Lao PDR relies on official development assistance for a significant share of its socio-economic development investments. Development assistance accounted for about 14 percent of total investment for the fiscal year 2012-13 and 10 percent for 2013-14. The alignment of external support with national priorities and goals is discussed between the Government and development partners in the Round Table Process, which forms an important national forum for meaningful dialogue on strategic development planning, aid effectiveness and ownership issues.
The Vientiane Declaration on Partnership for Effective Development Cooperation (2016-2025) was adopted during the November 2015 High-level Round Table Meeting. This meeting renewed the commitments from both the government and development partners to ensure effective development cooperation. The Declaration aligns Lao PDR’s cooperation principles with the global agenda on effective development cooperation, including the 2012 Busan Partnership for Effective Development Co-operation, the 2014 Mexico High Level Meeting Communiqué, the 2015 Addis Ababa Action Agenda and the SDGs.
Two lessons were learned from the experience of development cooperation during the past decade. First, the support by development partners to Lao PDR’s progress towards global goals needs to be better coordinated, more results-oriented, and avoid duplication. This will require the alignment of development partners’ programmes and priorities behind the country’s plans, policies and goals. It will also need the Government to exert a strong coordinating role. Second, Lao PDR needs to identify alternative development financing sources, such as South-South cooperation, public-private partnerships and philanthropic organisations, to reduce the dependence on current external sources.
The Lao PDR–United Nations Partnership Framework (2017-2021) articulates the collective response of the UN system to national development priorities. The Partnership Framework aims to identify strategic focus areas, promote synergy, improve coordination and ensure transparency and predictability of resources. It also aims to make the knowledge networks and expertise of the UN system more systematically accessible to the Government of Lao PDR.
Strengthening global solidarity is one of 17 Global Goals that make up the 2030 Agenda for Sustainable Development. An integrated approach is crucial for progress across the multiple goals. Learn more about Goal 17 and its targets.