Laos still has hurdles to jump to integrate economy with Asean: GIZ
Laos still has hurdles to jump to integrate economy with Asean: GIZ
Laos has made good progress in loosening restrictions on its goods and service sector but must still overcome significant challenges if it is to be ready to integrate with the Asean Economic Community (AEC) in 2015.
More work needs to be done to meet broader national development targets and the government must work with the private sector to develop sensible regulations and policies, according to a Lao-German Development Cooperation press release.
“This is a common challenge for all Asean member states,” the press release read.
The recommendations come following a review of Laos' progress on its implementation of measures to get ready for the arrival of the AEC at a workshop yesterday hosted by the Minister of Industry and Commerce, Dr Nam Viyaketh, and the German Ambassador to Laos, Mr Robert von Rimscha.
“The complexity and fragmentation of the integration process make it difficult to obtain a clear overview on the actual progress,” the statement read.
“An effective and timely implementation requires a well-established monitoring system and coordination within and among agencies of different sectors.”
Dr Nam said at the workshop there was a need for agencies to work together and support necessary legislative and institutional reforms.
Mr von Rimscha said the AEC was a “political process for the benefit of business and the public”.
“The involvement of the business sector in both planning and implementation of the AEC remains a key priority,” he said.
Germany is helping Laos with its AEC integration through the Supporting Laos' Integration into Regional Markets' project, which is being jointly implemented by the Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) GmbH and the ministry's Foreign Trade Policy Department.
GIZ has supported the department in developing a detailed AEC stocktaking that outlines progress already achieved along with future timelines and responsibilities.
It will allow for the mapping of future milestones and improved cooperation between sectors.
The arrival of the AEC in 2015 will transform Asean into a region where there is a free flow of goods, services, investment, skilled labour and capital.
In the AEC Blueprint, the Asean member states agreed to reduce tariffs, improve frameworks for trade, better enforce compliance with standards and progressively open national service sectors up to cross-border supply and foreign investment.
Representatives from 17 ministries exchanged ideas and discussed the progress Laos had made on its AEC commitments at the workshop, covering various aspects of trade.
GIZ has been active in Laos since 1993 and is currently implementing projects on behalf of the German government in two main areas: rural development and sustainable economic growth.
It is also involved in regional projects like the Mekong River Commission.
vientiane times
