ADB and Lao PDR Sign Grant for Health System Development Project
VIENTIANE, LAO PEOPLE’S DEMOCRATIC REPUBLIC - The Asian Development Bank (ADB) and the Government of the Lao People’s Democratic Republic (Lao PDR) signed a US$13 million grant for a project to improve health and nutrition, particularly among the poor, women and children, and ethnic groups in the country. HE Mrs. Viengthong Siphandone, Vice Minister of Finance, signed on behalf of the Lao PDR Government and James Nugent, Country Director for ADB’s Resident Mission in the Lao PDR, signed for ADB. The Government of the Lao PDR has committed to reducing poverty and achieving the Millennium Development Goals (MDGs), and has identified the health sector as one of four priority sectors in the sixth national socioeconomic development plan. The Ministry of Health has prepared the Health Development Plan (2006-2010) to address the sector challenges, including moving toward a decentralized and results-based approach, integrating primary health care, improving maternal and child health and nutrition, developing human resources, improving health sector financing, and harmonizing external assistance. ADB’s grant comes from its Asian Development Fund, representing 87% of the total cost of the project. The balance will be met by the Government. The Health System Development Project will improve primary health care delivery in the eight northern provinces, and will strengthen Ministry of Health capacity for health system development nationwide, including planning and budgeting, financing, human resource development and coordination. The Project has two corresponding components and is based on a two-phased concept covering 8 years, with the Ministry of Health as the Executing Agency. The Project targets the rural poor, women and children, and ethnic groups. The country is lagging behind its MDGs because of high mortality and morbidity among these groups. Highly cost-effective interventions will help Lao PDR in achieving the MDGs. At project completion, health behavior, coverage of essential services, and health system performance will have improved. Substantial capacity will have been built up at the Ministry of Health and the provinces for results-based planning, budgeting, financing, human resources, and administration towards a comprehensive program approach. About ADB |  |
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