SUMMER SCHOLARS BLOG: Aidai Kadyrova
Sabaidee from Laos!
This summer I joined Poverty Reduction Unit (recently renamed to Inclusive Growth unit) of UNDP in Vientiane, Lao PDR office as a Planning and Financing intern. This is the first time for me to travel to the region, and it has been a very enriching experience for me.
Exploring Laos
Located in the heart of Indochinese peninsula and shaped by Mekong River, Lao PDR beckons with its captivating blend of untouched natural beauty and rich cultural heritage. Laos is a haven for biodiversity, harboring a range of unique species as the country's rich and varied ecosystems, from lush forests to mountainous regions, provide ideal habitats for them. I was genuinely fascinated by the beauty of the country and such a diverse array of species: butterflies, plants and flowers!
Interestingly, when I walked into the United Nations office, I saw a big board with 18 Sustainable Development Goals (SDGs) right away, unlike globally accepted 17 SDGs. The 18th goal stated “lives safe from unexploded ordnance”. This is because Laos is the most heavily bombed country in history. During the Vietnam War, over two million tons of bombs were dropped on Laos. That left a lot of unexploded bombs behind, and demining programme is one of the top priorities of the country and the largest UNDP project.
Another interesting fact is that Lao PDR is one of the few socialist countries in the world. A government is led by the Lao People's Revolutionary Party. Socialist principles influence its economic policies and governance, and the country has implemented a series of five-year development plans aimed at guiding the country's economic and social development.
About my work
UNDP Lao PDR provides policy advice and technical support to the Government of Lao PDR to strengthen national capacities on planning, financing and implementation of pro-poor/green growth policies aimed at execution of the national socio-economic development priorities of Lao PDR and Sustainable Development Goals. Moreover, UNDP Lao PDR is currently working with the Ministry of Planning and Investment and the Ministry of Finance to launch the National Planning and Financing for Inclusive Development project (NPFID) which focuses on addressing capacity gaps and weaknesses in planning processes, including aid coordination, data and statistics for monitoring, and other aspects of financing for development through targeted capacity building assistance at technical and policy level.
Joining the office in June, I have been working on drafting three policy papers that are planned to be delivered to the respective government agencies in the framework of midterm reviews of National Socio-Economic Development Plan (NSEDP).
1. Diversification paper: While Laos experienced significant GDP growth (7%), and achieved a substantial drop in poverty, this growth was mainly driven by foreign funded capital investment in hydropower, construction and mining industries that generated only limited number of new jobs. As a result, the growth has not been inclusive, and income inequality is increasing. Therefore, UNDP particularly focuses on identifying the potential industries that could help Laos realize its economic development potential through economic diversification.
2. Development Finance Assessment: This DFA update is a baseline document for planning cycles to support the formulation of financing strategies. UNDP is closely working with the Ministry of Finance and the Ministry of Planning and Investment to identify the inefficiencies in different sources of finance from government revenue and spendings to official development assistance. I was fortunate to attend a meeting with several ministries to discuss related financing challenges.
3. Tobacco taxation analysis: Lao PDR has the lowest tobacco tax rate in the region due to regulatory inefficiencies in tobacco taxation following the investment license agreement that resulted in substantial foregone tax revenues. As the investment license agreement expires in 2026, UNDP is taking actions on providing policy recommendations to reconsider the conditions of the agreement to increase the tax collection and disincentivize the smokers.
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Our Summer Scholars Blog, a collection of reports from post-grad scholars that UNA-NYC has sponsored globally, showcases our fellows' experiences with UN agencies and non-governmental organizations in the country where they are working. Learn more about our Summer Scholars fellowship program and fellows here.