Laos Accelerates State Service Reform, Pushing Digitalization and One-Stop Approach

The Lao government convened a meeting to advance reforms aimed at making government services faster, more transparent, and more accessible to citizens. The meeting brought together deputy ministers, provincial leaders, and members of the National Steering Committee. Mr. Saleumxay, Deputy Minister, stated that the initiative reflects the Party and Government's commitment to placing citizens at the center of public service delivery by streamlining administrative procedures, strengthening governance, accelerating digital transformation, and promoting decentralization. Participants reviewed the implementation of the One-Stop State Service mechanism since its introduction in 2006 and endorsed the committee's 2026–2030 action plan. Discussions also focused on expanding services provided through One-Stop Service Centres, improving operational funding, and introducing centralized electronic payment systems for government fees through online platforms, mobile banking applications, and commercial banks. The committee was established under Government Decree No. 218/PM, issued on June 26, 2026, which defines its responsibilities in overseeing nationwide implementation of the reform. Following the meeting, ministries, government agencies, and local authorities will establish dedicated implementation committees and develop Smart One-Stop Service Centres (Smart ODSC). They will also work with relevant agencies to strengthen the legal framework and integrate sector-specific public services into a unified digital service platform. Lao PDR has shown greater resilience to the global oil shock triggered by the Middle East conflict in 2026, supported by sustained policy adjustments that helped lower inflation, stabilize the kip, rebuild foreign reserves, and improve debt dynamics. The World Bank has projected that the Lao economy will grow by 3.8 percent in 2026, warning that recent macroeconomic improvements remain fragile amid renewed global uncertainty and rising oil prices. The Ministry of Industry and Commerce has attributed the continued high prices of goods and services, despite declining fuel prices, to a combination of economic factors, while reaffirming that strict measures are being implemented to strengthen price monitoring and protect consumers. Speaking during the First Extraordinary Session of the 10th National Assembly on July 7, Minister of Industry and Commerce Malaythong Kommasith said the slow adjustment in prices reflects several underlying factors. The National Assembly Standing Committee has called on the Government to accelerate socio-economic development, maintain macroeconomic stability, and implement structural reforms to achieve the country’s 2026 development targets. The Lao economy grew by 5 percent in the first half of 2026, supported by continued expansion in the services, industry, tourism, and manufacturing sectors, Prime Minister Sonexay Siphandone told the ongoing Extraordinary Session of the National Assembly on July 6.