The new Centre for Regulatory Impact Assessment for Draft Legislation (RIA Centre) was officially launched in Vientiane yesterday to help government authorities improve the quality of legislation to support the growth of small and medium sized enterprises (SMEs) and the private sector and improve the competitiveness of the Lao economy.
The RIA Centre, located in the Ministry of Justice, will support government authorities in assessing the impacts of draft legislation on businesses, individuals and government by providing advice, training and raising awareness of regulatory impact assessment (RIA) across the Lao PDR.
The launch ceremony, which was chaired by the Minister of Industry and Commerce, Ms Khemmani Pholsena, was attended by senior representatives from across the public and private sectors, Asian Development Bank (ADB), other development partner country directors and the National University of Laos. The RIA Centre was officially launched by the Deputy Minister of Justice, Prof. Ket Kiettisak.
“This is a significant milestone in the development of the legislation making system in the Lao PDR,” Prof. Ket said.
“The requirements in undertaking impact assessment are based on regulatory best practice in developed countries, particularly Australia, but adapted to Laos’ circumstances.
These requirements are to ensure a consistent quality through detailed, systematic and transparent analysis, as well as ensuring that the draft legislation achieves its objectives and avoids unintended consequences,” he said.
The establishment of the RIA Centre is a key achievement under the Asian Development Bank’s (ADB) Support for Private Sector and the Small and Medium-Sized Enterprises Development Programme with the Laos Government. Under the Programme, the ADB is assisting the Laos Government to implement a RIA system suitable to the Lao PDR that supports development of SMEs. This support for RIA began in 2011, and will continue on to 2017, assisting the RIA Centre implement RIA across the Lao Government.
Ms Shigeko Hattori, Director of Public Management, Financial Sector and Trade Division, Southeast Asia Department of ADB said that RIA is critical to the development of SMEs and the private sector in Lao PDR.
“The RIA process helps legislators put in place a more effective and efficient legislative environment by requiring better consideration of the purpose, options, impacts and costs of legislation.
For SMEs and the private sector, RIA provides a strong focus on the cost of doing business. It targets the removal and prevention of unintended and unnecessary negative impacts and costs from legislation on business.”
Ms Khemmani Pholsena said that the implementation of RIA in the Lao PDR is important and timely, given Laos’ GDP growth targets, participation in the global economy, and commencement of the ASEAN Economic Community in 2015.
“To develop our private sector and SMEs, our businesses and business environment must be competitive and attractive in the global economy. We must remove and prevent unintended consequences and unnecessary costs on business, reduce our costs in doing business so businesses and investors are freed up to compete – both in domestic and international markets,” she said.
“This is why RIA is necessary to the future development of Laos’ private sector and SMEs.
The RIA Centre will play a pivotal role in implementing RIA in the Lao PDR, and support this more analytical and evidence-based approach to creating an effective, efficient and business-enabling legislative environment.”
(Source: Vientiane Times)
