Vietnam and Laos' first 11 months of 2021 had bilateral commerce turnover of $1.2 billion—a 33.6 percent increase over that time in 2020—despite the COVID-19 pandemic.

Within the framework of the 44th session of the Intergovernmental Committee on Bilateral Cooperation between Vietnam and Laos, the two countries' working-level meeting (SOM) was co-chaired by the Vice Chairman of the Intergovernmental Committee on Cooperation. Vietnam-Laos bilateral relations, Deputy Minister of Planning and Investment Tran Quoc Phuong and Vice Chairman of Laos-Vietnam Cooperation Committee Viengsavanh Vilayphone took place on the afternoon of January 9, in Hanoi.

This meeting assessed the implementation of the agreement on the Vietnam-Laos cooperation plan in 2021, discussed orientations and tasks for cooperation in 2022, and jointly find out effective solutions and practical initiatives to promote comprehensive cooperation between the two countries to propose to the two Governments.

Speaking at the meeting, Deputy Minister Tran Quoc Phuong said that although the situation in the world and the region is still unfavorable, especially in the complicated situation of the COVID-19 epidemic, economic, trade and investment cooperation has not yet been established. Investment between the two countries has always been interested, promoted and obtained positive results.

In 2021, despite many difficulties in the context of the COVID-19 epidemic, the two countries' trade turnover still has a growth step. Specifically, the bilateral trade turnover between the two countries in the first 11 months of 2021 will reach 1.2 billion USD, up 33.6% over the same period in 2020. It is estimated that in 2021, the two countries' trade turnover will reach 1 billion USD. .3 billion USD, up 30.3% compared to 2020.

Regarding the power purchase and sale cooperation between Vietnam and Laos implemented by the Electricity of Vietnam (EVN), there are currently 2 projects with a total capacity of 572 MW. The two sides also signed more than 20 power purchase and sale contracts (PPAs) with investors to buy electricity from Laos with a total capacity of 1,443 MW; at the same time, continue to support other projects to be developed and capable of transmitting electricity to Vietnam according to schedule.

Currently, 209 projects have been granted valid investment certificates to Laos, with a total registered investment capital of about 5.18 billion USD. In 2021, there are 5 newly granted projects and 4 capital-adjusted projects, with a total registered capital of 112.84 million USD, up 27% compared to 2020. Up to this point, the accumulated realized capital is about approx. 2.5 billion USD, equal to 48.4% of total registered capital.

Many projects continue to operate with good efficiency, fulfilling financial obligations to Lao state agencies, creating stable jobs for thousands of Lao workers, making important contributions to the process of economic regulation. of Laos.

As a result, Vietnamese enterprises have paid more than 1 billion USD to the Lao budget in the past 5 years, as well as the funding for social-security activities in Laos of Vietnamese enterprises reaching about 80 million USD.

Cooperation in the field of transportation continued to be effectively implemented. The two sides have actively coordinated to research and promote the search for capital sources for the implementation of key projects: the construction project of the Hanoi-Vientiane expressway; Vung Ang-Vientiane railway line...

In particular, 2021 will see the Lao National Assembly House project handed over to Laos on the occasion of President Nguyen Xuan Phuc's visit on August 10.

On the side of the Laos-Vietnam Cooperation Committee, Vice Chairman Viengsavanh Vilayphone noted the results of economic cooperation between the two sides in 2021; along with that, agree on the contents of the draft documents: the agreement on the Vietnam-Laos cooperation plan in 2022.

In addition to the results achieved, the two sides also pointed out that some shortcomings need to be removed and handled in the near future. Currently, a number of high-level agreements in the Vietnam-Laos Cooperation Plan 2021 have been implemented slowly and with low efficiency.

The plan to connect the two economies has been slow to implement, investment of Vietnamese enterprises in Laos has slowed down, some projects are behind schedule or have to be halted. Some difficulties and obstacles have not been resolved in a timely manner and the trade turnover has not been commensurate with the potentials and strengths of the two sides.

Based on these shortcomings, limitations and difficulties, in order to promote cooperation in 2022, at the meeting, representatives of Vietnam and Laos said that the two sides need to focus on implementing many activities and projects. projects on all investment fields; Commerce; transportation and construction; industrial, energy-mine; agriculture, forestry and rural development; finance, banking.

Specifically, the two sides focused on key solutions to support and solve immediate difficulties for businesses related to capital, taxes, import and export of goods, equipment, labor, land lease, etc. support trade promotion, search for consumption markets...; coordinate to create a stable, transparent legal framework, favorable business environment, and build investors' confidence in the project implementation process.

The two sides also consider having specific mechanisms for a number of key projects with leverage on economic cooperation between the two countries; mobilize resources to invest in special economic zones, infrastructure connection projects in the provinces of Laos bordering Vietnam and Vietnam bordering Laos.

Regarding trade and investment promotion, the two sides agreed to focus on promoting the growth of trade turnover, striving to achieve a stable increase of 10% or more compared to 2021.

Besides, Vietnam and Laos speed up the transport connection; In the immediate future, focus on researching, building and upgrading the route connecting the East-West economic corridor and connecting with the region in the transport development project in ASEAN and GMS countries. The Vietnamese side continues to create favorable conditions for the Lao side to export and import goods through all Vietnam's seaports.

At the same time, the two sides continued to effectively coordinate to implement the Memorandum of Understanding on cooperation in the development of hydropower projects in Laos, connection of the power system and electricity trading; conduct research on the possibility of connecting the power grid system between the three countries Cambodia-Laos-Vietnam. Focus on handling shortcomings, removing difficulties and obstacles and promoting Vung Ang Port Projects; Hanoi-Vientiane Expressway; electricity trading...

On the basis of thoroughly grasping the spirit of the Memorandum of Understanding between the Politburo of the two countries in 2022, Vice Chairman of the Intergovernmental Committee on bilateral cooperation between Vietnam and Laos, Deputy Minister of Planning and Investment Tran Quoc Phuong and Mr. Vice Chairman of the Lao-Vietnam Cooperation Committee Viengsavanh Vilayphone believes that the two sides will jointly promote economic cooperation and connectivity, thereby improving the efficiency of trade-investment cooperation between the two sides, striving to achieve victory. 10-year cooperation strategy (2021-2030) and 5-year cooperation agreement (2021-2025)