Vientiane: The Government has announced plans to sustain national economic growth at a rate of 5-6% annually by focusing on improving production conditions and strengthening key sectors to address ongoing economic and financial challenges.
According to Lao News Agency, the government’s plan for 2026-2030 will prioritize development in sectors such as energy, agriculture, industrial manufacturing and processing, tourism, transportation and logistics, regional production chains, and technology and information. These initiatives aim to enhance economic resilience and reduce public debt to below 70% of GDP.
Deputy Prime Minister Saleumxay Kommasith presented the report on the national agenda’s implementation to tackle economic and financial difficulties at the 10th Ordinary Session of the 9th National Assembly on November 12, 2025. He highlighted the government’s strategy to bolster domestic production to substitute imports and promote exports, with a particular focus on increasing agricultural output for food security and reliable national supply chains. Key measures include reducing transportation costs, promoting local production of plant and animal varieties, and decreasing reliance on imported inputs.
Mr. Saleumxay also stressed the need to clearly define production and import zones, formulate targeted promotion policies, and allocate specific budgets to support potential goods. The government aims to encourage agricultural production for export to neighboring markets through quality certification, improved infrastructure, and domestic processing, including rubber and fertilizer production.
On the financial front, the government plans to enhance monetary and fiscal management by strengthening legislation, tools, and mechanisms for effective oversight. The strategy includes expanding the domestic revenue base to 20% of GDP through improved collection of value-added tax, excise tax, and land tax, as well as creating new revenue sources. He noted that expenditure management will adhere to principles of efficiency and frugality, alongside reforms to streamline and strengthen the state apparatus for a more compact and results-oriented governance.