Govt aims to further ramp up economic growth
Govt aims to further ramp up economic growth
The government will try to push for economic growth of more than 8 percent annually until 2015, according to a senior government official.
Senior officials recently held a meeting with development partners to sum up the mid-term review of the 7th National Socio-Economic Development Plan (NSEDP) for 2011-15.
About 150 representatives from relevant sectors and development partners attended the meeting to discuss the mid-term review and evaluate the progress made in accomplishing the Millennium Development Goals (MDGs).
Deputy Minister of Planning and Investment Dr Khamlien Pholsena delivered his opening remarks at the meeting by talking about the achievements, progress made, shortcomings and plans to achieve the 7th NSEDP until 2015.
He said the Lao economy continued to grow at an average rate of 8.2 percent annually and the per capita income is expected to reach US$1,700 by 2015. Meanwhile the inflation rate stood at an average of 5.8 percent annually.
The growth rate of the Lao economy was 8.1 percent in the fiscal year 2010-11 and 8.3 percent in 2011-12. The main driving force of economic growth over the past two and a half years has been the industry and service sectors
The poverty rate continued to decline, falling from 27.66 percent in 2007-08 to 20.5 percent in 2011-12. More children have now enrolled in school and the mortality rates of mothers and their children have declined.
Despite global changes, the Lao economy has continued to grow at a rapid pace. Officials said the global situation has impacted Laos both directly and indirectly.
Fortunately the government is able to maintain political stability, security and social order to facilitate economic development and poverty reduction among local people.
Although it is a small country, friendly nations have extended their trust to Laos, which successfully hosted the 9th Asia Europe Meeting Summit last year and became a full member of the World Trade Organisation in February this year.
The events contributed to enhancing the country's profile on the international stage, allowing visitors and businesspeople to better recognise Laos and its business potential.
But one of the main challenges for Laos is that the country's economic growth relies heavily on the natural resources sector. The shifting of the economic and labour structure towards industrialisation and modernisation remained slow.
Th e development disparity between rural and urban areas remained wide and the generation of jobs and wealth was not sufficiently widespread. The progress towards the MDGs has seen accomplishments but movement in some areas remained slow.
Officials said it was important to focus on developing the non-resource sector to boost economic growth and creating favourable conditions for the private sector to do business in rural areas.
vientiane times
