France grants 8m euros to Laos

Laos and France signed two grant agreements in Vientiane on Friday to develop the health sector, and to fund studies to build capacity and expertise in project identification.

The agreements between the Lao government, the French Embassy, and the French Development Agency (AFD), amounted to 7 million euros (about 825 billion kip, US$8.4 million), and 1 million euros (about 110 billion kip, US$1.2 million)...more

The signing ceremony took place in the presence of the Deputy Minister of Foreign Affairs Mr Phongsavath Boupha, Minister of

Health Dr Ponmek Dalaloy, and the French Ambassador to Laos Mr Maurice Portiche. The governors of Vientiane and Savannakhet provinces were also present.

The first grant agreement, for 7 million euros, will allow support for the health sector by

targeting two priority areas. The first is the extension of the community-based health insurance system in Vientiane and in Savannakhet province.

There will also be support for efforts to eradicate emerging diseases, such as HIV/AIDS and avian flu. This second component will comprise, in particular, the construction in Laos of the future Pasteur Institute of Laos.

The projects are expected to better the general health of the population, by providing more equal access to quality health services and by enhancing control over emerging and contagious diseases. This will be AFD's first support of the health sector in the Lao PDR.

The second grant agreement, for a total of 1 million euros, is committed to the financing of studies and expertise for the purpose of project identification and preparation, feasibility and project assessment and auditing, in preparation for commitments from AFD.

The first studies to be financed by this study fund could be oriented to the preparation of a new project for heritage preservation and urban development in Luang Prabang province.

The second part involves studies for a railway track between Dongphosy and Sokkham villages in Vientiane , and the design of a train station at Sokkham village. The railway between Dongphosy and Sokkham is 9 km long.

This last project is not directly related to AFD commitments but is implemented within the framework of triangular cooperation between Laos , France , and Thailand .

By Khonesavanh Latsapaho
vientianetimes.org.la