In preparation of the upcoming Round Table Meeting (RTM) in November this year, the fourth Trade and Private Sector Working Group (TPSWG) Meeting was held on 10 October 2013 at the National Convention Centre in Vientiane. The meeting presented current issues in the areas of trade facilitation, labor skills, and the efforts improving the business regulatory environment. In addition, the meeting discussed the preparation process for the new Government five-year development plan, the eights National Socio-Economic Development Plan (NSEDP8). The meeting drew more than 120 participants and was chaired by Mrs. Khemmani Pholsena, Vice Minister of Industry and Commerce and co-chaired by Mr. Michel Goffin, EU Charge d’ Affairs and EIF Donor Facilitator for Lao PDR and the German Ambassador to Lao PDR, H. E. Mr. Robert von Rimscha.
In her opening remarks, Mrs. Khemmani Pholsena announced that the second phase of the Trade Development Facility (TDF-2), a multi-donor trust fund, became effective in May and is now fully operational. The United States Government has most recently decided to join the TDF with contributions from the Governments of Australia, the European Union, Germany, Ireland, and the World Bank. In addition, the basis for new projects from GIZ, IDEAS Center, UK’s Trade Advocacy Fund (TAF), ADB and World Bank has been laid and are expected to start over the next few months.
Mrs. Khemmani Pholsena also emphasized the importance to act now on trade and business issues in light of the most recent WTO accession and the fast approaching ASEAN Economic Community (AEC). “With a concerted effort between the Agencies of the Government of Lao PDR, the private sector and Development Partners we can maximize the opportunities, and minimize the challenges for the benefit of the country” she said. And the TPSWG “has evolve[d] into an effective venue for dialogue and coordination between the government, development partners, and other stakeholders to promote implementation of the principles of the Vientiane Declaration on Aid Effectiveness in our sector”.
The German Ambassador discussed how the current financial and budget situation might impact businesses. “In light of such insecurities, it is all the more important that new legislation like the labour law is not perceived as impractical or as an additional burden by the private sector”, Ambassador von Rimscha said. Michel Goffin, EU Chargé d’affaires, added in this context that “there is an urgent need for better Government-Private sector collaboration and consultation. We need to involve the private sector more effectively in the law making process.”
The TPSWG is one of ten formal sector working groups under the Round Table Process and is the main forum for policy dialogue between the Government of Lao PDR and Development Partners. Participants of the forum usually come from Government, Development Partners, the private sector, and civil society. Other formal sector working include Health; Education; Governance; Macroeconomics; Infrastructure; Illicit Drug Control; UXO; Agriculture and Rural Development; and Natural Resource and Environmental Management. The TPSWG meets twice a year.
