The Lao government has received, on average, 400 million USD in aid each year from foreign countries and international development and financial agencies to help the country carry out economic development and poverty reduction programmes.
Among donors, Japan took the lead, accounting for 26 percent of the total Lao aid. It was followed by China with 6 percent, according to the Asian Development Bank (ADB).
Vietnam, Germany and Israel each contributed, some 4 percent. Australia alone granted 14 million USD each year.
Among international and regional banks and organisations, ADB funds accounted for 17 percent of the country’s total aid. It was followed by the World Bank with 15 percent and the United Nations Development Programme (UNDP) with 8 percent.
Of non-refundable aid, the Lao government allocated 70 percent to economic development investment in 2000. As of 2005, the proportion fell to 62 percent./.