Investment value higher than planned for first 10 months of 2016
Investment value higher than planned for first 10 months of 2016
The Ministry of Planning and Investment reports that Laos saw an investment value of 41,825.68 billion kip in socio-economic development in the 10 months of this year so far, a 21.2 percent increase compared to the plan set at about 34,500 billion kip.
The value also covers 38 percent of GDP (the initial plan was to cover about 30 percent of GDP), Minister of Planning and Investment Dr Souphanh Keomixay said at the second ordinary session of parliament's 8th Legislature, which opened on Monday.
The value includes investment projects from both the state and private sectors, official development assistance (ODA), and the financial sector.
The state investment, which was approved by the National Assembly, included more than 6,200 projects that initially will use about 3,800 billion kip of the government's funds.
However, some 500 billion kip has been held over for expenditure next year, so project funds now equate to 3,300 billion kip.
For the period of 10 months, the funds used totaled around 2,941.86 billion kip, about 89 percent of the plan (3,300 billion kip), Dr Souphanh said.
He said local and foreign private investment projects are still a main driver of economic growth. This year saw 1,222 projects receive approval, valued at around 25,546 billion kip (US$3,134 million). That is about 36 percent higher than the plan which was set at around US$2,305 million.
ODA has seen expenditure towards social and cultural development with 351 projects at a cost of about 5,609 billion kip (US$688.1 million); this was 99 percent of the plan which was set at about US$695 million.
Funds from the financial sector are mainly used for production promotion. In the first six months of this year, banks issued loans or credit worth around 7,728.82 billion kip.
The stock market is also running smoothly. There are currently five companies registered on the Lao Securities Exchange, namely EDL Generation Public Company, Banque pour le Commerce Exterieur Lao Public, Lao World Public Company, Petroleum Trading Lao Public Company, and the Souvanny Home Centre Public Company.
The National Assembly (NA)'s Eighth Legislature opened its second ordinary session to debate issues of national importance.
These include the National Socio-economic Development Plan (NSEDP), the state budget, monetary policy, audit results, the work of prosecutors and judges, and approval of legislation.
NA members began their debate of the implementation of the NSEDP and state budget for 2015-16, plans for 2017, and amendments to the NSEDP and budget and monetary plans for the next four years.
