GDP per capita has increased from US$76 in 1975 to US$438 in 2005

Dear Friends,

30 years had passed and the performance is not that bad. Please read
this interview by PM Bounnhanh Vorachith.
Sok dee

Prime Minister Bounnhang reflects on the nation's progress.

"When we review national development, we have to consider our
beginnings as a backward economy, when people lived on a hand-to-mouth
basis," Prime Minister Bounnhang Vorachit said.

Over the past 30 years, Laos has witnessed enormous progress in its
development, Mr Bounnhang told the local press yesterday, recalling how
the country had earlier been destroyed by more than 10 years of war,
leading to a period of hardship.

Prime Minister Bounnhang reflects on the nation's progress.

"When we review national development, we have to consider our
beginnings as a backward economy, when people lived on a hand-to-mouth
basis," Prime Minister Bounnhang Vorachit said.

Over the past 30 years, Laos has witnessed enormous progress in its
development, Mr Bounnhang told the local press yesterday, recalling how
the country had earlier been destroyed by more than 10 years of war,
leading to a period of hardship.

"Under the leadership of the Party, and thanks to the patriotism of
the people and the sacrifices of all ethnic groups of Lao people and
with support from the international community, our country was able to
overcome those difficulties and begin the task of implementing national
protection and development," the Prime Minister recalled.

This year is the 30 th anniversary of Lao National Day. In the lead up
to this special anniversary, Prime Minister Bounnhang Vorachit briefed
the press on the implementation of the national development plan during
the last 30 years, particularly the achievements of the renovation
policies regarding socio-economic development plans.

The Prime Minister stressed some of the highlights of the progress
achieved by the government since liberation.

The government has maintained stability in politics, the economy and
security. This favourable situation has facilitated socio-economic
development, which has seen continuous growth.

Since, the introduction of the renovation policy in 1986, economic
growth has averaged 6 percent annually.

GDP per capita has increased from US$76 in 1975 to US$438 in 2005.

Agriculture

There are over 15,000 irrigation systems throughout the country, which
have the potential to boost agricultural production.

In 2005, the country now can produce 2.3 million tonnes of rice, up
from 400,000 tonnes in 1976, to fully meet consumption demands. This is
also enough to keep stocks of rice in reserve and to export the
surplus.

"In 1976 we did not have enough rice to eat," observed the Prime
Minister.

Infrastructure

Infrastructure relating to telecommunications, electricity, water and
roads has expanded. These systems play an important role in driving
economic growth and providing links to other countries. They are also
factors enabling the modernisation of the country's industry.

The country has about 4,497 km of paved roads, up from 1,427 km in
1976; roads with stone surfaces amount to 10,097 km, up from 4,371 km
in 1975. Dirt roads have also increased in number, and there are now
16,615 km, up from 5,664 km in 1975.

It is the policy of the government to make the country a transit route
for the ASEAN region.

The government has worked to change the country from a landlocked
nation into a land-link, connecting with other ASEAN nations and
beyond.

Work on strategic roads has been completed and others are under
construction. Road No 9 from Savannakhet province stretching to the
Vietnamese and Thai borders has already been completed, while R3
highway in the north is currently under construction. It is expected to
be completed in the middle of 2007.

Bridges linking neighbouring countries have been built, such as the
Lao-Thai friendship bridge in Vientiane and another crossing the Mekong
River in Champassak province.

The Savanakhet-Mukdahan bridge at the Lao-Thai border is under
construction and should be finished in late 2006.

The Prime Minister added that post and telecommunication systems had
seen widespread changes since 1990. Modern technologies, especially the
Internet, are being employed to facilitate local and overseas
communication.

To date, the country has a total of 772,136 fixed line connections and
mobile phones, an increase on the 2001 figure of 71,551 units and the
1975 figure of 4,600 units.

Industry and handicrafts

In 1976, there were 100 industrial and handicraft factories; now there
are 26,200.

Power and mining

Electricity and mining industries have grown rapidly since national
liberation.

Now, the country has 11 hydroelectric dams, producing 1,541 million
Kwh, up from 247 million Kwh in 1975. These meet local demand and also
supply other countries.

In the first 10 months of this year, the country earned US$19,257
million from hydropower sales.

The local electricity network is also being expanded to ensure both
urban and rural communities have access to electricity. In remote
areas, where the supply of electricity is not cost-effective, the
government is harnessing solar energy to produce electricity.

According to the government's power development plan, about 45 percent
of all families will have electricity in 2005. This will increase to 70
percent by 2010 and 90 percent ten years later.

The government aims to develop the country as a regional power hub.

The country's physical location and natural resources mean the
potential for developing hydroelectric energy in Laos is huge. This
potential is also a major source of growth and an indicator of the
country's ability to generate revenue and fulfil the government's
poverty reduction and environment conservation initiatives.

The investment policy has been clear over the past 30 years, creating
confidence among investors. The government welcomes foreign direct
investors to develop mining projects in the country.

The government is also attracting many local and foreign investors in
the development of hydropower schemes.

The US$1.2 billion Nam Theun 2 hydroelectric power project will be the
biggest power project undertaken in Laos and is located in Khammuan
province. The foundation stone of the project will be laid this Sunday.
The site will begin generating electricity in 2009.

Almost all of the 1,070 MW of electricity generated will be exported to
Thailand, providing about US$1.9 billion in revenue for the Lao
government over 25 years, beginning 2009.

Many other foreign investors have also expressed interest in investing
in mining projects in Laos .

The largest foreign investment in Laos , a gold and copper mine at
Xepon in Savannakhet province, is operated by Lane Xang Minerals
Limited. A US$230 million copper mine began production in March, 2005,
expected to produce 60,000 tonnes annually.

The mines are boosting the local economy and providing thousands of
jobs for local villagers.

Education

In addition to the economy, the government has focused on social issues
such as education and health and the protection of the nation's
traditional culture.

The education sector has grown strongly, both in quality and quantity.

Currently, 70 percent of the population is literate. This reflects a
marked contrast to the time of the previous regime, when 70 percent of
the population was illiterate. Another outstanding achievement in the
field of education is the increase in the number of higher education
institutes such as colleges and universities.

Currently, there are about 35,429 students in schools of all levels,
compared to 146 in 1975.

There are now about 1,684 teachers who have graduated from colleges and
universities, up from only 64 in 1975. There are now 38 colleges and
universities, whereas there were only 4 in 1975.

Health

The prime minister also highlighted the development in the health
sector, referring to the increase in the number of hospitals and health
services which were being accessed by people nationwide.

Currently, there are three big hospitals in the capital and 13 in the
provinces. There are also 127 district hospitals. Also, there are also
746 dispensaries and 254 private clinics.

The number of the doctors stands today at 2,000; there were none in
1976-80.

Other outstanding achievements include the elimination of polio and the
efficient tackling of disease outbreaks.

The average life expectancy is about 61 years old up from a mere 40
years in 1975.

A new start

The first National Congress met on December 1 and 2, 1975 and accepted
the abdication of the King.

The Congress resolution on 2 December 1975 declared the establishment
of "the Lao People's Democratic Republic". This historic event was
the beginning of a new era, an era of genuine independence for the
country and true freedom for the people.

By Vientiane Times
(Latest Update November 25, 2005)

.

Relevant Pages

  • Re: GDP per capita has increased from US$76 in 1975 to US$438 in 2005
    ... >> Prime Minister Bounnhang reflects on the nation's progress. ... >> Over the past 30 years, Laos has witnessed enormous progress in its ... >> the country had earlier been destroyed by more than 10 years of war, ... >> achieved by the government since liberation. ...
    (soc.culture.laos)
  • Re: GDP per capita has increased from US$76 in 1975 to US$438 in 2005
    ... > Prime Minister Bounnhang reflects on the nation's progress. ... > Over the past 30 years, Laos has witnessed enormous progress in its ... > the country had earlier been destroyed by more than 10 years of war, ... > achieved by the government since liberation. ...
    (soc.culture.laos)
  • Thais refuse to be intimidated
    ... After they overthrew the government of Prime Minister Thaksin ... basic rights anywhere in the country at any time. ...
    (soc.culture.thai)
  • Re: Bets?
    ... IF the government was run as it is supposed to be the prime minister ... would really be in charge of the country and maybe Preval would have ...
    (soc.culture.haiti)
  • Mahathir Mohamad Talkasia Transcript
    ... Mahathir Mohamad Talkasia Transcript ... Hello, I am Anjali Rao in Putrajaya, Malaysia. ... My guest today is the former Malaysian Prime Minister Mahathir Mohamad. ... Dr. Mahathir ruled his country for 22 years, taking it on as a tropical ...
    (soc.culture.malaysia)