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The Seventh Five-Year National Socio- Economic Development Plan (2011-2015)

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The Seventh Five-Year National Socio- Economic Development Plan (2011-2015) LAO PEOPLE’S DEMOCRATIC REPUBLIC PEACE INDEPENDENCE DEMOCRACY UNITY PROSPERITY The Seventh Five-year National Socio- Economic Development Plan (2011-2015) (Full Version) (The initial session of the Seventh National Assembly, during June 15-24, 2011, at National Assembly, Vientiane Capital) Ministry of Planning and Investment Vientiane, October 7, 2011 1 TABLE OF CONTENT PREAMBLE .......................................................................................................................................... 8 PART ONE: EVALUATION ON THE IMPLEMENTATION OF THE FIVE‐YEAR SOCIO‐ECONOMIC DEVELOPMENT PLAN VI (2006‐2010) .............................................................................................. 10 I. GLOBAL, REGIONAL AND NATIONAL ENVIRONMENT ....................................................................... 10 1.Global and regional environment ......................................................................................... 10 [1]. Advantages ................................................................................................................... 11 [2]. Challenges and constraints ........................................................................................... 11 2. National environment .......................................................................................................... 11 [1]. Advantages ................................................................................................................. 12 [2]. Challenges and constraints ........................................................................................ 12 II. SIXTH PLAN ACHIEVEMENTS ............................................................................................... 13 1. Macroeconomic growth ...................................................................................................... 14 1.1. Economic growth ......................................................................................................... 14 1.2 Economic structural changes ........................................................................................ 15 1.3 Financial Sector Growth ................................................................................................ 16 2. Economic balance ................................................................................................................ 18 2.1 Workforce and employment balance ........................................................................... 18 2.2 Sources of fund for development balance .................................................................... 20 2.3 State Budget Balance .................................................................................................... 24 2.4 Trade Balance ................................................................................................................ 24 3. Sub‐Regional, Regional and Main Sectoral Development ................................................... 26 3.1. Sectoral Development .................................................................................................. 26 3.1.1. Agriculture and Forestry ....................................................................................... 26 3.1.2. Industrial Sector .................................................................................................... 30 3.1.3 Services sector ....................................................................................................... 35 3.1.4. Regional and international economic integration ................................................ 44 3.1.5 Infrastructure ......................................................................................................... 47 3.2. Regional development .................................................................................... 49 [1]. Proportion to the national economy of the north, central and the south are different .......................................................................................................................... 49 [2]. The changes of economic structures in regions .................................................... 50 2 [3]. The successful implementation of projects and activities ................................... 52 3.3. Social development ......................................................................................... 56 3.3.1. Rural development ‐ poverty eradication and development .......................... 56 3.3.2. Education and human resource development ................................................ 64 3.3.3. Public health .................................................................................................... 65 3.3.4. Science and Technology .................................................................................. 65 3.3.5. Water resources and environment ................................................................. 66 3.3.6 Labour and Social welfare .................................................................... 68 3.3.7 Information and culture ....................................................................... 69 3.3.8. Sports ..................................................................................................... 72 3.3.9. Preventing Negative Social Consequences ............................................ 73 3.4. Harmonisation between socio‐economic development, national defence and public security ..................................................................................................................... 74 4. Roles of public administration in market economy in accordance with socialism directions ................................................................................................................................. 75 5. Private sector development .................................................................................. 77 6. The implementation of 11 programmes and 111 projects ............................................. 81 7. Outstanding achievements and the reasons thereof ...................................................... 85 7.1. Outstanding achievements:................................................................................ 85 7.2. Reasons for the achievement: .......................................................................... 85 III. CONSTRAINTS AND REMAINING ISSUES IN THE IMPLEMENTATION OF THE SOCIO‐ECONOMIC DEVELOPMENT PLAN (2006‐2010), AND RELATED CAUSES .......................................................................................... 86 1. Constraints and remaining issues ................................................................................. 86 1.1 Remaining issues related with some macro targets ............................................ 86 1.2 Remaining issues related to sectoral and regional development .................... 87 1.3 Remaining issues in the implementation of 11 plans and 111 projects .......... 89 1.4 Remained issues in implementation of disaster management in 2009 ............... 89 1.5. Weaknesses‐Difficulties in the implementation of the Sixth Five‐year Socio‐ Economic Development Plan .............................................................................................. 89 2. Reasons for the Difficulties: ........................................................................................ 90 IV. LESSON LEARNT ....................................................................................................................... 91 PART TWO: SEVENTH FIVE‐YEAR NATIONAL SOCIO ECONOMIC DEVELOPMENT PLAN (2011‐2015)95 I. OVERALL SEVENTH FIVE‐YEAR NATIONAL SOCIO ECONOMIC DEVELOPMENT PLAN (2011‐ 2015) ............................................................................................................................................ 95 3 1. Anticipated advantages and challenges ....................................................................... 95 1.1 Advantages ............................................................................................................. 95 1.2 Challenges and constraints .................................................................................... 97 2. Overall targets of Seventh Five‐Year Socio Economic Development Plan ........................... 99 3. General Directions and missions of Seventh Five‐Year Socio‐Economic Development Plan 99 4. Targets of Seventh Five‐Year Socio‐Economic Development Plan ..................................... 101 4.1 Macro economic targets ............................................................................................. 101 4.2 Targets of Economic Sectors ................................................................................ 102 4.3 Social targets .............................................................................................. 103 4.4 Targets in natural resources and environment.................................................... 104 4.5 Targets on international integration .......................................................... 105 5. Forecasts for macro balance ............................................................................................. 105 5.1 Investment balance .............................................................................................. 105 5.2 State budget balance ................................................................................. 107 5.3 Expenditure and savings balance ......................................................................... 108 5.4 Trade Balance ......................................................................................................
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