[{"bbox": [81, 146, 1167, 1636], "category": "Table", "text": "<table><tr><td></td><td>Government, specifically in the MOF and MOHA leadership, could diminish the current commitment and the reform decisions that were previously taken could be reversed.</td><td></td><td></td></tr><tr><td></td><td><strong>Macroeconomic stability:</strong> Lao PDR's macroeconomic situation is challenging, with high fiscal and current account deficits and debt levels, keeping the macroeconomic risk high. Increased public spending in an effort to address the country's infrastructure gap and public investment participation in the power sector coupled with revenue shortfalls has kept the fiscal deficit and public debt high.</td><td><strong>Medium</strong></td><td><strong>Medium</strong><br/>These risks are partly mitigated by the government's announced fiscal consolidation through stronger revenue collection and continued control over spending. Additionally, the ongoing reforms to strengthen public financial management, the approval of the public debt management law and the planned technical assistance by donor partners, will help strengthen MOF's role and capacity to improve public</td></tr><tr><td><strong>Risks related to people and the organisaiton</strong></td><td><strong>Institutional capacity for implementation:</strong> While the GoL has some in-house capacity on project implementation, the overall capacity is inadequate and external consultants will play a crucial role in the implementation. Due to regular staff rotations at the MOF and line ministries, there is a risk of losing built capacity and institutional memory.</td><td><strong>High</strong></td><td><strong>High</strong><br/>The proposed programme will contribute to strengthening MOF and line ministries' capacities overall and for implementation, through continuous support for the project implementation unit, which has by now gathered substantial experience and its functioning has improved.</td></tr><tr><td></td><td><strong>Corruption/ Lack of independent oversight and accountability:</strong> Corruption, policy and regulatory ambiguity, and the uneven application of laws remain disincentives to further foreign investment in the country. The new Prime Minister has expressed strong commitments to macroeconomic and fiscal consolidation, and to improve the efficiency and transparency of public administration, including fighting corruption. The current administration remains active in firing or disciplining corrupt officials, with the government and National Assembly in 2019 and 2020 disciplining more than hundreds of officials for corruption-related offenses. In 2021, the Lao State Inspection Authority identified 183 state-</td><td><strong>High</strong></td><td><strong>High</strong><br/>Continued implementation of the Public Finance Management project with the WB particularly the e-payment of taxes, strengthened procurement framework and improved budget transparency.<br/>- Policy dialogue to encourage a partnership between the Laos' State Audit Organisation and French Audit Court, and for Laos to join the Open Budget Initiative.<br/>- Continued implementation of the CEGGA governance programme to strengthen the legal and regulatory framework and law enforcement.</td></tr></table>"}, {"bbox": [1026, 1679, 1142, 1704], "category": "Page-footer", "text": "Page 13 of 25"}]