Regions and Countries

	Table of Contents
p. 15 of 20 BACK | NEXT I. Country Performance Assessment II. Country Operational Strategy III. Sector Strategies IV. Regional Cooperation V. Donor Activities and Aid Coordination VI. Cofinancing and Catalyzing External Resources VII. ADB’s Operational Program VIII. Economic and Sector Work Program IX. Local Cost Financing

Country Assistance Plans - Lao People's Democratic Republic

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IV. Regional Cooperation

82. The GMS Program is of strategic importance to Lao PDR in its transformation from a landlocked country to a "land-linked" country. The Government has demonstrated continued commitment towards the program, particularly in the transport and energy sectors. ADB assistance has played a catalytic role in the development of hydropower exports to Thailand. In the transport sector, within the planned program is the GMS: Northern Economic Corridor Project (2003) depending on the satisfactory resolution of outstanding issues pertaining to the existing concessionaire agreement. The governments of the People's Republic of China and Thailand are expected to co-finance project components. ADB is closely investigating environmental and social impacts along this corridor and will develop appropriate measures to mitigate any potential adverse effects.

83. ADB is also facilitating the removal of nonphysical barriers to transnational movement of goods and people, with particular emphasis on cross-border trade and tourism. In November 1999, a cross-border agreement facilitated by ADB was signed between Ministers of Transport from Lao PDR, Thailand and Viet Nam in Vientiane. In addition, agreement on commercial navigation on the Mekong River was signed between six GMS countries in April 2000. A GMS Business Forum will be held in Bangkok in October 2000 to enhance cooperation among private sector counterparts. Cooperation is also in progress in human resource development, and environmental and social aspects under the GMS Program. Ongoing RETA projects include: Health and Education Needs of Ethnic Minorities in GMS (1998), Strategic Environment Framework for the GMS (1998), Protection and Management of Critical Wetlands (1999), Asian Vaccination Initiatives (1999), and Subregional Environmental Monitoring and Information System II (1999). A GMS RETA for the Mekong River Tourism Infrastructure Project (1999) is expected to result in a loan project to Lao PDR in 2003 as standby depending on concurrence from the governments of Cambodia and Viet Nam. The Resettlement and Social Impact Assessment is included in the 2000 RETA program.

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