Government to Strengthen Production in Priority and Strategic Economic Sectors

12/11/2025 15:07
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KPL The Government will continue efforts to sustain national economic growth at a rate of 5–6% per year, with a focus on improving production conditions and strengthening key sectors to overcome ongoing economic and financial challenges.


Under the plan for 2026–2030, the government will prioritise development in the energy, agriculture, industrial manufacturing and processing (including mineral processing), tourism, transportation and logistics, regional production chains, and technology and information sectors. These efforts aim to reinforce economic resilience and reduce public debt to below 70% of GDP.

Deputy Prime Minister Saleumxay Kommasith presented the report on the implementation of the national agenda for addressing economic and financial difficulties at the 10th Ordinary Session of the 9th National Assembly on 12 November 2025.

He emphasised the government’s strategy to strengthen domestic production for import substitution and export promotion, particularly by boosting agricultural output to ensure 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 highlighted the importance of clearly defining production zones and import zones, formulating targeted promotion policies, and allocating specific budgets to support potential goods. The government will also encourage agricultural production for export to neighbouring markets through quality certification, improved infrastructure, and domestic processing — including rubber and fertiliser production.

On the financial front, the government will continue to enhance monetary and fiscal management by strengthening legislation, tools, and mechanisms for effective oversight. Plans include 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 added that expenditure management will follow principles of efficiency and frugality, alongside reforms to streamline and strengthen the state apparatus to make it more compact and results-oriented.

KPL

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