Information
- Country
- Laos
- LuxDev's Regional office
- Asia Office
- Sector
- Socio-economic development
- PIC 5
- 2023 - 2027
- Implementation period
- 1 January 2023 - 31 December 2027
- Total duration
- 60 months
- Total budget
- 33,930,000 EUR
- Contribution breakdown
-
- Luxembourg Government
27,000,000 EUR - SDC
6,930,000 EUR
Project sheets
The expected outcome of the LAO/338 Local development programme (LDP) is “the well-being of Lao people is improved, leaving no one behind”. This reflects the priorities of the Lao government’s 9th National Socio-Economic Development Plan 2021-2025 as well as the goals of the Lao-Luxembourg Indicative Cooperation Programme V (ICP V) and the Swiss Agency for Development and Cooperation’s (SDC) Cooperation Programme for the Mekong Region (2022-2025), who are jointly funding the programme.
The Local development programme will build on the strong working relationships that have been established under its predecessor LAO/030 with the Ministry of Planning and Investment, particularly the Department of Planning, and its line agencies within the four target provinces. It will continue to foster participatory planning and channel programme resources into realising priorities at the district and village level. Its focus on capacity development at national but primarily at sub-national levels will assist central, provincial, district and village authorities to improve public services for the benefit of local communities. By improving capacity at all levels and engaging in policy dialogue, LDP intends to mitigate some of the threats facing rural communities in Lao PDR, which include land tenure insecurity, deforestation and low education outcomes.
The total budget is 33 930 000 EUR over the five-year period 2023-2027. While strengthening the capacity of relevant central agencies, LDP will focus on the poorest villages and districts in the provinces of Bokeo, Vientiane, Bolikhamxay and Khammouane, and will expand operations to cover approximately 20 districts and 315 villages.
To meet the outcome mentioned above, LDP used a Theory of Change process to identify three intermediate changes with priority areas of intervention as follows:
- social-economic opportunities for sustainable livelihood are created for Lao people, leaving no one behind will focus on creating productive farming opportunities (whether commercial or subsistence) for men and women. This intermediate changes also encompasses interventions in nutrition and health, land tenure security and climate change adaptation, inclusive finance, cooperation with the private sector to improve market access and capacity development support for enhanced farming/business skills. Partnerships will be maintained with two Luxembourg based non-governmental organizations, being ADA (specialising in inclusive finance) and Caritas (specialising in community development) as well as locally based non-profit associations;
- Lao people have access to improved and more resilient public services including infrastructure provided by district authorities will introduce a District Annual Financing Window, through which target districts (with provincial support and under provincial supervision) will receive a secure budget envelope based on a number of criteria including population size to implement prioritised actions in the key areas of education, water, sanitation and hygiene and feeder roads in line with district development plans;
- Lao people have access to improved and more resilient village-level services will continue to support the participatory Village Development Planning process established under LAO/030 for identifying and prioritising village needs. This village plans will be supported with a Village Development Fund to meet community priorities in infrastructure rehabilitation/maintenance, credit and capacity development among others.
Actions to maximise the effectiveness and efficiency of LDP include:
- ensuring alignment with current and upcoming national strategies;
- using existing government guidelines and systems for procurement and monitoring;
- promoting local ownership through the activity prioritisation process at district and village level;
- collaborating with other donors to avoid duplication;
- adopting a flexible approach to budgeting to reward well performing villages and districts; and
- establishing robust monitoring and evaluation systems that allow for feedback and learning.
Latest news
LAOS - Joint LuxDev-SDC mission highlights impact and sustainability in Bokeo Province
A high-level delegation comprising representatives from Luxembourg and the Swiss Agency for Development and Cooperation (SDC) recently concluded a significant mission to Bokeo province, to witness firsthand the progress and impact of jointly funded local development initiatives. The mission, aimed to assess the implementation of the Local Development Programme (successor to the Local Development Programme for Bokeo, Bolikhamxay, Khammouane and Vientiane Province) and explore potential synergies with Skills for Tourism Agriculture and Forestry (STAF) programme at the local level.
The delegation was led by Robert de Waha, LuxDev Regional Representative for the Asia office, and included Jean-Gabriel Duss, Director for Development Cooperation for the Mekong Region at SDC, alongside esteemed staff members from the Luxembourg Embassy in Laos, and LuxDev staff, among others. It underscores the commitment of both Luxembourg and Switzerland to supporting sustainable local development to marginalised communities in Lao PDR. The mission comes at a crucial time, following new additional budgets for both the Local Development Programme (7.65 MEUR) and the STAF programme (1 MEUR), the latter also being recognized as a Global Gateway flagship initiative with co-funding from the European Union (in addition to contributions from Luxembourg and SDC).
The "No Plastic" commitment
Demonstrating LuxDev Asia's commitment to environmental sustainability, the entire mission adhered to a strict "No Plastic" policy. Single-use plastics were consciously avoided, a practice highly welcomed and appreciated by the donor representatives from both Luxembourg and SDC. Refreshments and meals during field visits were thoughtfully served, with food protected in traditional banana leaves, showcasing a practical and environmentally friendly approach.
Witnessing impact on the ground: education and community development
The first day saw the delegation travel to Ban Houay Aen, a Khmu ethnic group village in Paktha district. The journey on a bumpy and dusty road highlighted the remote and challenging terrain to access some beneficiary villages. The visit focused on a primary school constructed under the LAO/030 programme. Discussions with the Village Development Committee (VDC) shed light on the positive transformation the school has brought to the community, significantly improving children's access to education in a village where living conditions remain below the poverty line. Despite its challenges, Ban Houay Aen, with its 514 residents, has received continuous support through the Local Development Programme, transitioning from LAO/030 (2017-2022) to the current LAO/338 (2023-2027) programme.
The first day saw the delegation travel to Ban Houay Aen, a Khmu ethnic group village in Paktha district. The journey on a bumpy and dusty road highlighted the remote and challenging terrain to access some beneficiary villages. The visit focused on a primary school constructed under the LAO/030 programme. Discussions with the Village Development Committee (VDC) shed light on the positive transformation the school has brought to the community, significantly improving children's access to education in a village where living conditions remain below the poverty line. Despite its challenges, Ban Houay Aen, with its 514 residents, has received continuous support through the Local Development Programme, transitioning from LAO/030 (2017-2022) to the current LAO/338 (2023-2027) programme.
Exploring inter-programme synergies and addressing challenges
Day two took the delegation to Ban Longphabath in Meung district. The Lahu ethnic group village was established in 1996. Discussions with villagers and district authorities centred on the activities of the Village Development Fund, although communication is difficult because of the language barrier, as most villagers are not Lao language speakers. This visit also provided a valuable opportunity to showcase the promising inter-programme cooperation between Local Development Programme and the STAF Programme. Initiatives such as frog raising, fruit tree sapling distribution, and mushroom cultivation, implemented at the village level through STAF, are complementing the broader community development efforts under Local Development Programme. A first such initiative on mushroom cultivation is scheduled to take place very soon. Ban Longphabath also continues to benefit from the village credit scheme established by the previous programme. Further priorities identified by the community include a new gravity-fed water supply system (with a significant 6000m main pipe), improvements to village access infrastructure, and enhanced educational facilities.
In parallel to the meeting with the villagers, a dedicated financial meeting addressed the crucial aspects of funding mechanisms and financial management related to Delegation Agreements for Funding and Implementation, ensuring the efficient and transparent utilization of resources.
Addressing Environmental Concerns: A Stark Reminder
While witnessing the positive impacts of development initiatives, the mission also served as a stark reminder of the significant environmental challenges facing the province, and Lao PDR in general. The delegation observed disastrous deforestation firsthand, with vast areas cleared. The practice of slash and burning agriculture was also evident, contributing to habitat loss, soil erosion, and air pollution. These observations underscore the urgent need for sustainable land management practices and integrated approaches that address both socio-economic development and environmental protection.
High satisfaction and future collaboration
The debriefing sessions following the field visits reflected a high level of satisfaction from both donor representatives. SDC expressed their positive impressions of the mission and were impressed by the local teams, including the LuxDev implementing agency and the dedicated provincial and district authorities. The commitment to the "No Plastic" policy was particularly noted and appreciated.
The successful joint mission to Bokeo province not only highlighted the tangible achievements of the Luxembourg and SDC-funded Local Development Programme and the potential for impactful inter-project cooperation with the STAF programme but also reinforced the strong partnership and shared commitment to sustainable development in Lao PDR. The insights gained will undoubtedly contribute to the effective implementation of the newly approved budgets and further strengthen the positive impact on communities in Bokeo province.
The Local Development Programme programme is financed by the Grand Duchy of Luxembourg and jointly implemented by the Ministry of Planning and Investment and LuxDev, the Luxembourg Development Cooperation Agency.
LAOS - Successful conclusion of the four Provincial Coordination Committee Meetings for the 5th Indicative Cooperation Programme
We are pleased to announce the successful completion of the four Provincial Coordination Committee (PCC) Meetings for the 5th Lao-Luxembourg Indicative Cooperation Programme 2023-2027 (ICP V) for this year. The PCC meetings have taken place across several provinces, starting with Bokeo in May. Subsequent meetings were held in Vientiane Province in October and Bolikhamxay province in November. This final meeting, held in Khammouane province this December, marks the culmination of a productive year of activities across our partner provinces in Lao PDR.
About the PCC Meetings
The provincial coordination committee meetings proved particularly valuable for provincial authorities. Participants had the opportunity to gain in-depth insights into the four multisectoral programmes at provincial level (progress, working plans, budgets) and actively engage in valuable exchanges with officials from other provinces, fostering collaboration and knowledge-sharing.
Strengthening coordination and alignment
These PCC Meetings play a crucial role in:
- strengthening coordination across the four ICP V programmes;
- and ensuring alignment with district and provincial five-year socio-economic development plans.
Participants from local authorities gained a clearer understanding of the interconnectedness of the four ICP V programmes:
- health and nutrition;
- skills for tourism, agriculture and forestry;
- rule of law, access to justice and good governance;
- local development.
This improved understanding highlights how these programmes collectively address the socio-economic needs of Lao PDR, especially in our four partner provinces.
Valuable feedback and enhanced collaboration
The meetings also provide a vital platform for LuxDev to:
- receive valuable feedback on programme implementation;
- strengthen collaboration;
- and promote cross-sector implementation;
This feedback mechanism is essential for ensuring the effectiveness and responsiveness of the programmes to local needs.
Key objectives and outcomes
The 4th PCC Meetings achieved several key objectives, including:
- providing a comprehensive overview of the ICP V programmes and their impact;
- facilitating knowledge sharing and collaboration among provincial authorities;
- gathering crucial feedback for LuxDev to improve programme implementation;
- developing practical recommendations to be presented to the annual Project Steering Committees.
This successful conclusion of the 4th meeting wraps up a year of significant progress and reinforces the commitment of all stakeholders to the continued success of the ICP V programmes in Lao PDR. We look forward to continuing this important work in the coming year.
LAOS - Village Development Planning: a success story led by the Local Development Programme
The Village Development Planning (VDP) process, supported by the Local Development Programme, implemented by the Ministry of Planning and Investment (MPI) and LuxDev has proven to be a catalyst for positive change across Laos. This initiative, designed to empower local communities and address their specific needs, has yielded significant results in the partner provinces of Bokeo, Bolikhamxay, Khammouane and Vientiane, benefitting a total of 172,000 people.
A community-driven approach
Over the last couple of months, the Local Development Programme has been focussing on village development planning, a process which puts community participation at the centre of decision-making. Villagers from all four partner provinces and 226 target villages actively engaged in the process, reflecting on their current socioeconomic situation and prioritising activities for implementation. This bottom-up approach ensures that the development initiatives are truly aligned with the needs and aspirations of the local people.
Building on past successes
The current VDP exercise is notably successful partly due to its ability to build on the experiences of previous development programmes implemented by MPI and LuxDev. In Bokeo Province for example, 41 villages involved in the previous phase of the Local Development Programme, continue to participate in the new one, leveraging their previous experiences to accelerate the VDP process. Similar synergies are observed in Vientiane, Khammouane and Bolikhamxay.
Prioritising local needs
This activity was carried out jointly by the staff of our partners from the provincial Departments of Planning and Investment and the District Planning Offices. The field team held community workshops in each target village, in which people proposed activities to be implemented with the Village Development Fund that is provided by the programme. Following plenary and group discussions, the attendance was assembled and prioritised the most relevant activities by voting.
The VDP process identified a wide range of development priorities across the four provinces. In Bokeo alone, 53 villages identified over 918 activities, divided into several categories. Among the most pressing needs were access to clean water and improved water supply infrastructure, followed by education, health, and agricultural development, as well as microfinance schemes. These priorities were identified in all four provinces and therefore reflect the critical importance of these basic resources for the health and well-being of local communities.
Rapid progress and community empowerment
In Bokeo, VDP have already been endorsed in all 53 villages, while in Vientiane, Bolikhamxay, and Khammouane, the adoption of the VDP is also almost completed. This rapid advancement across all target districts of the Local Development Programme is a testament to the efficiency of the process and the strong commitment of both the local communities and the local counterparts (Departments of Planning and Investment, the District Planning Offices and LuxDev) implementing partners.
Empowering villages with resources and training
To facilitate the implementation of the activities identified by communities, the Departments of Planning and Investment will next transfer agreed budgets to village bank accounts and provide management training to Village Development Committee members. To support the technical implementation of identified priorities, training will also be organised to cover a variety of topics, including areas like health, animal husbandry, good agricultural practices, etc. This empowers villages to take ownership of their development initiatives and ensure effective utilisation of resources.
A bright future for Laos
The success of the VDP process in Bokeo, Bolikhamxay, Khammouane and Vientiane provinces bodes well for the future of Laos. By prioritising local needs, fostering community participation, and providing the necessary resources, the Local Development Programme is laying solid foundations for sustainable development. As the identified activities are implemented, we can expect to see significant improvements in the lives of the people throughout the four partner provinces.
The VDP process in Laos is a shining example of how effective community-driven development can be. By empowering local communities and addressing their specific needs, this initiative is helping to create a brighter future for the country.
The Local Development Programme is co-financed by the Lao PDR, the Grand Duchy of Luxembourg and Switzerland, and implemented by the Lao Ministry of Planning and Investment and LuxDev, the Luxembourg Development Cooperation Agency.
LAOS - Beekeeping study tour in Xiengkhouang Province A continued journey to empower beekeepers from Bokeo
A recent study tour organised by the Skills for Tourism, Agriculture and Forestry (STAF) Programme, together with the Local Development Programme, to Xiengkhouang Province opened up opportunities for enhancing beekeeping practices in partner villages in Bokeo Province. Study tour participants, including beekeepers, trainers from two beekeeping training centres, representatives of Provincial and District Agriculture and Forestry Offices, and representatives of the Ministry of Education and Sports’ Department of Non-Formal Education, embarked on an enriching journey to promote knowledge exchange and skills development.
From 2017 to 2019, there was a notable surge in honey production and sales in Bokeo Province. To bolster this thriving livelihood activity, the Local Development Programme in its previous phase, supported skills development and equipment for existing and new beekeepers in the province, thereby enhancing their beekeeping practices[1]. The STAF Programme is now working with the Local Development Programme to ensure that local beekeepers have access to the necessary resources and expertise to help overcome market fluctuations brought about by the COVID-19 pandemic and forge a resilient path forward for local honey production.
Traveling via Vientiane Capital, participants from Bokeo Province flew to Xiengkhouang Province. This was particularly exciting for some beekeepers who had never left their province or been on a plane before. Upon arrival in Phonsavan, the group had a brief opportunity to delve into the cultural heritage of the province by visiting the renowned UNESCO world heritage Plain of Jars a spectacular and mysterious site with some 460 jars of unknown origin, carved in stone, which probably served as funerary urns thousands of years ago.
The following two days were dedicated to experience sharing and valuable learning opportunities on beekeeping practices. Participants visited beekeepers in Phosy Village, Phek District, where they learned about new techniques applied by local beekeepers, observed the use of different materials and equipment and engaged in insightful discussions about honey production and the challenges it faces, including climate change. Villagers from Phosy Village also showcased beekeeping-derived products such as candles, soaps and lipsticks, and organised a small tasting of local honey. All participants then enjoyed a delicious traditional lunch prepared by the villagers before heading to Phon Village, where further honey-making practices were explored, fostering a deeper understanding of the intricacies involved.
The following morning, the group visited a beekeeping processing centre in Peak District, providing them with a great opportunity to gain deeper insights into honey processing and marketing practices.
A highlight of the trip was the visit to Phonxay Village, where beekeepers demonstrated their use of horizontal log hives and highlighted their benefits. This interactive session facilitated, once again, constructive discussions and knowledge-sharing among participants from Bokeo and from Xiengkhouang.
The study tour provided an ideal platform for listening sessions, interactive demonstrations, and in-depth discussions on various facets of beekeeping, including processing techniques, necessary equipment and effective marketing strategies. One of the key takeaways was the emphasis on both technical skills and the recognition of the social and economic development potential of beekeeping initiatives at the village, district, and provincial levels.
Participant feedback underlines the study tour’s resounding success, with many eager to apply newly learned techniques and strategies in their own communities.
Mr. Somdy Sayyatour, from Phienghut Village, Pha Odom District, Bokeo Province, lauded the study tour for its exposure to innovative practices and expressed eagerness to share his learnings with fellow farmers. “I’m so pleased I got the chance to be a part of this trip” he explained. “In my village, we’ve been practicing beekeeping for a short time and we use local traditional methods. Thanks to this tour, I’ve learnt new ones such as the use of wax to catch bees in the hives. I look forward to sharing the knowledge I gained with the other beekeepers in my village.” This trip was a great opportunity for Mr. Somdy to improve his beekeeping skills, while exploring another region of Lao PDR. He concluded, “it was nice to meet new people from other provinces and share local experiences. Overall, I had a lot of fun”.
Ms. Phetsamone Manivong also shared her satisfaction regarding the study tour, which marked her first field trip in her new position as technical staff of the Livestock Section at the Provincial Agriculture and Forestry Office, Bokeo. She was very impressed with the local knowledge and skills demonstrated by the beekeepers in Xiengkhouang. “I can clearly see a difference between farmers in both provinces. Here, they are much more creative and advanced in terms of techniques. In Bokeo, we have much less means and resources”. Ms. Phetsamone commended the initiative for its tangible impact and pledged continued support for implementing new techniques in Bokeo Province.
One week after the beekeeping study tour, the STAF and Local Development Programmes supported the Bokeo Provincial Agriculture and Forestry Office to organise a workshop to review lessons learned and develop training plans for beekeepers for the upcoming year. These plans address both technical and marketing skills needs of Bokeo beekeepers. It is expected that these efforts will help revive honey production business in Bokeo Province post-COVID-19 pandemic.
The Skills for Tourism, Agriculture and Forestry Programme is co-financed by the Lao PDR, the Grand Duchy of Luxembourg, Switzerland and the European Union, and implemented by the Lao Ministry of Education and Sports and LuxDev, the Luxembourg Development Cooperation Agency.
The Local Development Programme is co-financed by the Lao PDR, the Grand Duchy of Luxembourg and Switzerland, and implemented by the Lao Ministry of Planning and Investment and LuxDev, the Luxembourg Development Cooperation Agency.
LAOS - Cooperating for the provision of Non-Formal Vocational Skills Development in Agriculture and Forestry
On 13 and 14 December 2023, the Ministry of Education and Sports (MoES) Department of Non-Formal Education (DNFE), together with the Ministry of Agriculture and Forestry (MAF) Department of Agricultural Extension and Cooperatives (DAEC), supported by Skills for Tourism, Agriculture and Forestry (STAF) Programme (LAO/336), held a workshop to identify opportunities for inter-departmental cooperation for the provision of non-formal and informal agriculture and forestry vocational skills development (VSD).
The workshop was chaired by Mr Nouphanh Outsa, Director-General, MoES Department of Technical and Vocational Education, and co-chaired by Mr Sengaloun Boutsady, Deputy Director-General, MoES DNFE and Dr Phanxay Ingxay, Deputy Director-General, MAF DAEC. Workshop participants included representatives of provincial non-formal education centres, as well as provincial agriculture and forestry offices.
The workshop had two objectives:
- to introduce the agriculture and forestry components of the STAF Programme to public non-formal and informal VSD providers in Lao PDR;
- and to establish a foundation for cooperation in non-formal and informal VSD delivery.
Following presentations of the STAF Programme (and the Local Development Programme (LAO/338) with which the STAF Programme collaborates), a discussion panel comprising Mr Nouphanh Outsa, Mr Sengaloun Boutsady, Dr Phanxay Ingxay, and Mr Phetsamon Thanasack, Deputy Director-General, MAF Department of Organisation and Personnel, delved into the specific roles, responsibilities, and challenges encountered by different departments and ministries in delivering non-formal and informal VSD in agriculture and forestry. The afternoon session saw participants divided into three groups to discuss their 2024 activity plans for non-formal and informal agriculture and forestry VSD.
On the second day, participants were grouped by provinces (Bokeo, Luang Prabang, Vientiane, Khammouane and Bolikhamxay) to discuss and encourage potential synergies among stakeholders within each province to execute activity plans.
During the workshop, a noticeable convergence emerged in the 2024 workplans of the DNFE and DAEC (and their provincial representatives) further underlining the importance of coordination mechanisms and ongoing dialogue to prevent duplication of effort and optimisation of benefits for people in rural communities. With a shared commitment to coordination and dialogue, the MoES and the MAF are confident that joint efforts will be undertaken, maximising the impact of non-formal and informal VSD in the agriculture and forestry sectors in Lao PDR.
The LAO/336 - Skills for Tourism, Agriculture and Forestry Programme is co-financed by Laos, the Grand Duchy of Luxembourg, Switzerland and the European Union, and implemented by the Lao Ministry of Education and Sports and LuxDev, the Luxembourg Development Cooperation Agency.
LAOS - Governments of Lao PDR, Luxembourg and Switzerland to launch new phase of Local Development Programme
Representing the Governments of Lao PDR, Luxembourg and Switzerland, the Ministry of Planning and Investment, the Luxembourg Embassy in Laos and the Swiss Agency for Development Cooperation respectively convened the Programme Steering Committee Meeting to officially close the “Local Development Programme for Bokeo, Bolikhamxay, Khammouane and Vientiane province” (LAO/030) and launch a new phase.
The new LAO/338 programme is co-funded by the Governments of Lao PDR, Luxembourg and Switzerland with a generous grant of EUR 33 million, and implemented by LuxDev and the ministry of Planning and Investment. It aims to foster inclusive development in 226 target villages across 17 districts from 2023 to 2027.
From left to right: Thomas LAMMAR, Chargé d'Affaires, Luxembourg Embassy; Phonevanh OUTHAVONG, Vice Minister, Ministry of Planning and Investment; Jean-Gabriel DUSS, Regional Director of Cooperation, SDC
The Programme Steering Committee Meeting was chaired by the Vice-Minister of Planning and Investment, Mrs. Phonevanh OUTHAVONG, and co-chaired by the Chargé d’Affaires of the Luxembourg Embassy to Lao PDR, Mr. Thomas LAMMAR, and SDC Regional Director of Cooperation, Mr. Jean-Gabriel DUSS. More than 70 representatives from central, provincial and district government officials, as well as development partner organisations also participated in the meeting.
The Programme Steering Committee Meeting reviewed the successful predecessor of LAO/338, LAO/030, which was implemented between 2016 and 2022 with a total funding of EUR 32.4 million and benefiting approximatively 150.000 people. The final evaluation concluded that, despite challenges encountered during the implementation period, particularly the spread of COVID-19, the project has been very successful. Key achievements included 3.588 community projects implemented through village development funds, the establishment of 46 community-owned credit schemes that enabled job creation and increased production capacity, construction and renovation of 396 schools, water supply systems and other local infrastructure, as well as training and awareness campaigns in 90 villages and capacity building for central and provincial-level government officials.
The programme focus
The new five-year programme, from 2023 to 2027, focuses on three main areas of support:
- the creation of socio-economic opportunities for sustainable livelihood;
- access to improved and more resilient public services; and
- access to improved and more resilient village-level services.
Its objective is to further enhance the livelihoods of people in rural communities by strengthening their capacity to manage natural resources, enhance agricultural productivity, and develop income-generating activities. The Local Development Programme is expected to benefit over 172.000 people through village development funds and over 750.000 people through local infrastructure investments.