Countries and Regions

	Table of Contents
p. 3 of 7 BACK | NEXT I. Current Development Trends and Issues II. Implementation of the Country Strategy and Program A. Progress in Poverty Reduction B. Progress in the Country Strategy and Program Focus Areas C. Highlights in Coordination of External Funding and Partnership Arrangements III. Portfolio Management Issues IV. Country Performance and Assistance Levels

Country Strategy and Program Update 2006-2008: Lao People's Democratic Republic : II. Implementation of the Country Strategy and Program

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A. Progress in Poverty Reduction

10. According to preliminary findings of the third Lao expenditure and consumption survey (LECS III) completed in 2004, the incidence of poverty, based on a minimum food consumption of 1,983 calories a day, declined to 32.7% in FY2003 from 39.1% in FY1998. In 2004, the livelihoods of 29,700 families were also upgraded, bringing them above the poverty line. Robust economic growth is expected to reduce the incidence of poverty further. The Millennium Development Goals (MDGs) progress report was officially launched in Vientiane on 18 October 2004. Progress toward achieving income and nonincome MDGs is broadly on track, although it varies among the individual targets (Appendix 1, Table A1.1).

11. In 2005, ADB began preparing a participatory country poverty analysis jointly with the Swedish International Development Cooperation Agency (Sida) and the World Bank, to build upon the LECS III findings. To support preparation of the new SEDP, a costing exercise has been undertaken to prioritize public investments envisaged under the NGPES.

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