influenza pandemics and other infectious disease emergencies in humans.

Progress toward achieving development objective(s): The Project is making good progress towards achieving its

development objectives as evidenced by achievement to date of most indicators: (a) 100% of diagnostic tests of

suspected cases in birds are carried out within 48 hours; (b) 100% of the outbreaks have been responded to by the

Rapid Response Teams within 24 hours; (c) 100% of suspected avian influenza (AI) cases are investigated within 24

hours; (d) 98% of targeted influenza specimens are tested; (e) 100% of AI specimens tested within 24 hours; and (f)

100% of the Provinces have pandemic preparedness plans.



TF-57185 Effective 2.00 1.36 0.64 0.00

TF-56737 Effective 2.00 1.26 0.74 0.00

IDA-H2430 Effective 4.14 1.90 2.25 0.00

TF-90764 Effective 2.40 0.93 1.47 0.00


Project Name (ID): Lao PDR Customs & Trade Facilitation (P101750)




Loan/Credit/Grant Number: IDA-H4030

Sector (s): Central government administration (100%)

Theme (s): Trade facilitation and market access (50%), Administrative and civil service reform (25%), Other

accountability/anti-corruption (25%)

Project Development Objectives: The objective of the project is to facilitate trade by improving the efficiency and

effectiveness of customs administration. The Project will simplify customs procedures, eliminate duplication and

redundancy, reduce transactions costs and time to clear goods, and increase transparency and accountability

Progress toward achieving development objective(s): After major delay in concluding the ASYCUDA contract in

initial phase of the project, there has been some good progress since February 2010. The project is now back on

track and implementation is being accelerated to make up for lost time. Currently, all necessary pre-conditions for

successful implementation of the project are already in place and the project development objective is expected to be

achieved within the original time frame.



IDA-H4030 Effective 5.61 1.15 4.47 0.00


Project Name (ID): LA-Road Sector Project (P102398)




Loan/Credit/Grant Number: TF-90478, IDA-H5470

Sector (s): Roads and highways (95%), Public administration- Transportation (5%)

Theme (s): Infrastructure services for private sector development (34%), Regional integration (34%), Natural

disaster management (32%)

Project Development Objectives: The PDO is: (a) to improve road services on two main national corridors and the

provincial road network; (b) to rehabilitate roads damaged by Typhoon Ketsana; and (c) to establish and

operationalize a contingency fund for quick disaster response in the road sector.

Progress toward achieving development objective(s): The project was not yet effective at the end of the reporting

period.



TF-90478 Closed 0.47 0.41 0.00 0.06

IDA-H5470 Effective 27.11 2.00 25.11 0.00


Project Name (ID): LA - GMS Power Trade Project (P105331)






Theme (s): Infrastructure services for private sector development (29%), Regional integration (29%), Export

development and competitiveness (14%), Rural services and infrastructure (14%), Climate change (14%)

Project Development Objectives: To enhance power trade within Greater Mekong Sub-Region with a view to

bringing reliable electricity to the Saravan province in Lao PDR, and creating the conditions for eventual

interconnections of Lao PDR with other countries of the region.

Progress toward achieving development objective(s): Serious delays are being seen in the implementation of the

cross-border 115kV transmission lines for power export to Cambodia, mostly because procurement for supply and

installation has not yet started on the Cambodian side. In mid-February 2010, Electricite du Laos and Electricite du

Cambodge jointly requested to upgrade the 115kV line to 230kV, to increase the line capacity given the increased

demand for power in Cambodia. Therefore, this project and its counterpart in Cambodia will likely be restructured in

FY11. Development of the transmission link between Xeset 1 to Saravan is scheduled for completion ahead of

schedule. Technical assistance for the tariff study and feasibility of selected hydropower projects has been

completed. Technical assistance for the design of the Load Dispatch Center is under implementation as scheduled.

Once the project is restructured, progress should improve. The PDO is highly relevant and borrower commitment to

achieving it is firm.



IDA-H3000 Effective 14.91 3.80 11.17 0.00


Project Name (ID): LA-Trade Development Facility Project (P106165)




Loan/Credit/Grant Number: TF-91201

Sector (s): General industry and trade sector (70%), Other domestic and international trade (30%)

Theme (s): Export development and competitiveness (34%), Regional integration (33%), Trade facilitation and

market access (33%)

Project Development Objectives: The Trade Development Facility Project's development objective is to support

the establishment of the National Integrated Framework Governance Structure (NIFGS) and implement NIFGS's

initial activities facilitating trade and cross-border movement of goods and increasing the capacity of the

Government to undertake specific tasks related to regional and global economic integration. These activities in turn

support the GOL's larger aims of poverty reduction and economic development, as reflected in the National Socio

Economic Development Plan (NSEDP).

Progress toward achieving development objective(s): The project, now 18 months into implementation, is moving

into full operations with progress advancing across all components. Significant capacity has been built within the

central coordination units of the NIFGS with strong systems put in place for the management of a wider trade sector-

wide approach. All activity design work under the export competitiveness component has now been completed on

agribusiness and secondary wood processing (building on earlier work on garments and silk). Various trade policy

capacity building activities have been undertaken, including the launch of a Lao Trade Research Journal. Ongoing

support was provided towards WTO accession negotiations, including analytical work on the impact of accession on

the insurance sector. A Trade Facilitation Strategy and Action Plan is being finalized.



TF-91201 Effective 6.82 1.21 5.61 0.00


Project Name (ID): LA-Public Fin. Mgnt . Streng MDTF (P108787)





Sector (s): General public administration sector (40%), Central government administration (30%), Sub-national

government administration (30%)

Theme (s): Public expenditure, financial management and procurement (100%)

Project Development Objectives: Assist the Government of Lao PDR in: (i) improving budget planning; (ii)

enhancing the quality of budget execution systems; (iii) foster increased reporting and transparency of public

finances; and (iv) improving timeliness and quality of external audit

Progress toward achieving development objective(s): The Project is progressing reasonably well towards

achieving the Project Development Objectives. Supports from the Project enabled completion of centralization of

treasury, custom and tax administration functions by end of 2009- ahead of original schedule; introduction of VAT

from January 1, 2010; dissemination and training on key PFM legislations and regulations in procurement,

accounting, and customs. These are encouraging progress and building blocks towards improving PFM performance

as measured by the Public Expenditure and Financial Accountability (PEFA) framework scores. Intermediate

outputs such as the annual work plan and corresponding budget plan have been timely prepared and the Ministry of

Finance has engaged and consulted with all development partners on these matters. Implementation progress has

been hampered by lack of interdepartmental collaboration and lack of timely and adequate attention to the fiduciary

aspects of project management. The Task Team will intensify its implementation support efforts to bring back the

project performance on track.



TF-91192 Effective 3.07 0.73 2.34 0.00


Project Name (ID): LA -TA for Hydropower and Mining sectors (P109736)




Loan/Credit/Grant Number: IDA-Q6650, IDA-H5390

Sector (s): Renewable energy (37%), Public administration- Energy and mining (33%), Mining and other extractive

(18%), Tertiary education (12%)

Theme (s): Environmental policies and institutions (38%), Other social protection and risk management (35%),

Education for the knowledge economy (16%), Land administration and management (7%), Climate change (4%)

Project Development Objectives: To increase human capacity and improve the performance of Government

oversight institutions for the hydropower and mining sectors

Progress toward achieving development objective(s): The Project was not yet effective at the end of the reporting

period.



IDA-Q6650 Closed 0.50 0.00 0.00 0.50

IDA-H5390 Effective 7.56 0.26 7.31 0.00


Project Name (ID): LA-Rural Electrification Phase II (P110978)






Theme (s): Rural services and infrastructure (82%), Climate change (18%)

Project Development Objectives: The PDO is: (a) to increase access to electricity of rural households in villages of

project provinces; and (b) to further improve the financial performance of Electricite du Laos.

Progress toward achieving development objective(s): The project was not yet effective at the end of the reporting

period.



IDA-H5380 Not Effective 19.11 0.00 19.11 0.00


Project Name (ID): LAO PDR: Rice Productivity Improvement (P114617)





Sector (s): Crops (62%), Public administration- Agriculture, fishing and forestry (20%), Agricultural extension and

research (18%)

Theme (s): Global food crisis response (100%)

Project Development Objectives: To improve smallholder incomes and food security by improving productivity of

rice, the main crop, with better seed multiplication systems and good agricultural practices.

Progress toward achieving development objective(s): Little progress toward the PDO has been made as the

implementation of project activities has been slower than expected. The main reasons for this include the weak

project management, procurement and financial management capacity of the implementing agency, National

Agriculture and Forestry Research Institute (NAFRI under the Ministry of Agriculture and Forestry, MAF) and

related delays in meeting the conditions of disbursement. The May 2010 supervision mission agreed on a number of

actions which are expected to get the project back on track. These include building synergies with other agriculture

projects implemented by MAF, that use common project management arrangements, including financial

management and procurement.



TF-93614 Effective 3.00 0.55 2.45 0.00


Project Name (ID): FPCR TF for Lao PDR on Nutrition: CNP (P114863)





Sector (s): Health (100%)


Project Development Objectives: To improve coverage of essential maternal and child health services and improve

mother and child caring practices among pregnant and lactating women and children less than 2 years old in the

seven southern and central provinces.

Progress toward achieving development objective(s): Design of activities is still ongoing. Therefore, the project

was still in too early a stage for meaningful progress.



TF-95274 Effective 2.00 0.21 1.79 0.00


Project Name (ID): Lao PDR PRSO 6 (P118814)





Sector (s): General industry and trade sector (29%), Banking (29%), Central government administration (14%), Power

(14%), Non-compulsory health finance (14%)

Theme (s): Public expenditure, financial management and procurement (44%), Trade facilitation and market access

(14%), Regulation and competition policy (14%), Other financial and private sector development (14%), Health system

performance (14%)

Project Development Objectives: PRSO-6 aims to support the Government’s priorities as outlined in its National Socio

Economic Development Plan (NSEDP) and supported by the CAS, namely by: (i) sustaining growth through improved

investment climate and competiveness; and (ii) improving social outcomes by improving the quality of the public finance

management framework and service delivery mechanism in the health and education sectors. PRSO-6 will contribute to

the achievement of these objectives through improving management of key areas (regional integration, private sector

development, and quality of investment in natural resource sector) and through strengthening of public financial

management and service delivery capacities and targeted poverty reduction programs.


The size of the additional financing was $10 million. The objective was to support the government to exit its fiscal

stimulus strategy, put in place during the global crisis to sustain economic growth.

Progress toward achieving development objective(s): Within the NSEDP framework, the PRSO-6 has supported Lao

PDR in two key focus areas:

(1) Improving the investment climate, competitiveness, and business development in order to establish an environment

conducive to sustainable export- and private sector-driven growth;

(2) Strengthening the overall public finance management framework to enable the Government to increase efficiency of

the public resource allocation system, strengthen fiduciary controls, and improve service delivery.

Specific actions which have been taken in FY10 were:

Abolishment of the requirement for an investment license for general investment activities outside the Negative List as

part of the implementation of the Law on Investment Promotion.

Approval of Decree on Rules-of-Origin and submission to the Minister of MOIC the implementing regulation under said

Decree.

Settlement of arrears of government agencies with Electricite du Laos for the period commencing FY 2004/05 and

including FY2007/08, and arrears reconciliation for FY2008/09; (b) adequate budgetary allocations to government

agencies for current electricity consumption for FY2009/10; and (c) together with EDL, clarification of the financial

arrangements for electricity provision to the irrigation sector.

Approval of the Action Plan for the Financial Sector Strategy (FSS) on April 20, 2010.

Completion and submission by the Central Bank to the Ministry of Finance the State-owned Banks supervision reports.

Centralization of the National Treasury on December 31, 2009, and initiation of transfer of spending unit accounts to the

National Treasury

Submission of the Health Financing Strategy to the MOH Steering Committee for consideration after due consultation on

said strategy with stakeholders.

Reforms in these areas have improved the Government’s ability to manage the impact of the economic crisis, particularly

on the financial sector, and to cushion to some extent the shortfalls in budgetary revenues resulting from it.





Project Name (ID): LA-Upland Food Security Improvement Proj (P120909)





Sector (s): Crops (52%), General agriculture, fishing and forestry sector (39%), Public administration- Agriculture,

fishing and forestry (9%)


Project Development Objectives: The PDO is to: (a) contribute to improved food security of rural households in

selected poor villages in upland areas; and (b) address recovery needs of cyclone-affected households in the Xekong,

Saravane and Attapeu provinces.

Progress toward achieving development objective(s): The project was not yet effective at the close of the

reporting period.




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