Lasting Accessible Opportunities Country Partnership Framework for Lao PDR 2017 - 2021 The World Bank Group Country Partnership Framework aims at supporting Focus areas and objectives: Lasting Accessible Opportunities, including sustained green growth, improved Supporting Investing in people Protecting the access to human and infrastructure services, and opportunities for all. inclusive growth environment Ÿ Putting public finances Ÿ Reducing the prevalence of Ÿ Promoting environmental on a sustainable path and malnutrition protection and sustainable Context supporting financial sector Ÿ Improving quality of primary natural resources stability management Lao PDR’s development has advanced greatly in the last two decades: incomes have risen, poverty has and pre-primary education Ÿ Making it easier to do and keeping girls in school Ÿ Putting in place enhanced declined and access to key public services has improved. With GDP growth averaging 8 percent per year since business disaster risk management 2000, Lao PDR is now a lower-middle income country with a GNI per capita of around US$1,740 in 2015. Ÿ Improving access to and and climate and disaster Ÿ Investing in infrastructure quality of health services resilience However, growth has been driven mainly by exploitation of natural resources and has been less inclusive, for growth and inclusion Ÿ Reducing vulnerability and resilient, and sustainable than other countries in the region. Overall low consumption levels highlight the inclusive access to social services challenges that remain for the basic well-being of the Lao people. The World Bank Group Country Partnership Framework Cross-cutting theme: Strengthening institutions to establish a rules-based environment This new Country Partnership Framework for 2017-2021 aims to support the Government of Lao PDR’s 8th National Socio-Economic Development Plan, which is closely aligned with the Sustainable Development Goals. The targets of the Country Partnership Framework seek to accelerate progress toward the World Bank’s twin Financial envelopes and instruments goals of ending extreme poverty and boosting shared prosperity for the bottom 40 percent of the population. The World Bank expects to provide about US$240 -270 million over the next three years for new programs in Lao PDR. This is an increase of about 60 percent from the previous period over the last three years. In addition, the World Bank Group continues to finance many ongoing programs, which are valued at around US$350 million. The International Finance Corporation – a part of the World Bank which provides financing to the private sector – currently has about $48 million in investments and advisory services, and will also continue to be active. The terms of our financing is “IDA credits” – these are concessional loans which currently have interest rates of around 2%, maturity of 25 years, and a grace period of 5 years. For each target of the Country Partnership Framework, the World Bank will provide customized development solutions combining knowledge, convening capability, and financial services. World Bank Group Program 2017-2021 FOCUS AREAS: KEY INSTRUMENTS: KNOWLEDGE & CONVENING FINANCING Ÿ Macroeconomic Monitoring – Ÿ Road Sector Project II including Lao Economic Monitor Ÿ Loan to Banque Franco Lao – IFC and Public Expenditure Analysis Ÿ Loan to ACLEDA Bank – IFC Supporting Inclusive Ÿ Poverty Analysis Ÿ Loan to a commercial bank – IFC Growth Ÿ Public Finance Management Ÿ Statistics and CRVS Modernization Analytical Program Ÿ Agriculture Commercialization Ÿ Financial Sector Development Ÿ Investment in hydropower (Xekatam)– IFC Analytical Program Ÿ Public Finance Management Ÿ Trade and Competitiveness Ÿ Competitiveness and Private Sector Development Analytical Program Ÿ National Road 13 North Ÿ Rural Development / Electrification Ÿ Energy Connector Project Ÿ Civil Registration and Vital Ÿ Additional Financing for Health Governance and Statistics (CRVS) Nutrition Development Program Investing in People Ÿ Addressing Vulnerability and Ÿ Social protection system to reduce vulnerability and Malnutrition malnutrition Ÿ Pro-poor Rural Water Supply and Ÿ Universal Health Coverage Sanitation Ÿ Water Supply and Sanitation for Health Ÿ Education Sector Analytical Ÿ Education in early years Program Ÿ Mining and Hydro strategies Ÿ Mekong Integrated Water Resources Management Ÿ Energy and Extractives Analytical Additional Financing Protecting the Program Ÿ Disaster Risk Management Environment Ÿ Hydro Advisory (IFC) Ÿ Sustainable Energy and Extractives Development Technical Assistance Ÿ Green House Gas Emissions Reduction from Forests (Carbon Fund) Ÿ Forestry plantation & processing – IFC Ÿ Renewable Energy Project (hydro, solar or wind) – IFC Ÿ Green Growth Analytical Work Ÿ Green Growth Budget Support series (funding in Ÿ Knowledge Work to also contribute 2017, 2019, and 2021) Cross-cutting Theme: to strengthening of institutions Strengthening Institutions facebook.com/WorldBankLaos twitter.com/WB_AsiaPacific youtube.com/user/WorldBank worldbank.org/lao