Economy Measure Code Measure Currency Code Amount (Local) Amount (USD) Source Details
Lao PDR 01 01 - Liquidity Support LAK
Lao PDR 01A 01A - Short-term lending LAK
Lao PDR 01B 01B - Support policies for short-term lending LAK Bank of the Lao P.D.R. https://www.bol.gov.la/en/reservRate (accessed 12 April 2020); International Monetary Fund (IMF). https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020).

No amount/estimate: 20 March 2020, The Bank of Lao P.D.R. (BOL) announced a reduction in the reserve requirements, from 10% to 8% on foreign exchange, and from 5% to 4% on local currency, effective on 2 April 2020.

Lao PDR 01C 01C - Forex operations LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020).

No amount/estimate: April 2020, The Lao People's Democratic Republic (Lao PDR) has a managed exchange rate (crawl-like arrangement). Under this arrangement, the exchange rate has depreciated. No new balance of payment or capital control measures have been adopted.

Lao PDR 02 02 - Credit creation LAK 200,000,000,000 22,483,218
Lao PDR 02A 02A - Financial sector lending/funding LAK 200,000,000,000 22,483,218 IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 16 September 2020).

As of 10 September 2020, BOL has made available LAK200 billion for low interest rate SMEs loans through commercial banks and is preparing to allocate LAK1,800 billion as low interest bank loans for post-COVID-19 economic and business recovery.

Lao PDR 02B 02B - Support policies for long-term lending LAK
Lao PDR 02B1 02B1 - Interest rate adjustments LAK Bank of the Lao P.D.R. https://www.bol.gov.la/en/interestRate (accessed 12 April 2020); IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020).

No amount/estimate: 30 March 2020, BOL cut its policy rate from 4% to 3% for 1-week loans; from 5% to 4% for 1–2 week loans; and from 10% to 9% for 2-week to 1-year loans.

Lao PDR 02B2 02B2 - Other policies to support long-term lending LAK Bank of the Lao P.D.R. https://www.bol.gov.la/en/fileupload/31-03-2020_1585627932.pdf (accessed 12 April 2020); IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020).

No amount/estimate: 26 March 2020, BOL issued a new credit policy for those impacted, asking banks and financial institutions to restructure loans and provide new loans to businesses affected by the outbreak. Under this policy, banks and financial institutions that implement debt restructuring and new loan provisions will benefit from regulatory forbearance on loan classification and provisioning.

Lao PDR 02C 02C - Loan guarantees LAK
Lao PDR 03 03 - Direct long-term lending LAK
Lao PDR 03A 03A - Long-term lending LAK
Lao PDR 03B 03B - Forbearance LAK
Lao PDR 04 04 - Equity support LAK
Lao PDR 05 05 - Health and income support LAK 70,000,000,000 7,869,126
Lao PDR 05A 05A - Health support LAK 30,000,000,000 3,372,483 IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 9 July 2020).

May 2020, LAK30 billion has been allocated for prevention and control. As of 1 July 2020, an additional budget request of LAK23.98 billion for rapid procurement of protective and medical equipment from State Budget was under process.

Lao PDR 05B 05B - Income support LAK 40,000,000,000 4,496,644
Lao PDR 05B1 05B1 - Tax and contribution deferrals and policy changes LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 7 May 2020).

No amount/estimate: April 2020, Recent mitigation policies include: (i) deferring tax collection from tourism-related businesses for 3 months, (ii) postponing mandatory contribution to social security by affected businesses for 3 months, and (iii) extending the submission of the 2019 financial report (annual tax filing) by 1 month and road tax payment by 3 months.

Lao PDR 05B2 05B2 - Tax and contribution rates reduction LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 7 May 2020).

No amount/estimate: April 2020, Recent mitigation policies include: (i) income tax exemption for both civil servants and employees of the private sector with income less than LAK5 million per month for 3 months, and (ii) profit tax exemption for microenterprises with annual income between LAK50–LAK400 million for 3 months, (iii) duty fee exemption for imports of goods to be used toward the outbreak.

Lao PDR 05B3 05B3 - Subsidies to individuals and households LAK 40,000,000,000 4,496,644 IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 7 May 2020).

May 2020, The government has agreed with an allowance of LAK500,000 per worker who currently participates in the Social Security Scheme. Of the 170,000 members, close to 80,000 will benefit from this scheme through June 2020 (Note that the estimated amount is LAK40 billion).

Lao PDR 05B4 05B4 - Subsidies to businesses LAK
Lao PDR 05B5 05B5 - Indirect income support LAK
Lao PDR 05B6 05B6 - No breakdown (income support) LAK
Lao PDR 05C 05C - No breakdown (health and income support) LAK
Lao PDR 06 06 - Budget reallocation LAK
Lao PDR 07 07 - Central bank financing government LAK
Lao PDR 07A 07A - Direct lending and reserve drawdown LAK
Lao PDR 07B 07B - Secondary purchase: government securities LAK
Lao PDR 08 08 - International Assistance Received LAK 962,346,202,014 108,183,197
Lao PDR 08A 08A - Swaps LAK
Lao PDR 08B 08B - International loans/grants LAK 962,346,202,014 108,183,197
Lao PDR 08B1 08B1 - Asian Development Bank LAK 205,842,420,952 23,140,000 ADB

(i) 27 January 2020, USD0.60 million under the Greater Mekong Subregion Health Security Project. As of 8 June 2020, the amount increased to USD0.86 million; (ii) 7 February 2020, USD0.34 million under the Strengthening Regional Health Cooperation in the Greater Mekong Subregion-Additional Financing; (iii) 24 April 2020, USD0.75 million under the Policy Advice for COVID-19 Economic Recovery in Southeast Asia project; (iv) 17 May 2020, USD1.03 million is the estimated support under TA 9950-REG: Regional Support to Address the Outbreak of COVID-19 and Potential Outbreaks of Other Communicable Diseases. As of 30 January 2021, the estimated support amounted to USD1.14 million [update]; (v) 22 May 2020, USD20 million under the Greater Mekong Subregion Health Security Project (Additional Financing); (vi) 10 August 2020, USD0.05 million under the Sustaining the Gains of the Regional Cooperation in the Greater Mekong Subregion (Additional Financing) Project.

Lao PDR 08B2 08B2 - Other LAK 756,503,781,062 85,043,197 World Bank. https://www.worldbank.org/en/news/press-release/2020/04/08/lao-pdr-emergency-financing-for-covid-19-response-project (accessed 16 April 2020); United Nations Development Programme (UNDP). http://mptf.undp.org/factsheet/fund/COV00 (accessed 22 May 2020); US Agency for International Development (USAID). https://www.usaid.gov/news-information/coronavirus/fact-sheets/update-united-states-continues-lead-global-response-covid-19 (26 May 2020); US Embassy in Laos. https://la.usembassy.gov/united-states-announces-3-million-of-cdc-support-for%e2%80%a8covid-19-response-in-lao-pdr/ (accessed 22 July 2020). US Embassy in Laos. https://la.usembassy.gov/united-states-provides-additional-2-5-million-to-support-covid-19-response-in-lao-pdr/ (accessed 22 July 2020). Vientiane Times. http://www.vientianetimes.org.la/freeContent/FreeConten_Japan_108.php (accessed 9 June 2020). Vientiane Times. http://www.vientianetimes.org.la/freeContent/FreeConten_EU161.php (accessed 23 August 2020). Vientiane Times. http://www.vientianetimes.org.la/freeContent/FreeConten_Germent_180.php (accessed 16 September 2020); World Bank. https://www.worldbank.org/en/news/loans-credits/2020/10/22/lao-pdr-micro-small-medium-enterprise-access-to-finance-emergency-support-and-recovery-project (accessed 29 October 2020); The Laotian Times. https://laotiantimes.com/2020/11/16/cambodia-provides-2-million-face-masks-to-laos/ (accessed on 20 November 2020).

(i) 7 April 2020, The World Bank’s Regional Vice-Presidency of the East Asia and Pacific Region approved USD18 million for the Lao PDR to help the country respond to the COVID-19 pandemic. The Lao PDR COVID-19 Response Project supports preparedness and emergency response activities, including infection prevention and control, case detection and contact tracing, case management and risk communication. It also supports the upgrade of surveillance capacity and the skills of health-care workers; (ii) May 2020, USD1 million under the United Nations (UN) COVID-19 Response and Recovery Multi-Partner Trust Fund (COVID-19 MPTF); (iii) 20 May 2020, The United States through the US Agency for International Development will provide health assistance amounting to USD4.4 million; (iv) 22 May 2020, The United States has committed an additional USD3.17 million in new funding support, provided through the U.S. Centers for Disease Control and Prevention (USCDC), for prevention, preparedness, and response activities in response to COVID-19 in Lao PDR; (v) 5 June 2020, The Japanese government has provided grant aid worth over LAK123 billion (JPY1.5 billion) for the purchase of medical equipment to support Lao PDRs’ efforts to cope with a further outbreak of COVID-19. An Exchange of Notes for the grant aid project entitled “Economic and Social Development Programme” was signed at the Ministry of Foreign Affairs in Vientiane; (vi) 20 August 2020, The European Union has provided EUR2.5 million for Lao PDR under the Civil Society Action to Prevent and Mitigate COVID-19 project; (vii) As of 16 September 2020, Germany will provide about EUR1.7 million through an International Labour Organization (ILO) program to help the garment workers affected by the COVID-19 pandemic; (viii) 22 October 2020, USD40 million under Micro, Small, and Medium Enterprise Access to Finance Emergency Support and Recovery Project (Terms: Maturity = 30 years, Grace = 5 years); (ix) No amount/estimate: 14 November 2020, Cambodia decided to provide two million face masks and other medical supplies to Lao PDR.

Lao PDR 09 09 - International Assistance Provided LAK
Lao PDR 09A 09A - Swaps LAK
Lao PDR 09B 09B - International loans/grants LAK
Lao PDR 10 10 - No breakdown LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 1 May 2020).

No amount/estimate: (i) April 2020, A proposed 13-measure economic stimulus package has been endorsed by the cabinet. Measures include establishing a separate task force to address the economic impact of COVID-19; and (ii) May 2020, A new electricity tariff, to ensure supply of electricity, in effect from 1 May 2020 through 31 December 2025, has been approved. Extra efforts to ensure revenue collections through automated platforms and inspections targeting at stockpiling of essential goods are being considered.

Lao PDR 11 11 - Other Economic Measures LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 11 June 2020); 9 July 2020, 3 September 2020).

(i) As of 20 August 2020, Cuts in administrative expenses by at least 30% of the annual budget for ministries and central organizations and 10% for local authorities have been approved and intentions to cut unnecessary spending in proportion to revenue shortfall have been signaled; (ii) The Taskforce Committee has launched a fundraising campaign from the public. As of 1 June 2020, about LAK17.5 billion in cash and LAK85.5 billion in kind have been raised.

Lao PDR 12 12 - Non-Economic Measures LAK
Lao PDR 12A 12A - Measures affecting travel and transport (local and international) LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 14 May 2020, 26 May 2020, 13 June 2020); Vientiane Times. http://www.vientianetimes.org.la/freeContent/FreeConten_COVID147.php (accessed 31 July 2020); Laotian Times. https://laotiantimes.com/2020/10/02/laos-eases-covid-19-measures-allows-charter-flights/ (accessed 12 October 2020); Vientiane Times. https://www.vientianetimes.org.la/freeContent/FreeConten_Govt_23.php (accessed 5 February 2021).

(i) 4 May 2020: Travel and public transport within each province are now permitted but inter-provincial travel and public transport including air transport; (ii) 18 May 2020: In country travel and public transport are now permitted; (iii) 10 June 2020, The government announced that the last patient has fully recovered and discharged from hospital. Consequently: (a) In-country travel and public transport are fully operational; (b) With the exception of certain checkpoints allowed by the government, border checkpoints for individuals and transportation of goods, will remain closed as will all international borders. However, foreign businessmen, investors, workers for large investment projects as well as diplomats and foreign experts with proper medical certification and authorization can enter the country but have to be quarantined for 14 days; (iv) 1-31 August 2020: (a) Shuttle flights will be suspended; (b) Closure of traditional and local border checkpoints, except those permitted by the government for goods transport. International checkpoints remain closed for regular travellers, except essential crossings for Lao and foreign nationals who are permitted by the task force committee. Transportation of goods via the international checkpoints is allowed as normal; and (c) Suspending the issuing of tourist or visiting visas for those travelling from or transiting via countries where there is COVID-19 outbreak. Foreign diplomats, the staff of international organizations, experts, investors, business people, technical personnel, and workers deemed essential to take up missions in Lao PDR can enter the country upon approval by the task force committee; (v) 1 October 2020, Ban on charter flights will be eased; (vi) As of 3 February 2021, The Ministry of National Defence and the Ministry of Public Security, in cooperation with authorities in Vientiane and the provinces, especially border provinces, have been urged to strengthen border patrols until 28 February 2021 [update].

Lao PDR 12B 12B - Measures affecting business and workplace LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 14 May 2020, 26 May 2020, 13 June 2020)

(i) April 2020, Entertainment venues remain closed; (ii) 4 May 2020: (a) The new loosened measures allow the reopening of public offices and some private sector businesses and is expected to last until 17 May 2020; (b) Restaurants, hotels, resorts, guesthouses, coffee shops, barbershops, beauty salons as well as wholesale and retail outlets can resume their businesses, however, large-scale manufacturing plants and investment projects with large number of employees must abide by strict preventative measures introduced by the National Taskforce; (iii) 18 May 2020: (a) The new loosened measures allow public offices and businesses to resume and are expected to last until 1 June 2020; (b) Restaurants, food vendors, retail and wholesale outlets, fresh markets, supermarkets, personal care services as well as development projects, companies and factories are also permitted to resume operations, but must abide by strict preventative measures introduced by the National Taskforce; and (c) Border checkpoints, night markets, and entertainment venues remain closed; and (d) Price control of essential goods is still in place; (iv) 10 June 2020: (a) All schools have resumed but must ensure hygiene and distancing practices; (b) All indoor and outdoor sporting activities are now permitted and audiences are allowed, however, entertainment venues remain closed.

Lao PDR 12C 12C - Others LAK IMF. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19 (accessed 12 April 2020, 14 May 2020, 26 May 2020, 13 June 2020); Laotian Times. https://laotiantimes.com/2020/10/02/laos-eases-covid-19-measures-allows-charter-flights/ (accessed 12 October 2020).

(i) April 2020: (a) Schools remain closed; (b) Price control of essential goods is still in place; and (c) The Taskforce Committee for COVID-19 Epidemic Prevention, Control and Response is monitoring latest developments and coordinates the authorities’ response. A separate Taskforce Committee and its seven working groups are in place to address the economic impact of the crisis; (ii) 4 May 2020: (a) A nationwide lockdown has been partially lifted; and (b) large gatherings are still suspended and banned; (iii) 18 May 2020: (a) Some classes at primary, lower and upper secondary schools can resume on May 18 while all others are slated to open on June 2; and (b) All indoor and outdoor sporting activities are now permitted; (iv) 10 June 2020: (a) Large gatherings, including for traditional ceremonies and celebrations are now allowed; and (b) Price control of essential goods is still in place; (v) 1-31 August 2020, Prevention measures will be continuously imposed like closure of entertainment venues, karaoke, and gaming shops; (vi) 1 October 2020, The government has extended its COVID-19 prevention measures until October 31.