Switzerland works to help build inclusive societies in the Mekong region, particularly in Cambodia and Lao People's Democratic Republic (Lao PDR), by promoting equitable and sustainable development and democratic governance. To help support the rural populations, Switzerland carries out activities in local governance and citizen participation, agriculture and food security as well as vocational skills development and employment.
Strategy
Despite average annual economic growth of 7% since the early 2000s, which has enabled Cambodia and Laos to achieve progress in reducing poverty, inequality is rising and is particularly affecting rural populations who continue to depend on agricultural production for their livelihoods. The COVID-19 pandemic has caused a major socio-economic crisis that is compounding existing challenges and pushing growing numbers of people below the poverty line. The most vulnerable groups, such as women, ethnic minorities and people living in remote areas, are the worst affected by an economic model built on the unsustainable exploitation of natural resources (large-scale agribusiness, hydroelectric mega projects). Cambodia and Lao PDR, still the poorest countries in South East Asia, are striving to meet significant challenges by driving social and environmental development, diversifying the economy and strengthening inclusive growth. Although the agreement setting up the Association of Southeast Asian Nations (ASEAN) economic community entered into force in 2015, the disparities between the development levels of the poorest and more advanced countries in this region remain considerable and need to be reduced before ASEAN can emerge as a unified economic zone.
Switzerland has good, long-standing relations with countries in the Mekong region. In line with its 2018–21 regional cooperation strategy, Switzerland continues to work in Cambodia and Lao PDR while at the same time adopting a collaborative regional approach to address common development challenges with the support of specialised agencies active in the region. In 2016, Switzerland was given the status of ASEAN Sectoral Dialogue Partner, which enables it to work more closely with this major organisation in South East Asia.
Switzerland promotes gender equality, the inclusion of marginalised groups and non-discrimination in its programmes. It also includes climate change adaptation, disaster mitigation and risk reduction. A conflict-sensitive approach is essential, particularly in a post-conflict context such as Cambodia.
According to an external evaluation of the current programme for the period 2018–21, the results achieved so far are excellent: the most important development projects have for the most part met their targets and are able to deliver real improvements to people' lives and livelihoods. The evaluation confirms that governments, civil society and other development partners highly value the SDC as a development partner. Strengths mentioned in the evaluation include the professionalism and technical expertise of the SDC and its partners, Switzerland's political impartiality and role as an honest broker, its flexibility and adaptability, and its ability to engage at regional, national and sub-national levels through long-term commitments.
The cooperation programme for the Mekong region for the period 2018–21 will be followed by a cooperation programme for 2022–25 focusing on the following priority areas: a) inclusive economic growth, b) sustainable management of natural resources, climate change adaptation and disaster risk reduction, and c) good governance and the rule of law.
SDC Programming in Lao PDR
About SDC in Lao PDR
SDC has supported development projects in Lao PDR since 1990. In 2006, SDC opened a country office in Vientiane to oversee Switzerland’s development cooperation activities in the country. Since 2008, the Lao country office serves as the SDC coordination office for programming in Cambodia and Lao PDR, as well as regional project that include Myanmar and Vietnam. The office celebrated 10 years of bilateral cooperation with the Government of Lao PDR in 2016.
SDC Programming
Switzerland’s overall goal is to contribute to building inclusive societies through equitable and sustainable development and democratic governance. To this end, Switzerland contributes to poverty reduction and inclusive and equitable development in Lao PDR.
Governance and Citizen Participation
Switzerland contributes to outputs and outcomes of the 8th Lao Five-Year National Socio-Economic Development Plan (NSEDP) 2016-2020 in the areas of improving district public service delivery and poverty reduction. It will also continue to promote citizen participation; strengthen the representation and oversight role of the National Assembly and the newly-established Provincial People’s Assemblies, both considered to have a potential as drivers of change. It will stay engaged in advocacy for a strengthened role of (national) NGOs as partners in the development process and an enabling environment. Finally, Switzerland continues to facilitate more open-access socio-economic information and to create spaces to trigger debates, policy dialogue and decision-making based on evidence.
Agriculture and Food Security
Switzerland contributes to food security by improving the livelihoods of vulnerable groups. It will continue to enhance quality agricultural education, promote the sustainable use of agrobiodiversity, support farmers’ organisations and facilitate more and better rural advisory services in order to improve smallholder farmer productivity. To address high malnutrition among children and adults it emphasizes dietary diversity. Switzerland also helps to increase household capacities to cope with disaster risks and climate change impacts. Moreover, Switzerland puts more emphasis on agricultural value chains, access to markets for smallholders as well as peri-urban farming. It eases access to land by raising stakeholder awareness and participation in land use-related decision-making and conflict resolution.
Employment and Vocational Education and Training
Switzerland aims to improve the quality of skills provision and its relevance to employers and labour market needs. Ultimately, the goal of this domain is to increase the number of women and men, in particular those from disadvantaged groups, who enrol in vocational education and training and who then access gainful and decent employment and self-employment. To this intent, Switzerland also cooperates with stakeholders to strengthen the regulatory framework and delivery systems, including for informal skills provision. Throughout, Switzerland promotes private sector involvement.
Resources Allocation
SDC Actual disbursements in Lao PDR
2006-2012: CHF 75.6 million
2013-2017: CHF 83.87 million
Projected disbursements in Lao PDR
2018-2021: CHF 64 million
Planned allocations by country (in million CHF) |
||||||
2018 |
2019 |
2020 |
2021 |
Total |
% Total |
|
Mekong Region |
8 |
8 |
8 |
8 |
32 |
22% |
Cambodia |
12.5 |
12.5 |
12.5 |
12.5 |
50 |
34% |
Lao PDR |
16 |
16 |
16 |
16 |
64 |
44% |
Total |
36.5 |
36.5 |
36.5 |
36.5 |
146 |
100% |
Planned allocations by thematic domain (in million CHF) |
||||||
Domains |
2018 |
2019 |
2020 |
2021 |
Total |
% Total |
Governance, citizen participation and health |
14 |
14 |
14 |
14 |
56 |
38% |
Agriculture and food security |
12.5 |
12.5 |
12.5 |
12.5 |
50 |
34% |
Skills development and employment |
10 |
10 |
10 |
10 |
40 |
27% |
Total |
36.5 |
36.5 |
36.5 |
36.5 |
146 |
100% |
