Lao People's Democratic Republic: Governance and Capacity Development in Public Sector Management Program - Subprogram 1

Sovereign Project | 46059-001 Status: Active

Summary

ADB is supporting reforms in public sector governance and management in the Lao People’s Democratic Republic. The project will help implement multiyear budgeting and intergovernmental fiscal relations and strengthen civil service capacity. It will also assist in improving the public sector’s capacity for investment management and identifying potential public private partnerships.

Latest Project Documents

Consulting Notices See also: CMS

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Procurement Notices See also: Operational Procurement

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Procurement Documents


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Project Name Governance and Capacity Development in Public Sector Management Program - Subprogram 1
Project Number 46059-001
Country Lao People's Democratic Republic
Project Status Active
Project Type / Modality of Assistance Grant
Loan
Source of Funding / Amount
Grant 0308-LAO: Governance and Capacity Development in Public Sector Management Program - Subprogram 1
Asian Development Fund US$ 7.50 million
Grant 0309-LAO: Governance and Capacity Development in Public Sector Management Program - Subprogram 1
Asian Development Fund US$ 6.00 million
Loan 2905-LAO: Governance and Capacity Development in Public Sector Management Program - Subprogram 1
Asian Development Fund US$ 2.50 million
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Sector / Subsector

Public sector management - Public expenditure and fiscal management

Gender Equity and Mainstreaming Effective gender mainstreaming
Description
Project Rationale and Linkage to Country/Regional Strategy
Impact

Project Outcome

Description of Outcome
Progress Toward Outcome In progress
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues) In progress
Geographical Location

Summary of Environmental and Social Aspects

Environmental Aspects The program will have no adverse environmental impacts.
Involuntary Resettlement The program will have no involuntary resettlement impacts.
Indigenous Peoples The program will have no impact on indigenous peoples.
Stakeholder Communication, Participation, and Consultation
During Project Design Governance is a key strategic priority under the NSEDP7. The government has adopted several measures, including a long-term strategic plan, to implement public sector governance reforms. The government is committed to strengthening the PFM system under the ongoing Public Financial Management Strengthening Program (PFMSP). The National Governance and Public Administration Reforms (NGPAR), 2011 2015 seek to ensure an accountable and effective civil service at all levels. Major political reforms are under way to strengthen districts as the primary administrative units for service delivery, as a precursor to fundamental reforms in intergovernmental financial arrangements. In addition, gender equality and women's empowerment issues have been prioritized in the national development plans, including the National Strategy for the Advancement of Women (NSAW), 2011 2015. The business regulatory environment continues to be streamlined and a broad range of economic reforms has resulted in an improved investment climate, trade, and private sector development. The Lao PDR is geographically well placed to attract foreign investment from the rest of the Greater Mekong Subregion and from the Association of Southeast Asian Nations, and private sector participation. Regular consultations were held with the Government and the program priorities are aligned with government reform priorities, and are well coordinated with development partners. The program is consistent with key objectives of the NSEDP7 that underline the link between good governance and broader development goals. Support to the PFMSP, NGPAR, and NSAW goals maximizes harmonization and ownership. Using a programmatic approach, the program seeks to sequence high-impact policy reforms, which allows reforms to be phased in over the medium term. Development partners recognize that the lack of institutional capacity in the public sector is a crosscutting challenge.
During Project Implementation

The implementation period for subprogram 1 is from January 2010 to July 2012, and the implementation period for subprogram 2 is from August 2012 to September 2014. The executing agency for the program is the MOF. As the executing agency, the MOF will be responsible for the overall implementation of subprogram 1 including disbursements, maintenance of all program records, and communicating with ADB on behalf of the government.

The project implementation period commenced from July 2013, and inception period is over, and the implemenation of major activities for all the three components have commenced. Inception mission was jointly undertaken by the Ministry of Home Affairs, the Executing Agency for the project, and with full participation from the Ministry of Finance (MOF), Ministry of Home Affairs, and Ministry of Planning and Investment, including Ministry of Education and Sports and Ministry of health. Regular consultations will also continue with the private sector on the policy initiatives concerning public private partnership projects under component 3 of the project.

Component 1: A consulting firm (PWC) has already ended its contract and have already submitted its final report. Almost all of the activities under this component has been accomplished.

Component 2: A consulting firm (VICA) has been engaged since June 2013 to undertake the tasks under this component. The Team Leader's contract was extended up to May 2016. Various trainings/meetings have been conducted by the firm. There are some activities which are not yet accomplished under this component.

Component 3: Under the PPP component, Rebel Group already ended its contract and has submitted its final report. The process of recruiting a firm to do the feasibility studies for the Ministry of Health and Ministry of Education pilot PPP projects is being started. An international contract management expert was engaged to assist MONRE for the land lease component. The expert's final report was already submitted and endorsed by the implementing agency. An IT expert was also engaged to help MONRE with their server upgrade and system setup.

A review mission was recently undertaken to review the implementation progress of components 1, 2 and 3. There is a proposal for an extension of the Grant closing date to enable the government to finish all pending activities, and for the firm (to be engaged) to complete the feasibility studies. Project team will continue to coordinate with the EA, the implementing ministries, and individual consultants engaged under the project.

Business Opportunities

Consulting Services A total of 119 international and 150 national consulting services will be recruited under the project grant.
Procurement Procurement of IT equipment and vehicle.

Responsible Staff

Responsible ADB Officer Agustina Musa
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Public Management, Financial Sector and Trade Division, SERD
Executing Agencies
Ministry of Finance
That Luang Road
P.O. Box 46, Vientiane, 23 Singha Road
Lao People's Democratic Republic of
Ministry of Home Affairs
Vientiane, Lao PDR

Timetable

Concept Clearance -
Fact Finding -
MRM -
Approval -
Last Review Mission -
Last PDS Update 10 May 2016

Grant 0308-LAO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
27 Sep 2012 23 Oct 2012 07 Dec 2012 31 Mar 2013 - 31 Mar 2013
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 7.50 Cumulative Contract Awards
ADB 7.50 27 Sep 2012 7.50 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 27 Sep 2012 7.50 0.00 100%

Grant 0309-LAO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
27 Sep 2012 23 Oct 2012 14 Dec 2012 31 Jul 2016 - -
Financing Plan Grant Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 6.50 Cumulative Contract Awards
ADB 6.00 27 Sep 2012 4.29 0.00 71%
Counterpart 0.50 Cumulative Disbursements
Cofinancing 0.00 27 Sep 2012 4.00 0.00 67%

Loan 2905-LAO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
27 Sep 2012 23 Oct 2012 07 Dec 2012 31 Mar 2013 - 31 Mar 2013
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 2.50 Cumulative Contract Awards
ADB 2.50 27 Sep 2012 2.55 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 27 Sep 2012 2.55 0.00 100%

Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.

Evaluation Documents See also: Independent Evaluation

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Related Publications

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