Investment Handbook for Lao PDR

Tel: 021-217012, Fax: 021-215491
www.investlaos.gov.la
www.facebook.com/investlaos.gov.laTable of Contents
Preface
Part 01 Investment Promotion Agencies ................................................................1
1.1

Ministry of Planning and Investment ..............................................................1

1.2

Investment Promotion Department.................................................................1

1.3

Investment One Stop Service Office ............................................................. 2

1.4

Committee for Investment Promotion and Management (CIPM) ........................ 5

1.5Enterprise Registration and Management Department, MoIC ........................... 7

Part 02 Investment Incentives .............................................................................. 8
2.1

Investment Incentives ................................................................................. 8

Part 03 Investment Activities .............................................................................. 15
3.1

Forms of Investment .................................................................................. 15

3.2 Types of Investment...................................................................................16
Part 04 General Investment Procedure ................................................................ 18
4.1

Business Activities Under the Controlled Business List ................................... 18

4.2 Business Activities Outside the Controlled Business List .................................19
Part 05 Concession Investment Procedures ........................................................ 27
5.1

Concession Investments in the Agriculture Sector ........................................ 28

5.2 Concession Investments in the Mining Sector .............................................. 26
5.3 Concession Investments in the Energy Sector .............................................. 35
5.4 The Development of Special Economic Zone (SEZ) ...................................... 34
5.5 Public Private Partnership (PPP) ................................................................. 45
Part 06 The Representative Office ...................................................................... 48
6.1. Application for Establishing the Representative Office .................................. 48
6.2. Conditions for Establishing the Representative Office ................................... 48
6.3. Application for Establishing the Representative office ................................... 48
Annex 1 Lists of Investment Promotion Activities ...................................................... 49
Annex 2 Lists of Districts in Each Investment Promotion Zones .................................. 68
Annex 3 List of Supporting Document for Investment Incentive Application ................. 76
Annex 4 Fee for the Enterprise Registration Certificate ............................................. 74
Annex 5 Land Concession Rate in Mining Activities ................................................. 75
Contact Information ...........................................................................................77
References ........................................................................................................ 80

Tables
Table 1 Profit Tax Incentives by Zones and Business Sector ........................................................ 10
Table 2 Exemption of State Land Rental and Concession Fee by Zones and Business Sector ........ 10
Table 3 Scope of Responsibility in Enterprise Registration......................................................... 20
Table 4 The amount of the project guarantee fund for MOU and CA ......................................... 26
Table 5 Mining Concession Approval Level ............................................................................. 28
Table 6 Deposit Guarantee Fund for Mining Development ........................................................ 30
Table 7 Summarizes the investment approval levels .................................................................. 33
Table 8 Guarantee Fund deposit ............................................................................................ 34

FigureFigure 1 Central Investment One Stop Service Office Structure ................................................... 3
Figure 2 Provincial Investment One Stop Service Office Structure ............................................... 4
Figure 3 Central Committee for Investment Promotion and Management Structure ........................ 6
Figure 4 Provincial Committee for Investment Promotion and Management Structure .................... 7
Figure 5 List of Promoted Business Sectors ............................................................................... 8
Figure 6 Definition of Each Promoted Zones ............................................................................. 9
Figure 7 Import Plan (Master List) Approval Process .................................................................. 14
Figure 8 Procedures for Business Activities under the Controlled Business List ............................ 18
Figure 9 Procedures for Concession Investment Activities ........................................................ 23
Figure 10 Procedures for Agriculture Concession .................................................................... 24
Figure 11 Procedures for Mining Concession ...........................................................................27
Figure 12 Procedure for Energy Concession ........................................................................... 32
Figure 13 SEZ Management Structure ..................................................................................... 35
Figure 14 Procedure for SEZ Development Concession ............................................................37
Figure 15 Services provided by the One Stop Service Unit in SEZ ............................................. 38
Figure 16 Procedures for consideration and approval in investment within SEZ .......................... 39
Figure 17 Procedures for Consideration of Solicited Proposals (SP) for Partnership Projects ........ 45
Figure 18 Procedures for Consideration of Unsolicited Proposals (USP) ..................................... 46

ABBREVIATION
BOT
CA
CIPM
CCIPM
COSO
Day(s)
DPI
DoIC
DoF
DoNRE
DEM
DAF
DLSW
DPWT
DICT
DPS
EIA
IEE
EMMP
ERM
FS
IIC
IPD
IP
LPRP
NSEDP
MAF
MEM
MICT
MLSW
MoF
MoIC
MoNRE
MOU
MPI
MPS
MPWT
OSO

Build-Operate-Transfer
Concession Agreement
Committee for Investment Promotion and Management
Central Committee for Investment Promotion and Management
Central Investment One Stop Service Office
Official Working Day(s)Department of Planning and Investment
Department of Industry and Commerce
Department of Finance
Department of Natural Resources and Environment
Department of Energy and Mines
Department of Agriculture and Forestry
Department of Labor and Social Welfare
Department of Public Works and Transport
Department of Information, Culture and Tourism
Department of Public Security
Environment Impact Assessment
Initial Environmental Examination
Environment Management and Monitoring Plan
Enterprise Registration and Management Department
Feasibility Study
Investment Incentive Certificate
Investment Promotion Department
Investment Promotion
Lao People’s Revolutionary Party
National Socio-Economic Development Plan
Ministry of Agriculture and Forestry
Ministry of Energy and Mines
Ministry of Information, Culture and Tourism
Ministry of Labor and Social Welfare
Ministry of Finance
Ministry of Industry and Commerce
Ministry of Natural Resource and Environment
Memorandum of Understanding
Ministry of Planning and Investment
Ministry of Public Security
Ministry of Public Works and Transport
Investment One Stop Service Office

OPPP
PCIPM
PDA
PPP
PPPO
POSO
SEZ
SEZA
SEZO
SP
TIN
USP

Offece of Public-Private Partnership
Provincial Committee for Investment Promotion and Management
Project Development Agreement
Public Private Partnership
Public Private Partnership Office
Provincial Investment One Stop Service OfficeSpecial Economic Zone
Special Economic Zone Authority
Special Economic Zone Office
Solicited Proposal
Tax Identity Number
Unsolicited ProposalPreface
In order to achieve sustainable development and green growth, the Government of
Laos strives to attract more private investments into the country, which resulted in the gradually
growth of private investment that play a significant role in bringing capital, new technology,
innovation, and know-how to the country and can enable Lao businesses to access bigger
markets. Ministry of Planning and Investment plays a key role in coordinating with all line
agencies to promote and regulate investment in accordance with the Law on Investment
Promotion (2016) and other relevant regulations. The Investment One Stop Service wasestablished at the Ministry of Planning and Investment in August, 2018 to provides
comprehensive services for investors such as providing investment related information,
facilitating investment application and approval processes, and issuing Investment Licenses
and various investment related notices. However, misperception regarding investment
regulations, procedures and responsible agencies remains persistent among some private
sector and public agencies.
Therefore, the main objective of this Handbook is to provide guidance and reference
for investors and government officials to both acknowledge and fully understand regulations
and rules regarding investment processes in Lao PDR.
We hope that this Investment Handbook will be useful to everyone. To further improve
the quality of the Investment Handbook in the future, we sincerely welcome your constructive
feedbacks.

MinisterPart 01
Investment Promotion Agencies
1.1

Ministry of Planning and Investment
The main role of the Ministry of Planning and Investment “MPI” is to supervise

macro policies regarding development planning and investment, national statistics, strategy,
develop and implement the National Socio-Economic Development Plan (NSEDP), establish
mechanisms and policies related to economic management, and to promote and manage
domestic and foreign direct investment and Special Economic Zones (SEZ) throughout thecountry. MPI is a focal point for improving the business environment to attract foreign
investment and oversees public investment. MPI is also responsible for mobilizing andmanaging Official Development Assistance (ODA) funds on bilateral and multilateral levels.
One of MPI’s roles is conducting research and providing recommendations on economic
and development policies including measures to minimize economic impacts to Lao PDR andestablishing a National Statistics database to serve the public.1

1.2

Investment Promotion Department
The Investment Promotion Department “IPD” at MPI, acts as the Central Investment

One Stop Service Office (COSO) to coordinate, analyze, report, address and facilitate
investment procedures. It also works to attract, promote, protect, and regulate private
investment and Public Private Partnership (PPP) in accordance with Law on Investment
Promotion (2006). The main roles and responsibility of IPD are highlighted as below:-

To be the focal point for promoting and regulating private investment, PPP in Lao PDR
and Overseas Investment by coordinating with relevant departments at the central andlocal levels under Investment One Stop Service mechanism and serves as thesecretariat of the Central Committee for Investment Promotion and Management(CCIPM);-

Develop laws and regulations, strategy and policies to attract, promote, protect andregulate investment;-

To be a center for information and investment statistics and collect and provide initial
explanations on various concerns of investors and developers;

1

Decree on Role and Function of MPI, Prime Minister No.201/PM, dated 30 June 2017.

Investment Promotion Agencies01-

To consider investment applications for concession investments including PPP
projects, Controlled Business Activities, representative office establishment andoverseas investments in accordance with the guidelines, the socio-economic
development policy in each period, laws and regulations of Lao PDR in coordination
with relevant central and local authorities;-

Review and provide comments for proposals and requests related to domestic andforeign investment to report to the meeting of the CCIPM for consideration, approval,
rejection or guidance on requests in accordance with laws and regulations;-Prepare, research, and negotiate Memorandum of Understanding (MOU), various
types of concession agreements and legal documents related to domestic and foreign
private investment in Lao PDR in accordance with laws and regulations;-

Draft Investment License, License to establish a representative office, License forOverseas Investment, Investment Incentive Certificate (IIC), annual import plan
certificate, investment suspension notice, warning notification in case the investor ordeveloper fail to implement investment project base on the MOU and investment
agreement in or non-compliance with laws and regulations;-

Draft termination notices for MOU and investment agreements; notices for Investment
License revocations, notices for renewal or expiration of MOU and investment
agreements for approval in accordance with regulations;-Support, monitor, inspect and recommend solutions to address investment issues at
the higher level;-

Facilitate, monitor and regulate investors and their families, experts, technicians andforeign workers in Lao PDR;-Manage and utilize grants and technical assistance from foreign countries andinternational organizations in the Department in accordance with the projects’
objectives and relevant regulations.

1.3

Investment One Stop Service Office
The Investment One Stop Service Office or OSO is the permanent office of theCommittee for Investment Promotion and Management (CIPM) that provides a number ofservices to facilitate investment process for investors. The Investment One Stop Service Officeconsists of two levels as follows: Central Investment One-Stop Service Office (COSO), andProvincial Investment One-Stop Service Office (POSO).
❑ CENTRAL INVESTMENT ONE STOP SERVICE OFFICE (COSO)
The COSO is located at MPI. COSO consists of representatives from IPD, MPI and

Investment Promotion Agencies

02

non-standing representatives from Ministry of Industry and Commerce (MoIC), Ministry of
Finance (MoF), Ministry of Natural Resources and Environment (MoNRE), Ministry of Energy
and Mines (MEM), Ministry of Agriculture and Forestry (MAF), Ministry of Labor and Social
Welfare (MLSW), Ministry of Public Works and Transport (MPWT), Ministry of Information,
Culture and Tourism (MICT) and Ministry of Public Security (MPS).
Each ministry or ministry-equivalent body has to establish a coordinating unit for OneStop Service under the supervision of its minister or deputy minister who is a member the
CCIPM.2
Figure 1: Central Investment One Stop Service Office Structure
MoIC
MPS

MoF

COSO

MICT

MoNRE

MPI
MPWT

MEM
MLSW

MFA

Service Provisions-

Process the application for Investment License and IIC, establishment of representative
office of foreign company;-

Provide service on facilitating application for business visa, multiple-entry visa, work
permit and stay permit card;-

Facilitate the application for the legal changes of businesses in controlled businesslist and concession activities, Special Economic Zone (SEZ), Public-Private
Partnership (PPP), Overseas investment and the representative office;-Provide relevant investment information;

In accordance with the Decision on Implementation and Functioning of the Investment One Stop2

Service Office and Coordinator of Central Investment One Stop Service Office, No. 002/CCIPM, dated August20, 2018.

Investment Promotion Agencies

03

-

Coordinate with concerned public agencies for enterprise registration and/or for a
Business Operating License;-

Other services related to investment promotion.

❑ PROVINCIAL INVESTMENT ONE STOP SERVICE OFFICE (POSO)
The POSO is located at the Department of Planning and Investment (DPI) of theprovince. POSO consists of representatives from Department of Planning and Investment(DPI), Department of Industry and Commerce (DoIC), Department of Finance (DoF),
Department of Natural Resources and Environment(DoNRE), Department of Energy and
Mines (DEM), Department of Agriculture and Forestry (DAF), Department of Labor and Social
Welfare (DLSW), Department of Public Works and Transport (DPWT); Department ofInformation, Culture and Tourism (DICT) and Department of Public Security (DPS) at theprovince.
Each provincial department has a duty to establish its coordinating unit for One-Stop
Service under the supervision of Director General of the relevant departments who is amember the Provincial Committee for Investment Promotion and Management.
Figure 2: Provincial Investment One Stop Service Office Structure

DoIC

DPS

DICT

DoF

POSO

DPWT

DoNRE

DEM
DLSW

DoFA

Service Provisions-

Process Investment License and IIC;-

Provide service on application for business visa, multiple-entry visa and work permitand stay permit;

Investment Promotion Agencies

04

-

Provide service on the application for legal changes for enterprises in Controlled
Business Activities and Concession Activities;

1.4-

Provide relevant investment information;-

Other services related to investment promotion.

Committee for Investment Promotion and Management(CIPM)The Committee for Investment Promotion and Management (CIPM)3 is non-permanent

office that supports the government and local authorities in formulating policy frameworks,
considering and approving investment applications for Controlled Business and Concession
activities, and address investment related issues as roles and responsibilities stipulated in
relevant law and regulations4. The Committee consists of two levels:
Committee for Investment Promotion and Management at central level (CCIPM) andCommittee for Investment Promotion and Management at provincial level (PCIPM).
❑ CENTRAL COMMITTEE FOR INVESTMENT PROMOTION AND MANAGEMENT (CCIPM)
CCIPM consists of:1) Deputy Prime Minister as chair;
2) Minister to the Ministry of Planning and Investment as deputy chair and standing
member;3) Minister to the Ministry of Industry and Commerce as deputy chair;
4) Deputy Minister to the Ministry of Planning and Investment as standing member;5) Deputy Minister to the Ministry of Finance as member;6) Deputy Minister to the Ministry of Natural Resources and Environment as member;7) Deputy Minister to the Ministry of Energy and Mines as member;8) Deputy Minister to the Ministry of Agriculture and Forestry as member;9) Deputy Minister to the Ministry of Labor and Social Welfare as member;
10) Deputy Minister to the Ministry of Public Works and Transport as member;
11) Deputy Minister to the Ministry of Information, Culture and Tourism as member;
12) Deputy Minister to the Ministry of Public Security as member;On the 22nd August 2022, Prime Minister’s Office issues the Notification No. 91/PMO to terminate the
CIPM in approving concession and controlled business activity. The government is in the process of revising
Investment Promotion Law regarding investment approval process.
4
Law on Investment Promotion (2016) and the Decree on Implementation of the Committee for Investment
Promotion and Management, No. 05/PM, dated 05 January 2018.
3

Investment Promotion Agencies

05

Figure 3: Central Committee for Investment Promotion and Management Structure
Deputy Prime Minister
Chairman of CCIPM

Deputy Minister of MPS

Deputy Minister of MICT

Deputy Minister of MPWT

Deputy Minister of MLSW

Minister of MoIC
Deputy Chair

Deputy Minister of MAF

Deputy Minister of MEM

Deputy Minister of MoNRE

Deputy Minister of MOF

Deputy Minister of MPI

Minister of MPI
Deputy Chair and Standing Member❑ PROVINCIAL COMMITTEE FOR INVESTMENT PROMOTION AND MANAGEMENTPCIPM consists of:1)

Provincial Governor, Capital Mayor as chair;

2) Vice Governor, Deputy Mayor as deputy chair;
3) Director General of Department of Planning and Investment as standing member;
4) Director General of Department of Industry and Commerce as member;5) Director General of Department of Finance as member,
6) Director General of Department of Natural resources and Environment as member,
7) Director General of Department of Energy and Mines as member;
8) Director General of Department of Agriculture and Forestry as member;
9) Director General of Department of Labor and Social Welfare as member;
10) Director General of Department of Public Works and Transport as member;
11) Director General of Department of Information, Culture and Tourism as member;
12) Director General of Department of Public Security as member.

Investment Promotion Agencies

06

Figure 4: Provincial Committee for Investment Promotion and Management Structure

1.5

Director General of Department of
Public Security

Director General of Department ofInformation, Culture and Tourism

Director General of Department ofPlanning and Investment as standing
memberDirector General of Department of
Public Works and TransportaDirector General of Department ofLabor and Social Welfare

Director General of Department ofAgriculture and Forestry

Vice Governor/Deputy
Capital Mayor
Deputy Chair

Director General of Department ofEnergy and Mines

Director General of Department of
natural resources and environment

Director General of Department of
Finance

Director General of Department ofIndustry and Commerce

Provincial
Governor/Capital Mayor
Chairman of PCIPM

Enterprise Registration and Management Department,
MoIC
The Enterprise Registration and Management Department “ERM” at Ministry ofIndustry and Commerce (MoIC) regulates enterprise registration as following detailed
functions5:
1. Manage all types of enterprise registrations (state, mixed, cooperation and private
enterprise);
2. Enterprise registration services for investors;
3. Collect, manage and provide enterprise information to the public;
4. Enhance the business environment or promote business establishment for investors.
In addition to the four roles mentioned above, the Enterprise Registration andManagement Department also has a duty to provide relevant legal advice to investors.

5

Decision on the Role and Function of the Enterprise Registration and Management Department No.

1752 , dated 19 September 2016.

Investment Promotion Agencies

07Part 02
Investment Incentives
2.1

Investment Incentives
The Government promotes both domestic and foreign investment by developing afavorable investment climate, including construction of infrastructure, providing necessary
information, clearly communicating information on customs and tax policies, labor, and therights to land use; providing access to finance, maintaining equal treatment, promoting
awareness and protecting ownership regarding use rights, usufruct rights, inheritance rights,
transfer rights, and other rights as provided by law.
The Government promotes investment in all sectors, in business operations and inareas throughout the country except for areas and business operations which are considereddetrimental to national security, the natural environment, and public health and national culture
at present and in the long-term.
Investment incentives consist of:
1. Incentives by business sector;
2. Incentives by zone;
3. Incentives on tax and land lease or land Concession.

2.1.1 Investment Incentives by Business Sectors
Figure 5: List of Promoted Business Sectors
1. Applying high and modern technology, scientific research,
research and development, innovation, environmentally friendly
practices, and efficient use of natural resources and energy;
2. Clean agriculture, toxic-free agriculture, seed production, animal
breeding, industrial crop and plant plantation, forestry development,
environment and biodiversity protection, activities promoting ruraldevelopment, and poverty reduction;
3. Environmentally friendly agroprocessing industry, handicraft
industry Specializing in national traditional and authentic
handicrafts;

Investment Incentives08

4. Development of environmentally friendly and sustainable ecotourism, cultural and historical tourism industry;
5. Education, physical sports, human resource development andskills labor development, vocational training institution or center,production of educational and sports equipment;
6. Development of modern hospitals, pharmaceutical and medical
equipment factories, and traditional medicine production andtreatment;
7. Investment in service provisions for and development of public
infrastructure to solve urban traffic congestion and over populated
residential area issues, development of infrastructure supporting
agriculture and industry, cargo transportation, transit andinternational linkage services;
8. Banks and micro-finance institutions focusing on poverty
reduction for people and community with limited access tofinance;
9. Modern shopping centers that promote domestic products andworld renowned brands, exhibition centers and fairs for domestic
industrial, handicrafts and agricultural products.

2.1.2 Incentives by Zone
Incentives by Zones refer to investment incentives that are granted to different
designated zones in accordance with Law on Investment Promotion6. There are three different
zones that receive investment incentives. (Annex 2: List of Districts in Promoted Zones)
Figure 6: Definition of Each Promoted Zones
Zone 1:

Poor and remote areas
with socio-economic
infrastructure unfavorable
to investment

Zone 2:

Zone 3:

Areas with socio-economic
infrastructure favorable toinvestment

Special Economic Zones

Article 10, with a detailed list of districts in different Zones in Annex II of the Law on Investment Promotion(2016) which may be updated from time to time.
6

Investment Incentives

092.1.3 Incentives on Tax and Land Lease or Land Concession1) Investment Incentives on Profit Tax and Land Lease or Land Concession•

Profit Tax Incentives
Investors investing in sectors and zones defined in Articles 9 and 10 of the Law on

Investment Promotion shall receive the following profit tax exemptions:
Table 1: Profit Tax Incentives by Zones and Business Sector
Zone

Profit Tax Exemption Period

Additional Profit Tax Exemption Period

Zone 1

10 years

5 years(Clean, organic agriculture; agroprocessing industry; education and health)Zone 2

4 years

3 years(Clean, organic agriculture; agroprocessing industry; education and health)Zone 3

Follow the instructions in the specific regulations•

Exemption of State Land Rental or Concession Fee
Investors investing in sectors as specified in Article 9 of the Law on Investment

Promotion will receive exemption for rental or concession fees for state land as summarized
in the following table.
Table 2: Exemption of State Land Rental and Concession Fee by Zones andBusiness Sector
Zone

Exemption Period

Additional Exemption Period

Zone 1

10 years

5 years(Clean, organic agriculture; agro-processing
industry; education and health)Zone 25 years

3 years(Clean, organic agriculture; agro-processing
industry; education and health)Zone 3

Follow the instructions in the specific regulations regarding Special
Economic Zone (SEZ)

Investment Incentives

10

Conditions for Applying Investment Incentives
Enterprises investing in Lao PDR that wish to apply for the investment incentives on
profit tax and land lease or concession fees must meet the following conditions:-

Investing in the promoted investment activities as specified in Article 9 of the Law on
Investment Promotion and comply with the specific conditions set out in relevant
regulations (Annex 1);-

Must have a value of at least 1,2 billion Kip or employ at least 30 Lao National
technicians or at least 50 Lao workers with a minimum labor contract of 1 year;-

The registered capital must be fully disbursed through the certification of the Bankof the Lao PDR as stipulated in Articles 53 and 54 of the Law on Investment
Promotion;-

Operate the business in compliance with tax, duty and other obligations inaccordance with relevant laws and regulations;-

Fulfill all environmental obligations in accordance with laws and regulations.

Investment Incentive Application
Enterprises, with Investment License or Enterprise Registration Certificate issued by
the central government, can submit the application for investment incentive to the Central
Investment One-Stop Service Office (COSSO) at the Investment Promotion Department,
Ministry of Planning and Investment for consideration and issuance of the Investment Incentive
Certificate (IIC).
Enterprises, with Investment License or Enterprise Registration Certificate issued by
the provincial government, can submit the application for investment incentive to theProvincial Investment One-Stop Service Office (POSSO) at Department of Planning andInvestment of the province, as the one-stop investment service office at the provincial levelconsideration and issuance of the Investment Incentive Certificate (IIC).
For investment projects in large-scale concessions that have a concession agreementwith the government and have a resolution approved by the National Assembly for investment
incentives beyond the limits of the law, Investment Incentive Certificate (IIC) is not required.
To apply for investment incentives, the applicants should submit the following
documents:-

Application Form-

A copy of the Investment License (if any), the Enterprise Registration Certificate,
the operating license, the tax payment certificate and the land lease orconcession agreement with the government (if any);

Investment Incentives

11

-

A copy of the capital import certificate in cash and /or in kind;-

Copy of EIA Certificate;-

A copy of the FS or business plan approved by the relevant departments;-

Other relevant documents.

Investment Incentive Consideration Process
After receiving the application for investment incentives with all required supporting
documents, COSO or POSO must send out the application to the relevant central and local
authorities for their comments and inspect the investment sites within 10 working days fromthe date of receiving the application.
After receiving comments from other sectors, the COSO or POSO will report to the
CCIPM/ PCIPM for approval in principle within 15 working days.
After that, the COSO or POSO will issue the Incentive Certificate (IIC) within 5
working days. In case of rejection, the COSO or POSO must notify the company in writing
within 2 working days from the date of the final decision.
After the Investment Incentive Certificate (IIC) is issued, copies of the certificatesmust be sent to the Finance Sector and any related sector for implementing and monitoring
the incentives accordingly.
2) Investment Incentives on Value-Added Tax and Duty Incentives
Apart from investment incentive on profit tax, investors can apply for investment
incentives on value-added tax as follows:
1.

Import of materials and equipment which cannot be supplied or produced in Lao
PDR to form the company’s fixed assets and import of machinery and vehicles directly
used for production will receive duty exemption and value-added tax; while the importof fuel, gas, lubricant, vehicles for administrative purposes, and other materials shallcomply with relevant laws.
Temporary import of machinery and vehicles directly used for production shall comply
with the applicable Tax Laws.

2. Import of raw materials, mines, equipment and parts to be used in the production forexport shall be exempted from duty payment and value-added tax. In the case that
goods are not exported, duty and tax will be collected in accordance with the relevantlaws.
3. Use of raw materials, equipment, and parts of domestic origin to be used in the
production as a finished or semi-finished product for export is exempt from valueadded tax.
-

For the export of raw materials and mineral products, comply with the relevant laws.

-

The government determines the list of semi-finished products for export.

Investment Incentives

12

Conditions for Applying Investment Incentives
Enterprises investing in Lao PDR that wish to apply for the investment incentives onvalue-added tax and duty incentives must meet the following conditions:-

Investing in the promoted investment activities as specified in Article 9 of the Law on
Investment Promotion and comply with the specific conditions set out in relevant
regulations (Annex 1);-

Must have a value of at least 1,2 billion Kip or employ at least 30 Lao National
technicians or at least 50 Lao workers with a minimum labor contract of 1 year;-

Operate the business in compliance with tax, duty and other obligations inaccordance with relevant laws and regulations;

Investment Incentive Application
To apply for investment incentives on custom and value-added tax, investors should
submit the following documents:-

Application Form for custom and value-added tax for a company’s import plans;-

Authorization letter for the application submitter certified and approved by acompany’s director;-

A brief report on business operations including actual imports of the past year,
labor, etc.;-

Draft annual import plan (Master List) (according to the template/table set by theplanning and investment sector) both in hard copy and soft file;-

Copy of Investment License (if any), Enterprise Registration Certificate, Business
Operation Permit from the related sector, annual tax payment certificate for theprevious year, contract signed with the government (in the case of concession
investment) and construction permit (in the case of a company/factory requesting
to build a new factory);-

A copy of the import plan in the previous year;-

A copy of the annual business plan that approved by the industry and commerce
sector (in the case of enterprises or factories engaged in production).

Investment Incentives

13

Investment Incentive Consideration Process
Figure 7 Import Plan (Master List) Approval Process

Enterprises(Approved at Central
Level)

Enterprises(Approved at
Provincial Level)

Energy and Mine(Concession
Agreement)

Enterprises that
produce for export
100%

Investment Promotion
Department(COSO)

Department of Planningand Investment(POSO)

Energy and Mines
Sector organize
consultation within 07
days

Industry andCommerce Sector
approves DemandPlan (F3)Company adjusts theImport Plan
(within 15 days)

Finance Sector

Organize Consultation
for Consideration(within 7 day)

Organize Consultation for
Consideration(within 7 day)Company adjusts theImport Plan
(within 15 days)

Company adjusts theImport Plan
(within 15 days)

Minister of MPI
approves Import Plan
(within 7 days)

Director General of DPI
approves Import Plan
(within 7 days)

Send out approved
Import Plan (within 2
days)

Send out approved Import
Plan (within 2 days)

Planning and Investment
Sector approves(within 7 days)

Send out approved
Import Plan (within 2
days)

Investment Incentives

14

Part 03
Investment Activities
3.1

Forms of Investment
Investment in Lao PDR consists of the five following forms:

1)

A wholly domestic and foreign-owned investment
A wholly domestic or foreign-owned investment is an investment entirely owned byeither domestic or foreign investor(s), and can be either a single investor or a group ofinvestors in the enterprise or project in the Lao PDR.
2)

A joint venture between domestic and foreign investors
A joint venture between domestic and foreign investors is a joint investment between

domestic and foreign investors who conduct business operations, share ownership, andestablish a new legal entity under the laws of Lao PDR.
The organization and activities, management, rights, and obligations of investors of
the joint venture are defined in their joint venture agreement and in the article of associationof the newly established legal entity.
Foreign investor(s) in the joint venture shall contribute at least ten percent (10%) of
the total capital of the joint venture.
3)

A business cooperation by contract
Business Cooperation by Contract is a joint business arrangement between domestic

and foreign legal entities including public and private parties through a business cooperation
contract according to the laws and regulations of Lao PDR for a certain period without arequirement to establish a new legal entity or a branch office in the Lao PDR. Such a contract
shall clearly determine the rights, benefits, and obligations of each party to one another andto the Government.
Domestic entities entering a business cooperation contract shall inform theInvestment One Stop Service Office for approval and supervision according to relevant
regulations and be subject to notarization by the relevant notary public of Lao PDR where thecontract is performed.
4)

A joint venture between a state-owned enterprise and a private enterprise
A joint venture between a state-owned enterprise and a private enterprise is apartnership between a state-owned enterprise and a private enterprise in order to operate a

Investment Incentives

15

business, have co-ownership and establish a new entity under Lao PDR laws.
The establishment, operation, management, rights, and obligations of investors insuch a partnership shall be specified in the relevant joint venture agreement and articles ofassociation of such new entity.
5)

A public-private partnership (PPP)
Public-private partnership investment is a joint-venture investment between publicauthority and a private party under a joint-venture contract to implement a project of new
construction, improvement of infrastructure or to provide a service to the public.7

3.2

Types of Investment

3.2.1 General Investments
1)

Business activities under the controlled business list
Business activities under the controlled business list are businesses that concern

national security, public order, national tradition, and socio-environmental impact. To ensuresocio-economic development balance, screening by relevant sector authorities is required
for this investment category before an Investment License can be granted by the Investment
One Stop Service Office and/or the committee for investment promotion and supervisionaccording to decentralized supervision.
Business Activities under the controlled
Business list
2)

Business activities outside controlled business list
Business activities not included in the controlled business list are businesses open

for general investment which may be filed for enterprise registration and applied for abusiness operating license according to the Enterprise Law and relevant regulations.
Business activities outside controlled
Business list

7

Decree on Public-Private Partnership No. 624 / PM, dated 21 December 2021, stipulates the detail conditions
and procedures for public-private partnership.

Investment Incentives

16

Investment in general investments has no term limit except for those activities of which term
limits have been specified by regulations of relevant sector authority.

3.2.2 Concession Investments
A concession investment is an investment for which an investor is authorized by theGovernment in accordance with relevant laws and regulations to develop and operate abusiness. A detailed list of concession investment activities issued periodically by theGovernment. The major concession activities include:•

Land concession for investment in agricultural, factory industry, tourist attraction andother services which are related to land;•

Mining, electric energy development;•

Development of Special Economic Zone (SEZ), zones for industrial processing forexport;•Aviation and telecommunication;•

Public Private Partnership (PPP).
The terms of the concession investment depend on the type, size, investment value,

conditions, and feasibility study of the business in compliance with relevant laws; but shallnot exceed 50 years. The concession investment term may be extended with approval of theGovernment or the National Assembly or a provincial level assembly as set out by relevant
laws.
Investors who wish to invest in concession activities must have following criteria:•

Be a domestic or foreign legal entity (ies);•

Have experience and success in business as certified by relevant authorities;•

Be financially sound or have funding sources as certified by domestic or foreign
financial institutions;•

Meet other conditions as set out in relevant laws.

Investment Incentives

17

Part 04
General Investment Procedure
4.1

Business Activities Under the Controlled Business List

In the current transition period after the termination of the CIPM8, the following temporarymechanism is in place to handle the application for Controlled Business Activities:
1. Domestic and foreign individuals, who wish to invest in business activities under thecontrolled business list shall submit an application to the OSO at the central orprovincial level.
2. After submission of the investment application, the OSO shall send the application(within 2 working days) to concerned sector authorities and local authorities who shallconsider and respond in writing within 8 working days;
3. Upon receiving a consensus agreement from all concerned authorities, the OSO shallreport to the Minister of MPI or Provincial Governors for consideration and issuanceof Investment License;
4. For the applications that do not receive a consensus agreement from all concerned
authorities, the Planning and Investment Sector will organize a consultation meetingwith all concerned authorities then report the result to the Prime Minister or Governors
for consideration on a case-by-case basis.
5. The controlled business list after obtaining an investment operating license from theplanning and investment sector, it is necessary to apply for a business operating
license with the relevant sector.
Figure 8: Procedures for Business Activities under the Controlled Business List
Investors

Investment One-Stop Service
Office (OSO)

Report to Minister of Planningand Investment/Provincial
Governor

8

Comments from Relevant Government Agencies

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Investment License

The Prime Minister’s Office Notification No. 91/PMO, dated 22nd August 2022
General Investment Procedure18❑ Applications and Supporting Documents-

Completed investment application form for controlled list;
Summary proposal about the development of the proposed project certified bypresident or managing director of the company;-

Background and experience of the investor, license, or Business Registration of thecompany;-

4.2

Shareholder’s agreement in case there are many companies;
Power of Attorney in case that person is not in the highest position of the company;
Map of the project location/project Site;
Technical data of the project
Preliminary data of the project, if any;
Financial supported documents of financial institutions or banks, if any;
Other related documents

Business Activities Outside the Controlled Business List

Enterprise Registration
Investors wishing to invest in general business outside the controlled business list
shall submit an application to Industry and Commerce Sector authority for enterpriseregistration. Enterprise9 registration is the process of legalizing an enterprise establishment
for domestic and foreign persons and legal entities to operate businesses in the Lao PDR.
Enterprise registration is a one-time process throughout the business operations which
includes the following steps:(1) Prepare and submit the application to the Industry and Commerce Sector based on
the scope of responsibility in enterprise registration as defined in table 3(2) After receiving the application, the enterprise registrar shall check the application
within 1 hour and notify the applicant immediately of the following:
In case the application is correctly completed: the registrar shall provide theapplication receipt. The receipt shall include the date of receipt and the date topick up the Enterprise Registration Certificate, not later than ten working days fromthe date of issuing the receipt;

Enterprises in Lao PDR are divided into 4 categories (Private Enterprise, State Enterprise, Mixed Enterprise,
Cooperative Enterprise), 3 forms (Individual Enterprise, Partnership, Company); and 4 types (Ordinary
Partnership, Limited Partnership, Sole Limited Company, Limited Company)
9

General Investment Procedure19

In case the application is not correctly completed, the registrar shall immediately
notify and advise the applicant to correct and improve the indicated elements. The instructor
shall sign the application and submit as the defined process above.
The Industry and Commerce Sector will proceed with the issuance of Enterprise
Registration Certificates as follows: For businesses that need to apply for a Business Operating
License with the relevant sector, The registrar of the enterprise will not specify the type ofbusiness on the back of the Enterprise Registration Certificate and will issue additional
instructions to proceed to the next step. For businesses that do not require a Business
Operating License, the type of business will be indicated on the back of the enterpriseregistration so that it can be implemented in the next step.
Scope of Responsibility in Enterprise Registration
Table 3: Scope of Responsibility in Enterprise Registration
Ministry of Industry andProcesses applications for enterprise registration for theCommerce (MOIC)

establishment of foreign legal entities, state-owned
enterprises, partnerships, companies and individual
enterprises with the registered capital of 500 million kip
and higher, that have business addresses in Vientiane
Capital and other provinces;

Department of Industry andProcesses

applications

forenterpriseCommerce (Province)

regardingstate-owned

enterprises,

registration
partnerships,

companies except public companies and individual
enterprises with registered capital of 500 million kip andhigher, that have a business address in the respective
province and Vientiane Capital;
Office of Industry andProcesses applications for enterprise registration

Commerce (District)regarding the establishment of cooperative enterprises,
individual enterprises with registered capital of 500
million kip and lower. In case any district is not ready forenterprise registration according to the defined rules, theDepartment of Industry and Commerce shall be
responsible for such an application from those districts
and propose to the Ministry of Industry and Commerce
for consideration.

General Investment Procedure20Application for Enterprise Registration
Documents required for enterprise registration application defined by the DERM as
follows:
Applications for registration of an individual enterprise include:
1) Application form for individual enterprise establishment;2) List of business activities requested to operate;
Applications for registration of partnership and company include:
1)

Application form for enterprise establishment;2) List of business activities requested to operate;3) An agreement of enterprise establishment, except sole limited companies
Businesses for Lao citizens that are not required to register as an enterprise10− Production for agriculture and handicraft for family business by using family
members’ labor without hiring non-family members as employees.
− Vendors comprised of: small-scale minimart business operators, peddlers, stallmerchants with regular income below 100,000 Kip/day.
− Small-scale service business operators with regular income below 100,000 Kip/day.
− Seasonal traders or business operators.

10

Based on the Notice of Non-Registered Business No.2037/IC.ERM 28/10/2014.

General Investment Procedure

21Part 05
Concession Investment
Procedures
In the current transition period after the termination of the CIPM11, the following
temporary mechanism is in place to handle the application for Concession Activities:
1. Domestic and foreign individuals, who wish to invest in concession investments shallsubmit an application to the OSO at the central or provincial level.
2. After submission of the investment application, the OSO shall send the application(within 2 working days) to concerned sector authorities and local authorities who shallconsider and respond in writing within 30 working days;
3. Upon receiving a consensus agreement from all concerned authorities, the OSO shallreport to the Minister of Ministry of Planning and Investment or Provincial Governors
for consideration before conducing MOU or Concession Agreement negotiations
with the investor(s). Then OSO will report the result of the negotiation to the Prime
Minister or Governors to authorize the MOU or Concession Agreement signing;
4. For applications that do not receive a consensus agreement from all concerned
authorities, Planning and Investment Sector will organize consultation meeting with allconcerned authorities then report the result to the Minister of Ministry of Planning andInvestment or Provincial Governors for consideration case by case.
5. Concession Investment shall register the capital not be less than 30% of total capitaland must import the capital as following:-

3% of registered capital for projects with investment value of less than 10 million
dollars US;-

2% of registered capital for projects with investment value from 10 million to 500
million US dollars;-

1,5% of registered capital for projects with investment value from 500 million to 1
billion US dollars;-

1% of registered capital for projects with investment value of more than 1 billion
USD.

11

The Prime Minister’s Office Notification No. 91/PMO, dated 22nd August 2022
Concession Investment Procedures

22

Figure 9: Procedures for Concession Investment Activities
Investors

Comments from Relevant Government Agencies

Investment One-Stop
Service Office (OSO)

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Report to Minister of Planningand Investment/Provincial
Governor

MOU/Agreement Negotiation

Government/Provincial
Authority

Sign MOU/Agreement

Agriculture Sector/SEZ

Mining Sector

Energy Sector

MOU

Prospecting andExploration Agreement

MOU

CA / SEZ PDA

5.1

PPP

PDA
Mining Development
Agreement

CA

Concession Investments in the Agriculture Sector
Land Concession for growing of non-perennial crops and food crops, plantation offruit trees, industrial plants, economic plants, forest plants, timber forest products shall comply
with conditions based on laws and regulations of relevant sector authorities.
For the details of state-owned land, the government currently does not have detailed
information on land allocation across the country. So, the investor who has the intention toinvest in the agriculture sector in line with state-owned land concessions must request
approval for primary data collection from the agriculture sector and forest, investment
promotion sector, and other relevant sector authorities at central or local levels where theproject is located.

Concession Investment Procedures

23

Figure 10: Procedures for Agriculture Concession
Investors

Comments from Relevant Government Agencies

Investment One-Stop
Service Office (OSO)

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Report to Minister of Planningand Investment/Provincial
Governor

MOU/Agreement Negotiation

Government/Provincial
Authority

Sign MOU/Agreement

Memorandum Of
Understanding
Agriculture Concession
Concession Agreement

Investment License

5.1.1 Memorandum of Understanding (MOU) for studying the project
possibilities
The investors (or legal entity) wishing to invest in agriculture activities, after having
primary data on land area and project location, can submit the investment application to
COSO or POSO to request for the MOU with the government to conduct a detailed land
survey, a Feasibility Study (FS) and an Environmental Impact Assessment (EIA).
Based on Decree No. 135/PM, dated 25/05/2009 on the lease or concession ofstate lands, Article 28 on the lease or concession approval of degraded forestland for
agricultural and tree plantation activities, and Article 29 on the concession approval of barren
forestland for agriculture and tree plantation activities as follows:❑

Local Levels:− Degraded forestland of not more than 150 hectares per 1 project;− Barren forestland of not more than 500 hectares per 1 project.

Concession Investment Procedures

24❑Central Levels:− Degraded forestland of between 150 – 15.000 hectares per 1 project;− Barren forestland of not more than 500- 30.000 hectares per 1 projectIn accordance with Law on Investment Promotion (Article 42), the term of investment

concession depends on the type, size, investment value, conditions, and feasibility study ofthe business in compliance with relevant laws; but shall not exceed 50 years. The concession
investment term may be extended with an approval by the Government or the National
Assembly or a Provincial Assembly as set out in relevant laws.
❑

Scope of works during the MOU Stage includes:
1. Conduct a study on socio-economic development and natural suitability, for instance:

soil, climate, altitude, rainfall, water source, land use rights, local labour, exploration of forest
conditions and forest resources, etc.;
2. Conduct FS, and submit for approval from MAF12. At local the level, FS is reviewed
and approved by DAF or the Office of Agriculture and Forestry (District);
3. Conduct the Environmental Impact Assessment (EIA) or Initial Environmental
Examination (IEE) including measures to prevent and mitigate the impacts, then submit for
approval from the National Resource and Environment Sector;
4. Conduct an Environment Management and Monitoring Plan (EMMP) in the operational
plan focusing on the protection of water sources and the environment, land clearing, village
development, promote community involvement in agriculture production, use modern
technology and promote benefit sharing.

5.1.2 Concession Agreement “CA”
After achieving the implementation of an MOU by completing all tasks including land
survey, obtaining approval of FS, EIA or IEE, investors can submit the request to the Planningand Investment Sector for Concession Agreement (CA).
After signing a CA with the Government, the investors must establish the Project
Company to operate the activities or implement the CA. The Investment License will be issued
to the investors by the Planning and Investment Sector. After that, the investors can commence
project operation in line with the approved FS and related laws and regulations.

Department of Planning and Finance acts as the coordinator of concerned departments within the Ministry
including Department of Forestry, Department of Agriculture, and other departments for review and approvalof the FS.
12

Concession Investment Procedures25

5.1.3 Guarantee Fund Deposit
The project guarantee fund deposit is money deposited with the government toensure the implementation of the MOU and CA13 . Thus, after signing the MOU and CA, theinvestors shall deposit a project guarantee fund with the Planning and Investment Sector at
the central or provincial levels within 30 days from the date of MOU or CA signing. The
investor must deposit a project guarantee fund by remittance to the bank account of IPD or
MIP at the National Treasury Account. Once the Guarantee Fund is remitted, the investor mustshow evidence for remittance to such Guarantee Fund to the Planning and Investment Sector
to issue a guarantee certificate.
Table 4: The amount of the project guarantee fund for MOU and CA

5.2

Concession Area

Amount of Guarantee Fund (USD)1 – 150 hectares

30.000151 – 1.000 hectares

50.0001.000 hectares and above

70.000Concession Investments in the Mining Sector
Investments in the mineral business should be carried out in the form of a company,

consisting of 2 types:• Mining Business: is an activity related to prospecting, exploration and feasibility
studies of the economic and technical aspects, exploitation, including the bidding for mining
concessions;• Specific Mining Business: is a business operation that does not have to follow all
the steps of prospecting and exploration, a specific mining business including:1)

Traditional metallic mineral panning;2) Mining of Non-metallic minerals for construction;3) Mining of Non-metallic minerals for Industry
In addition, there are business services related to mining, such as prospecting,
exploration, mapping, geophysical exploration, drilling, exploitation, transportation, mineral
trade, research and mining consulting and other mining and related services.

In accordance with the Decision on Deposit of the Guaranty Fund for Concession Activity, No. 2735/MPI,
dated 02 November 201813

Concession Investment Procedures

26

Figure 11: Procedures for Mining Concession
Investors

Comments from Relevant Government Agencies

Investment One-Stop
Service Office (OSO)

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Report to Minister of Planningand Investment/Provincial
Governor

MOU/Agreement Negotiation

Government/Provincial
Authority

Sign MOU/Agreement

Prospecting andExploration Agreement

Investment License

Mining Development
Agreement (Name ofmineral type)

Investment License

Mineral sector

5.2.1 Mining: Prospecting and Exploration Stage
The investors (or legal entity) who intend to invest in mining activities such as mining
prospecting, and exploration, shall request for primary data collection from Natural Resourceand Environment Sector (NRES) at central or provincial level where the project is located. The
primary data collection will be conducted in the office and at the site to study the mineral
resource locations, environment and collect the surface sample for analysis to consolidate areport on primary data collection. After the primary data collection, the investor who wish toproceed to mineral prospecting, exploration must submit the request to the COSO or POSO
for consideration in accordance with the procedures stipulated in Law on Investment
Promotion (2016) and regulations of relevant sector authority with the decentralization as
follows:

Concession Investment Procedures

27

Table 5: Mining Concession Approval Level
Central Government Approval

Provincial Government Approval

Mining prospecting and exploration
activities
Mining of Non-metallic minerals for

Mining of Non-metallic minerals forconstruction

construction(Mining capacity of 100.000 cubic(Mining capacity of 100.000 cubic meters

meters per year or more)

per year or less)

Mining of Non-metallic minerals for

Mining of Non-metallic minerals forindustrial use

industrial use(Mining capacity of 100.000 cubic(Mining capacity of 100.000 cubic meters

meters per year or more, permit forper year or less, permit for domestic legal

domestic or foreign legal entities toentities to supply domestic and not permit

supply domestic and exportation)for exportation)14

The business services related to themining business such as prospecting,
exploration, mapping, geophysicalexploration, drilling, exploitation,transportation, mineral trade, research
and mining consulting and other mining
and related services.
❑ Scope of Works in Prospecting and the Exploration Stage
After the investors have signed the Prospecting and Exploration Agreement andreceived the Investment License, the investors must request the business operating permit forprospecting and exploration from MEM, and develop the operational plan, starting fromgeneral prospecting in the scope of the agreement, followed by the exploration in extracting
areas. The prospecting and exploration plans of each period must be approved by MEM
before excursion, the operational plan is divided into 3 steps15:
1)

14
15

Prospecting Period:− Data collection;

Article 90 of Law on Minerals (Amended) No. 31/NA, dated 3/11/2017.
Duration of operation of all periods depend on the outcome of the prospecting-exploration agreement

negotiations.

Concession Investment Procedures28

− Field visit to study geological condition and mineral existence;− Assess mineral characteristic.
− Identify potential areas for exploration (prospecting area that requires a legal entity
to conduct a maximum of 200 km2 and must comply with the policy of MEM
regarding the concession area)16 ;− Valid for 2 years and can renew 1 time for no longer than 1 year.
2)

Exploration Period:− Study of geological structure and mineral sources in the selected area for
exploration;− It comprises of the work of the geology, geophysics, drilling, drilling tunnels, dig a
canal, dig, sampling, analysis, research, etc.;− To identify the cumulative quantity and quality of the mineral;− Assess the primary economic-technical possibility and technical conditions of the
exploitation;− Create the management plan for monitor the environment and nature in the
exploration period;− With 3 years validity and renewable 1 time for no longer than 1 year. 17

3)

Feasibility Study Period:− Conduct the Feasibility Study (FS);− The FS includes the calculation of mineral cumulative quantity that is close to thestandard of implemented mineral cumulative quantity classification;− Furthermore, this stage includes an initial assessment of planning for exploitation,
processing, production, and distribution;− Conduct EIA, as well as the assessment of economic effectiveness;− Valid for 2 years and can renew 1 time for no longer than 1 year.

5.2.2 Mining Development Stage
After achieving the prospecting and exploration agreement with the FS approved by
MEM, and EIA approved by NRES, the investors can propose to proceed to the exploitationand processing stage in accordance with laws and relevant regulations. Before commencing
the Mining Development Stage, the investors need to apply for a business operating license
for mining development with MEM.
16
17

Article 49 of the Law on Minerals (2017)
Article 50 (3), Law on Mineral (2017)

Concession Investment Procedures

29

Deposit Guarantee Fund for Mining Development
The deposit guarantee fund for mining activities and mining development agreement
as following:
Table 6: Deposit Guarantee Fund for Mining Development
Concession Area (Km2)Amount of Guarantee Fund (USD)

1 Km and below

20.0001-100 Km2

50.000100 Km2

100.000

2

The deposit a guarantee fund for mining of non-metallic minerals as following:
The volume (M3 / year)

Amount of Guarantee Fund (USD)

Less than 100.000 m3

10.000100.000 m and above

30.0003

5.3

Concession Investments in the Energy Sector
The investment in electricity consists of 3 types18 as following:

5.3.1 General Energy Service BusinessThis type of investment includes planning, data collection survey, design,

construction, installation, operation, service and equipment maintenance and the structure of
the energy project. Individuals, legal entities, or organizations with the intention of conducting
this type of business are required to submit an application and supporting documents to COSO
or POSO in accordance with the Law on Investment Promotion (2016) and related laws andrequest the business operating license with the Energy and Mines Sector.

5.3.2 Electricity Transmission Grid Concession businessAn electricity transmission grid concession business is a business in which thegovernment provides concessions in the form of Build-Operate-Transfer (BOT) to Lao legal
entities to study, design, build, operate and transfer to the government at the end of theconcession period as stipulated in the concession agreement. For the 500 KV transmission
line and above must be approved by the National Assembly. Both domestic and foreign
private joint ventures can invest in this activity through the bidding or non-bidding process.

18

Bases on Law on Electricity (2017)
Concession Investment Procedures30

5.3.3 Specific Energy Generation BusinessA specific energy generation business is a business that received a concession fromthe government which operates in the business of generating electricity or both generates
and transmits electricity simultaneously. There are 3 forms of investment in the specificelectricity generation business19:(1) Build, Operate and Transfer (BOT): build, own, operate and transfer to thegovernment at the end of the concession period. The concession agreement isfor a hydropower project with an installed capacity of 5 MW or more;(2) Build, Own and Operate (BOO): build, own and operate, including: small-scalehydropower projects, thermal, solar, wind and other power projects as requiredby the Government;(3) Other forms as approved by the government.
There are 2 recruitment methods of project developers in the specific electricity
generation business:
1) Bidding: For a project that the government has preliminary information from thestudies, data information should be collected sufficient to allow the government to conductbidding to select the most qualified investor to develop the project;2) Non-bidding: Most of the current investment projects are initiated through a nonbidding process, which are investments that meet technical and financial requirement, as well
as apply new modern technology or potential investment strategically promoted by thegovernment.

❑ Specific Energy Generation Business through Non-bidding Process
There are specific criteria for consideration and approval of non-bidding projects which
are set out in a separate regulation. There are 3 main stages of developing non-bidding
projects including: Memorandum of Understanding (MOU), Procedure of Project
Development (PDA) and Procedure of Project Concession (CA).

19

Articles 44, 45 and 46 of the Law on Electricity
Concession Investment Procedures

31

Figure 12: Procedure for Energy Concession
Investors

Comments from Relevant Government Agencies

Investment One-Stop
Service Office (OSO)

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Report to Minister of Planningand Investment/Provincial
Governor

MOU/Agreement Negotiation

Government/Provincial
Authority

Sign MOU/Agreement

MOU

Energy Sector

PDA

Investment License

CA

Investment License

1) Memorandum of Understanding (MOU)
The investors who would like to apply for Specific Energy Business such as hydropower, wind power, solar energy or thermal energy development must submit a request for
primary data collection from the Energy and Mine Sector in order to select the targeted
project site. Then investors must submit the investment application form to COSO or POSO
for the approval and signing of an MOU with Government or the Provincial Authority to
conduct the FS in accordance with the following decentralization (Table 5) 20:

20

Based on Article 43 of the Law on Electricity (Amended) No.19/NA dated 9/5/2017,

Concession Investment Procedures

32

Table 7: Summarizes the investment approval levels
Provincial Government

Central Government

National Assembly

Projects with an installed Projects with an installed Projects with an installedcapacity of 5 MW or lesscapacity of 5 MW-100 MW

capacity of 100 MW or more
and projects with reservoirs
of

more

than

10,000hectares and / or projects
affecting the evacuation of
more than 500 families
The duration of the MOU may not exceed 24 months to conduct, in which thedeveloper must implement as follow:-

Initial Feasibility Study shall comply with the regulations and guidelines ofthe Ministry of Energy and Mines. The specific projects along the MekongRiver Basin, the project must follow all procedures in accordance with the
1995 Framework Agreement and the relevant guidelines of theInternational Mekong Secretariat (MRCs);-

Environmental

ImpactAssessment (EIA)or

InitialEnvironmental

Examination (IEE).
2) Project Development Agreement (PDA)
After the investors have completed their commitments determined in the MOU withapproval for the initial FS and EIA/IEE, the investors can request to proceed to the Project
Development Agreement with the Government. In this stage, the investors have to coordinate
with MEM regarding the detailed requirements of the specific regulations of the MEM. The
investor will negotiate PDA directly with MEM before reporting the negotiation results to theGovernment to assign MPI to sign PDA on behalf of the Government.
3) Concession Agreement (CA)After achieving all obligations in PDA, the investors can proceed to Concession
Agreement (CA). Prior to signing CA, the investors must establish a Project Company21 tosign CA with the Government.

Supporting documents for application to establish a project company include (1) Share agreement between
investors including any state enterprise authorized by the government to hold shares in the project/company;(2) the application form for the establishment of the project company with the same supporting documents as
attached to the initial investment application for electricity sector with the share agreement and other relevant
documents.
21

Concession Investment Procedures

33

After the Project Company had been established, the Investment Promotion Sector
will issue the Investment License to the investors to enable them to sign the CA with MPI as
the authorized representative of the Government to commence project development.
Deposit Guarantee FundThe Guarantee Fund deposit for MOU and PDA as follow:
Table 8: Guarantee Fund deposit
Installation capacity (MW)Guarantee Fund (USD)

5 MW and below

30.000

between 5 MW - 100 MW

50.000100 MW and above

100.000

Investment Application Form•

Completed investment application form;•

Summary proposal about the development of the proposed project certified bypresident or managing director;•

Company’s profile background and experience, License or Business Registration of
the company;•

Shareholder’s agreement in case there are many companies;•

Power of Attorney in case that person is not in the highest position of the company;•

Map of the project location/project site;•

Technical data of the project;•

Preliminary data collection of the project (if any);•

Financial supported documents of financial institutions or banks, if any;•

Other related documents.

5.4

The Development of Special Economic Zone (SEZ)
Special Economic Zone “SEZ” refers to the designated area that has specificadministration mechanisms to create favorable conditions to attract investments using hightechnology, innovation in agricultural production, and clean production that efficiently uses
natural resources and energy for sustainable and environmentally friendly development.

Concession Investment Procedures

34

A SEZ may consist of industrial estates, agricultural development zones, industrial
processing for exporting, technology and information development, services, trades, andtourism.

5.4.1 SEZ Management Structure
Figure 13: SEZ Management Structure
Government of
Lao PDR

Central Committee forInvestment Promotionand Management

Ministry of Planningand Investment

Related Sectors at
Central and Local Levels

SEZ Promotion andManagement OfficeInternal andInternational Consultant

SEZ Authorities ineach province
One Stop Service Unit
(OSS)Special Economic Zone Promotion and Management Office
The Special Economic Zone Promotion and Management Office “SEZO” hasequivalent status as a department under the MPI, under the supervision of the Minister, theDeputy Minister as assigned.
SEZO acts as a supporter to the MPI to develop policies, strategies, laws andregulations regarding SEZ.
Special Economic Zone Authority (SEZA)The Special Economic Zone Authority (SEZA) is an organization under the MPI thathas an equivalent status as the provincial departments, and consists of divisions, units, anda number of technicians.
The provinces (and Vientiane Capital) which have been authorized to establish the
SEZ will have a management board which will be in charge of regulating and administrating
SEZ, and to be the focal point for facilitating development and investment in the SEZ.

Concession Investment Procedures

35Each zone will have a One Stop Service Unit to facilitate the investors within thezone.225.4.2 SEZ Development Conditions
Local authorities shall determine and propose the SEZ in their own area bycollaborating with MPI at the central level. The determination of an SEZ shall be subjected to
the following conditions:- Have a clear development objective of the SEZ;
- Have a suitable geographic location, with clear determination of areas andboundaries of the zones;- Comply with the National Socio-Economic Development Plan;- Comply with the National Land Strategic Plan and SEZ Strategic Development Plan;- Determine clearly the development terms;- Define clearly benefits of the State, people, Zone Developers and Investors;- Define clearly policies on incentives;- Undertake an Initial Technical and Economic Assessment;- Undertake an Environmental Impact Assessment in accordance with the decree on
environmental impact assessments;- Be under the supervision of the government or the provincial administrative
authority.

5.4.3 The Application for Development of SEZ
Any person wishing to invest in a development of SEZ (must be legal entity) shallsubmit an application form together with supporting documents to COSO.
If there are more than two individuals or firms wishing to develop the same SEZ, aselection process shall be done in accordance with the Law on Investment Promotion. The
person who wishes to invest in an SEZ shall be considered through two stages which include
as follows: MOU and SEZ Development Agreement.

22

In accordance with the Decree on Special Economic Zones No. 188 / GOV, dated 07/06/2018
Concession Investment Procedures

36

Figure 14: Procedure for SEZ Development Concession
Investors

Comments from Relevant Government Agencies

Investment One-Stop
Service Office (OSO)

OSS Coordinators within Relevant Departments
Relevant Departments

Ministers/ Governors

Report to Minister of Planningand Investment/Provincial
Governor

MOU/Agreement Negotiation

Government/Provincial
Authority

Sign MOU/Agreement

Memorandum Of
Understanding
SEZ Development
Concession Agreement

Investment License

1. Memorandum of Understanding (MOU)
After receiving the SEZ investment application, SEZO will review the application incoordination with relevant sectors and local authorities, then report to the MPI for
consideration.
In the case that the SEZ development application is approved, on behalf on the
Government, MPI will sign the MOU with the investor to conduct the land survey, data
analysis, and submit all documents within 18 months.
❑ Required Documents for MOU
The request for MOU consists of:
1.

The application form;

2. Certification of legal entity status;
3. Certification of financial status;
4. Initial project area map;
5. Other supporting documents as specified in the application form.

Concession Investment Procedures37

2. SEZ Development Agreement
Upon completion of data analysis, submission of accurate and complete
documentation, and approval by the meeting of the relevant sectors and local technicalcommittees, SEZO will report to MPI for consideration. Upon the approval, MPI will report to
the Government for signing SEZ Development Agreement with the zone developer and to
officially issue the Investment License.
❑ The Application for Project Development Agreement
To apply for the Project Development Agreement, the developer must submit thefollowing documents:
1.

Application Form for SEZ Development;

2. Certificate of project land area issued by local authority and relevant sectors;
3. Project development master plan and preliminary construction plan;
4. Feasibility Study;
5. Environment Certificate;
6. Daft SEZ Development Agreement;
7. Initial project area map;
8. Other supporting documents as specified in the application form for thedevelopment agreement.

5.4.4 Investments within SEZ
Domestic and foreign individuals, legal entities wishing to invest in SEZ can submit
the application form to the SEZA for consideration in accordance with the One Stop Service
mechanism.
Figure 15: Services provided by the One Stop Service Unit in SEZ
2. Enterprise
Registration
Certificate

1. Land Use Right
Lease License

3. SealRegistration
Certificate

8. Tax Payment
One Stop
Service Unit
in SEZ
7. Management ofLabor

4. Import-Export
Certificate

6. Environmental
Impact Certificate

5. Construction
LicenseConcession Investment Procedures

37381) Business Investment in Special Economic Zone
There are two procedures for approving businesses invest in SEZ:
- Business activities that require SEZA to seek approval:
The list of business activities, that SEZA shall seek approval refers to the businessactivities that requires approval from the MPI through SEZO.
- Business Activities that the Special Economic Zone Authority (SEZA) can
approve:
There are two types of business activities that SEZA can approve:
1. Business activities that need considerations and comments from relevant sectors inwhich the relevant sectors shall respond within 10 working days after receiving
application form from SEZA. If there is no response within 10 days, implicit approvalshall be implied;
2. Business activities that do not need consideration and comments from relevant
sectors, SEZA can give approval for the application directly.
Figure 16: Procedures for consideration and approval in investment within SEZ(1)

Investors(6)

One Stop Service Unitin the Zone

(2)

Investors
(5)

(3)

(4)

Related Agencies

2) Investment Application-

Application form for investment;-

Feasibility Study or business operation plan (if required);-

Initial Social and Environmental Impact Assessment Report (if required);-Enterprise incorporation contract (for joint investment);-

Company’s Article of Association;-

Certification of financial status;-

Land Use Right Certificate;-

Certificate of individual identification or legal entity status;-

Other documents stated in the application form for investment.

Concession Investment Procedures

39

5.5

Public Private Partnership (PPP)
A partnership between public and private parties or known as Public-Private

Partnership (PPP), can be a joint investment between public and private entities or apartnership where the investment capital is borne entirely by a private party into a publicproject such as a newly established project, a project to improve existing infrastructure or a
project to provide public services, including to develop tourism, agriculture, energy, mining
and others under a joint-venture agreement within a certain period of business operation
time in compliance with the rules of law.
Public Private Partnership can be divided into 2 forms as below:
1.

Partnerships with Public Financial Contributions
A partnership with public financial contributions is a form of partnership where thegovernment directly contributes its capital into the project development along with the private
party based on the project’s FS and based on the government’s agreement or on approvalof the National Assembly or of the People’s Assembly of the relevant province as specified
in the governing laws and regulations on a case-by-case basis.
2. Partnerships where Investment Capitals Are Borne Entirely by Private
Parties
For this form of partnership, a private party is responsible for the entire investment
capital of a public development project based on the project’s FS

and based on thegovernment’s agreement or on approval of the National Assembly or of the People’s
Assembly of the relevant province as specified in the governing laws and regulations on acase-by-case basis.

5.5.1 Models of Partnerships
Partnerships can be established in one of the following models:1.
•

Partnerships in the Design, Build, Finance and Operate (DBFO) Model
This is the correct model to use if: the project in question is a development project,a project to improve infrastructure or a project to provide services, or if the projectis owned by the government, who invites a private party permission to enter into a
partnership where the investment capital is either borne entirely by the private partyor the majority of the capital comes from the private party. The partnership begins
from the designing, building, financing stages all the way through the operationaland maintenance stages until the end of the project life in accordance to theConcession Investment Procedures40

standards and requirements determined by the government in the partnershipagreement;•

Costs of maintenance, repair and replacement fall under the responsibilities of theprivate party throughout the term of the partnership agreement;•

In the case that the government has to contribute to the investment capital, the sourceof funds for repayment shall be derived from the state budget as determined in thebudget plan payable for partnership projects. The repayment shall be implemented
during the operational stage based on the real outputs of the project’s businessservices and in accordance to the approved feasibility study and the partnershipagreement throughout the term of the agreement. In case the government does notcontribute to the investment capital, the private party shall collect income directlyfrom the project;•

At the end of the term of the agreement, the private party shall transfer the projectback to the government in good condition.

2.
•

Partnerships in the Design, Build and Operate (DBO) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. The project isowned by the government where a private party is contracted to design, build andoperate under requirements and standards determined by the government in apartnership agreement. The project’s operations can be proceeded under thepartnership agreement or under a separate operation agreement;•

Costs of maintenance, repair and replacement fall under the responsibilities of theprivate party throughout the term of the partnership agreement;•

The repayment shall be split into two stages. The repayment for the design andconstruction shall be made after the completion of the construction in installments
based on agreement. The repayment for the operation throughout the term of theagreement shall be made based on the real outputs of the project’s business services
and in accordance to the approved feasibility study and the partnership agreement;•

The source of funds for repayment shall be derived from the state budget as
determined in the budget plan payable for projects and allocated from the incomesthe government receives directly from the project.

3.
•

Partnerships in the Build, Operate and Transfer (BOT) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. The project isowned by the government who grants concession rights to a private party to study,

Concession Investment Procedures

41

design, build and operate under the requirements and standards determined by thegovernment in the partnership agreement;•

The private party is responsible for the investment capital and for all incomes andexpenditures of the project as determined in the approved feasibility study and in
the agreement signed with the government;
Costs of maintenance, repair and replacement fall under the responsibilities of theprivate party throughout the term of the agreement;•

The private party shall transfer the project in good condition to the Government after
the termination of the agreement.

4.
•

Partnerships in the Build, Own, Operate and Transfer (BOOT) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. It is a largescale project with complicated technical structures. The project is owned by thegovernment who grants concession rights to a private party to study, design, build,own and operate under the requirements and standards determined by thegovernment in the partnership agreement;•

The private party is responsible for the investment capital and for all income andexpenditures of the project throughout the term of the agreement as determined in
the approved feasibility study and in the agreement signed with the government
throughout the term of the agreement;•

Costs of maintenance, repair and replacement fall under the responsibilities of theprivate party throughout the term of the agreement;•

The private party shall transfer the project in good condition to the Government after
the termination of the agreement.

5.
•Partnerships in the Build, Own and Operate (BOO) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. The project isowned by the government who grants concession rights to a private party to study,
design, build and operate under the requirements and standards determined by thegovernment in the agreement;•

The private party is responsible for the investment capital and for all income andexpenditures of the project throughout the term of the agreement as determined in
the approved feasibility study and in the agreement signed with the government
throughout the term of the agreement;

Concession Investment Procedures

42•

Costs of maintenance, repair and replacement fall under the responsibilities of theprivate party throughout the term of the agreement;•

At the end of the term of the partnership agreement, the private party does nottransfer the project back to the government.

6.
•

Partnership in the Build, Transfer and Operate (BTO) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. The project isowned by the government who grants rights to a private party to invest in thedesigning and building of the project under the requirements and standards
determined by the government in the agreement. After the building stage iscompleted, the project is transferred back to the government.

•

The government will lease the facility(ies) or the service(s) to the private party who
has invested in the project to operate under a lease agreement;•

The private party is responsible directly for the business operation and the collectionof all incomes deriving from the project throughout the term of the lease agreement.

7.
•

Partnerships in the Build, Lease and Transfer (BLT) Model
This is the correct model to use if: the project in question is a development project,a project to improve an infrastructure or a project to provide services. The project isowned by the government where a private party is contracted to design and build
under the requirements and standards determined by the government in anagreement. After the building stage is completed, the project is transferred back to
the government;•

The government will then select a private party to lease the facilities or to jointly
provide services under a lease agreement or a partnership agreement;•

Throughout the term of the lease agreement, the private party is responsible directly
for the business operation and collection of all income deriving from the project;•

At the end of the term of the lease agreement, the private party shall transfer the
project back to the government in good condition;•

The source of funds to repay for the designing and building shall be derived fromthe state budget as determined in the budget plan payable for projects. The
repayment can be a lump-sum payment or broken up into installments as specified
in the agreement.

Concession Investment Procedures

43

8.

Partnerships in the Operate and Maintenance (O&M) Model•

This is the correct model to use if: the project in question is an existing infrastructure
project or a project to provide services owned by the government where a private
party is contracted to operate and maintain partially or entirely under therequirements and standards determined by the government in an agreement;•

The source of funds to repay for the operation and maintenance shall be derived
from the state budget as determined in the budget plan payable for projects. The
repayment can be a lump-sum payment or broken up into installments based on thereal outputs of the operation as specified in the agreement.

5.5.2 The Preparation, Consideration and Tendering of a Partnership
Project
There are two types of PPP proposals including: Solicited Proposal and Unsolicited
Proposal:
1) Solicited Proposal
A solicited proposal (SP) for a partnership project is a document that proposes aninitial idea by an agency under the strategic plan of the national socio-economic development
plan. It aims at drawing a private party(ies) to enter into an investment partnership.
An agency wishing to develop a partnership project that falls within the agency’s
development plan shall submit a solicited proposal to the Office of Public-Private Partnership(OPPP) at the central level for consideration and reporting further to Committee for Investment
Promotion and Management at the central level within 20 business days for an investment inan activity dictated by the governing laws and regulations to be supervised by the central
authority.
An agency at the provincial level wishing to establish a partnership project shallsubmit a solicited proposal to its vertical line of management, going through the top
management of the province for inclusion in the plan to be submitted for the government’s
consideration via the COSO.
CIPM23 reviews and considers solicited proposals for partnership projects. In thecase that a proposal shall be endorsed, the OPPP shall inform the relevant agency in writing
within 5 business days from the day CIPM reaches the resolution in order to prepare aframework for a FS and an environmental, social and natural impact assessment of the projectIn the transition period where CIMP was termination under the Prime Minister’s Office issues theNotification No. 91/PMO, dated the 22nd August 2022, PPP Proposals was considered by Ministerial Meeting
led by Minister of MPI until there is a new PPP mechanism in place.
23

Concession Investment Procedures44

in details before conducting a tendering to select a company to explore further. In case theproposal is not endorsed, a notification with reasons shall be given to the relevant agency24.
Figure 17: Procedures for Consideration of Solicited Proposals (SP) for Partnership
Projects

Relevant
Ministries/
Provinces

Submit a
Solicited
Proposal

CCIPM be endorsed FS/EIA“DBFO, DBO, BOT, BOOT,
BOO, BTO, BLT, O&M…”

Government/
National
Assembly“Approved”

PPP Office
One Stop
Service/MPIPPP Office andIndependent
consultant approve FS(90 days)

Prepare forbidding(30 days)

CCIPM meeting(20 days)/a proposal
to be endorsed

Create a TOR
for conducting
the full FS/EIA

1. Consider bidders who meetall criteria;
2. Consider standardstechniques;
3. Consider price conditions.

Informrelevant sector(5 days) & set
up a task force

Tendering to selecta company toconduct the
FS/EIA

Open bidding
for project
developers

Signing the
PPP
Agreement

2) Unsolicited Proposal
An unsolicited proposal (USP) for a partnership project is a proposal for a brand-new
project. It can come either from an agency or from a private party. It is in compliance withthe policy of the in-force periodic national socio-economic plan. It shall be an important
project with a new concept, using new technology with a high degree of innovation. An
unsolicited proposal proposes a new project that is not included in the investment plan of thegovernment.
An agency or a private party wishing to develop an unsolicited partnership project
may submit an unsolicited proposal along with a preliminary FS and an environmental, social
and natural impact assessment of the project to the OPPP for further submission to CCIPM
within 45 business days after receiving complete comments from relevant agencies at thecentral and provincial levels.
24

The relevant sectors create Term of Reference (TOR) for technical, economic and financial feasibility study(FS), detailed environmental impact assessment (EIA) of the project, for bid the consulting companies to conduct
the FS.

Concession Investment Procedures45

In the case that CCIPM views that the unsolicited proposal along with the preliminary
FS and the environmental, social and natural impact assessment of the project are complete
and with correct information, MPI will present them to the government for consideration. Afterbeing considered and approved by the government, the OPPP shall inform the relevant
private party to sign an MOU and develop a detailed FS and environmental, social and natural
impact assessment of the project in order to place a bid for the right to explore in the next
step. In case the proposal is rejected, a notification shall be made to the relevant agency
along with the reasons for rejection.
A private party who submitted an unsolicited proposal or a consulting company
selected to conduct further exploration of an agency’s project shall not be automaticallygranted with the right to develop the project. The selection must be done via a tendering
process. In case the initiator of the unsolicited proposal does not win the tender, it shallreceive reimbursements for the costs of the unsolicited proposal paid by the winning bidder.
The reimbursement amounts shall be calculated as parts of the project investment costs andbe declared in the bidding documents.
In the case that the private party who submitted the unsolicited proposal places a bid
at the higher price, the below-listed incentives will be offered:- automatic shortlisting into the final bidding round;- the maximum bonus of no greater than 5% of the bidding price.
Figure 18: Procedures for Consideration of Unsolicited Proposals (USP)

Private/Relevant
Sectors

Submit a
USP +Pre-FSPPP Office
One Stop
Service/MPI

CCIPM meeting/a proposal beendorsed

CCIPM be endorsed FS/EIA“DBFO, DBO, BOT, BOOT,
BOO, BTO, BLT, O&M…”

PPP Office andConsultant company
endorsed FS(90 days)

Government/
National
Assembly“Approved”

1. Consider bidders who meetall criteria;
2. Consider standardstechniques;
3. Consider price conditions.

Prepare forbidding(30 days)

Notice for

GOVApproval

Sign the MOU
for conducting
the FS/EIA

Open bidding
for project
developers

Negotiationof MOUSet up the task
force & Create a
TOR for conducting
the FS

Signing the
PPP
Agreement

Concession Investment Procedures

463) Requirements for Solicited and Unsolicited Proposals for Partnership Projects
Solicited and unsolicited proposals for partnership projects shall be in compliancewith the government’s policy and the national socio-economic development plan and withstrategic plans of relevant agencies.
For unsolicited proposals for partnership projects, there are additional requirements
as follows:-

Be a project based on a new initiative of an agency or of a private party;-

Be an important project that uses new technology and innovation, and be goodvalue-for-money;-

Yield high returns and effect a broad socio-economic realm;-

Provide detailed information sufficient for project assessment or for further
project’s feasibility studies;-

If proposed by a private party, the private party shall be responsible for all
costs associated with the project’s preparation and operation, including any
potential risks of the project, without making any requests for financial support
or customs and tax incentives.

Supporting Documents for Public Private Partnership Application
1.

Investment Application forms (printed form);

2. Unsolicited Proposals of Partnership Project with Project development ideas, thoseare certified by the company’s President or CEO (Authorized person);
3. Company history and experience license or business operating license of thecompany;
4. Joint-venture agreement (in case of two or more companies);
5. History and copy of investor's passport;
6. Authorization letter for the representative of the subsidiary or company, in the eventthat such person is not in the highest position of the company;
7. Map of project locations (if available);
8. Documentation of technical information of the project (if available);
9. The letter of financial support of the financial institution or bank (if available);
10. Other relevant documents.

Concession Investment Procedures

47

Part 06
The Representative Office
6.1. Application for Establishing the Representative Office
Representative offices of foreign legal entities are liaison offices acting on behalf of
their parent companies in surveying for investment opportunities and coordinating with
relevant public and private parties in the Lao PDR.
A foreign legal entity wishing to establish its representative office in the Lao PDR
shall submit an application to the Investment One Stop Service Office who in return shallconsider and issue or deny a license for the establishment of the representative office to thecompany within fifteen (15) working days after receiving the application.
The representative office license acknowledges lawful rights of a representative
office to carry out activities in accordance with its terms of reference, rights and obligations,
namely: to collect information on investment opportunities, based on which, its parent
company may decide whether or not to invest in the Lao PDR. Representative offices are notallowed to conduct commercial activities.

6.2. Conditions for Establishing the Representative Office• Must be a foreign legal entity;• The purpose of establishing is to study and collect information for investment
possibility in Lao PDR; and• Activity of the application for establishing the representative office in Lao PDR isbased on the activity of the main company (to study and collect similar data as themain company).

6.3. Application for Establishing the Representative office•

Application for the establishing of the representative office;•

Article of Association (AOA) of the representative office proposing theestablishment;•

Letter of agent appointment and/or Power of Attorney from the mother company toapply for a representative office establishment in Lao PDR with a copy of passportand brief biography of the appointed person;•

Legalized copy of registration certificate of Mother Company;•

Copy of regulations Article of Association (AOA) of main company (If available);•Statement report or Bank Account of Parent Company.

The Representative Office48

Annex 1
Lists of Investment Promotion Activities➢ Horizontal Requirements (HR) for the granting of investment incentives
Enterprises investing in the Lao PDR and wishing to apply for Profit Tax Incentives
and State Land Rental or Concession Fee Incentives must meet the following criteria:
1) Enterprises investing in promoted business sectors according to Article 9 of the
Law on Investment Promotion [must meet] the detailed [criteria] specified in thetable below:
2) The investments must have a minimum value of LAK 1.2 billion, or employ atleast 30 Lao skilled workers, or employ 50 or more Lao laborers with
employment contracts of at least 1 year;
3) Registered capital must be paid up in full as specified in Articles 53 and 54 of
the Law on Investment Promotion;4) Must operate business on regular basis and in compliance with customs, taxes,
and other obligations in accordance with the relevant laws and regulations;5) Must fully and strictly comply with environmental obligations in accordance withlaws and regulations.

In addition to the HRs above, certain business sectors must have the specific requirements(SRs), as follows:
No. LSIC
Sectors
Specific Requirements (SR)I. High and modern technology application, scientific research, research and development,
use of innovative, environmental-friendly [technology] application, and efficient use ofnatural resource and energy
1

2431

Casting of iron and steel

1)Must use modern technology (new machinery notolder than 5 years from the date of production);
2) Must comply with the ISO 14000 standards (within 4
years of receiving a factory operation license);
3) And must comply with the HR.

2

2432

Casting of non-ferrous
metals

1)

3

2610

Manufacture of components
for electronic appliances

HR compliance

4

2620

Manufacture of computersand peripheral equipment

HR complianceMust use modern technology (new machinery notolder than 5 years from the date of production);
2) Must comply with the ISO 14000 standards (within 4
years of receiving factory operation license);
3) And must comply with the HR.

Annex 1 Lists of Investment Promotion Activities

49

5

2631

Manufacture ofcommunication equipment

HR compliance

6

2640

Manufacture of electronic
appliances

HR compliance

7

2660

HR compliance

8

2670

9

2710

Manufacture of medical
lamps and electromedical
testing and radiology
equipment
Manufacture of eye testing
equipment and peripherals
Manufacture of electricmotors, generators,
transformers and electricity
distribution and control
apparatus

10

2720

Manufacture of batteries andaccumulators

HR compliance

11

2731

Manufacture of fiber-optic
cablesHR compliance

12

2732

HR compliance

13

2733

14

2740

15

2750

Manufacture of otherelectronic and electric wires
and cables
Manufacture of wiring
devices
Manufacture of electric
lighting equipment
Manufacture of electricalappliances [for use] inbuildings

16

2811

Manufacture of engines andturbines, except aircraft,vehicle and cycle engines

1)

17

2812

Manufacture of fluid power
equipment

1)

18

2813

Manufacture of otherpumps, compressors, taps
and valves

HR compliance
HR compliance

HR compliance
HR compliance
HR complianceMust use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years of the dateof production;2) Must comply with the ISO 9001 standards (within 4
years from the commencement of production);
3) And HR compliance.
Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years of the dateof production;2) Must comply with the ISO 9001 standards (within 4
years from the commencement of production);
3) And HR compliance.
1) Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years of the dateof production;

Annex 1 Lists of Investment Promotion Activities

502) Must comply with the ISO 9001 standards (within 4
years from the commencement of production);
3) And HR compliance.
19

2814

Manufacture of bearings,
gears, gearing and driving
elements

1)

Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years of the dateof production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
3) And HR compliance.

20

2815

Manufacture of ovens,furnaces and furnace
burners

1)

21

2816

Manufacture of lifting andhandling equipment

1)

22

2819

Manufacture of othergeneral-purpose machinery

1)

23

2821

HR compliance

24

2822

Manufacture of agriculturaland forestry machinery
Manufacture of metalforming machinery andmachine tools

25

2823

Manufacture of machinery
for metallurgy

1)Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years of the dateof production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production;3) And HR compliance.
Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
3) And HR compliance.
Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production;3) And HR compliance.

HR complianceMust use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
3) And HR compliance.

Annex 1 Lists of Investment Promotion Activities

51

26

2824

Manufacture of machinery
for mining, quarrying andconstruction

1)

Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
3) And HR compliance.

27

2825

Manufacture of machinery
for food and beverage
processing

HR compliance

28

2826

Manufacture of machinery
for textile, apparel andleather production

1)

29

2910

Manufacture of motor
vehiclesHR compliance

30

2920

1)

31

3091

Manufacture of bodies(coachwork) for motor
vehicles; manufacture oftrailers andsemi-trailers
Manufacture of motorcycles

32-

Manufacture of solar energy
equipment, such as
inverters, power control
units (PCUs), solar panels,
streetlights, and so forth

1)

33

-

Promotion of thedevelopment of renewableenergy to generate
electricity, such as solar PV,
solar thermal, wind energy,
biofuel, and biodiesel

1)

Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
3) And HR compliance.

Must comply with the ISO 9001 standards (within 4
years of from the commencement of production);
2) 20% of the number of parts must be manufactured
domestically.
1)

Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years from the commencement of production);
3) IKD manufacturing;4) And HR compliance.
Must use modern automated or semi-automatedtechnology (with a number of workers to assist) andmachinery must not be older than 5 years from thedate of production;2) Must comply with the ISO 9001 standards (within 4
years from the commencement of production);
3) And HR compliance.
The investment must generate high revenues for thecountry;2) The investment must be sustainable, green, andcause no harm to the environment;
3) The investment must have value-added products;
4) The investment must pass on knowledge foroccupational skills;

Annex 1 Lists of Investment Promotion Activities

525) There must be modern technology and ISO or GMP
standards;
6) There must be project operations [taking place]
within the country and the hiring of domestic
workers;7) There must be domestic and overseas market
demand;8) And HR compliance.
34-

Promotion of the cultivationof energy crops and the
production and use of
biodiesel and bioethanol;
promotion of the productionof green H2

1)
2)
3)
4)
5)
6)

7)
8)
35

-

Promotion of the productionof biogas from factories andagricultural leftovers for use
in the generation ofelectricity and in thetransport and foodprocessing sectors

1)
2)
3)
4)
5)
6)

7)
36

-

Promotion of the productionof chemical components forthe production of biodiesel

1)
2)
3)
4)
5)

The investment must generate high revenues for thecountry;
The investment must be sustainable, green, andcause no harm to the environment;
The investment must have value-added products;
The investment must pass on knowledge foroccupational skills;
There must be modern technology and ISO or GMP
standards;
There must be project operations [taking place]
within the country and the hiring of domestic
workers;
There must be domestic and overseas market
demand;And HR compliance.
The investment must generate high revenues for thecountry;
The investment must be sustainable, green, andcause no harm to the environment;
The investment must have value-added products;
The investment must pass on knowledge foroccupational skills;
There must be modern technology and ISO or GMP
standards;
There must be project operations [taking place]
within the country and the hiring of domestic
workers;
And HR compliance.
The investment must generate high revenues for thecountry;
The investment must be sustainable, green, andcause no harm to the environment;
The investment must have value-added products;
The investment must pass on knowledge foroccupational skills;
There must be modern technology and ISO or GMP
standards;

Annex 1 Lists of Investment Promotion Activities

536) There must be project operations [taking place]
within the country and the hiring of domestic
workers;7) And HR compliance.
37-

Manufacture of electricvehicles (electricautomobiles, electricmotorbikes, and electricbicycles)1)

The investment must generate high revenues for thecountry;2) The investment must be sustainable, green, andcause no harm to the environment3) The investment must have value-added products;
4) The investment must pass on knowledge foroccupational skills;5) There must be modern technology and ISO or GMP
standards;
6) A factory must be established for the assembly or
production of both vehicles and parts;
7) Domestic workers and materials existing within the
country must be used;
8) Aftersales services must be provided;9) There must be domestic and overseas market
demand to allow sales;10) [The disposal or recycling of] equipment andmaterials which have passed their useful life, such asbatteries, must be properly managed;11) And HR compliance.

38-

Processing of solid waste
and leftovers into
universal/recycled energy

1)
2)
3)
4)
5)
6)
7)
8)

39

-

Production of biofuels, suchas biodiesel (B5, B10, andB20) and biofuels (E5, E10,
E20, E85, and E95)

1)
2)
3)
4)
5)

The investment must generate high revenues for thecountry;
The investment must be sustainable, green, andcause no harm to the environment ;The investment must have value-added products;
The investment must pass on knowledge foroccupational skills;
There must be modern technology and ISO or GMP
standards;
The project must be established within the country
and domestic workers must be hired;Exclusively solid waste located domestically can beused;
And HR compliance.
The investment must generate high revenues for thecountry;
The investment must be sustainable, green, andcause no harm to the environment;
The investment must have value-added products;
The investment must pass on knowledge foroccupational skills;
There must be modern technology and ISO or GMP
standards;

Annex 1 Lists of Investment Promotion Activities

54

6)

7)

A factory must be established for production andblending with petroleum and domestic workers mustbe hired;
And HR compliance.

II. Clean, toxic-free agriculture, planting seed production, animal breeding, industrial
plantations, forestry development, protection of the environment and biodiversity, andactivities promoting rural development and poverty reduction
400111
Growing of cereals (except
1) Must have GAP or OA accreditation within 3rice), leguminous crops,
years.
and oil seeds (such as2) Other conditions specified in the relevant laws
soybeans, mung beans,
and regulations in force during each period
peanuts, cowpeas, sacha
must be met;inchi (Plukenetia volubilis),3) And HR compliance.
kidney beans, sweetcorn,
corn (maize), sesame seeds,
Job’s tears, etc.)
41

0112

Growing of rice (including
wheat)

1)

Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.

42

0113

Growing of vegetables andwatermelons, roots andtubers (such as cassava,
sweet potatoes, potatoes,
white turnips (Pachyrrhizus
angulatus), taro, etc.)

1)

43

0114

Growing of sugar cane

1)

44

0116

Growing of fiber crops

1)

45

0121

Growing of grapes

1)

Must have GAP or OA accreditation within 3
years.
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
Must have GAP or OA accreditation within 3
years2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met3) And HR compliance.
Must have GAP or OA accreditation within 3
years.
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
Must have GAP or OA accreditation within 3
years;

Annex 1 Lists of Investment Promotion Activities

552) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
46

0122

Growing of tropical andsubtropical fruits (such as
bananas, mangos, papayas,
pineapples, tamarinds,avocados, and grapes, etc.)

1)

Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.

47

0123

Growing of citrus fruits(such as lime and kaffir
lime)

1)

48

0126

Oleaginous fruits (such as
coconuts, palm trees, beachmulberries (Morinda
citrifolia, etc.)

1)

49

0127

Growing of beverage crops(such as coffee, tea, etc.)

1)

50

0128

Growing of spices,aromatic, drug andpharmaceutical crops

1)

51

0129

Growing of otherperennial/industrial trees(exclusive of the growing of
rubber trees)

1)

Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.
Must have GAP or OA accreditation within 3
years;
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.

2)
3)
4)

5)

Must have GAP or OA accreditation within 3
years;The investment must have value-added products;
A processing plant must be established;
Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
And HR compliance.

Annex 1 Lists of Investment Promotion Activities

56

Remark: Individuals and legal entities can plant rubber
trees provided that conditions allow, especially in regard
to land, capital, and a definite market, but theGovernment does not allow State land concessions forthe additional planting of rubber trees.
52-

Reforestation andafforestation to produce
carbon credits (carbon
trading)1)Compliance with the relevant laws andregulations in force during each period;2) And HR compliance.

53

0130

Publicity of plant
propagation (including the
production of equipment forplanting crops, taking
cuttings of vegetable plants
and bamboo, and cultivars
to be directly promoted or
to be accumulated forbreeds to be selected for
cultivation in practice)

1)

54

0141

Raising of cattle andbuffalos (the raising of cattle
and buffalos and the
production of calves
thereof)1)

Must have GAP or OA accreditation within 3
years.
2) Other conditions specified in the relevant laws
and regulations in force during each period
must be met;
3) And HR compliance.

2)

3)
4)

5)
55

0142

Raising of horses and otherequines (the raising and the
production of foals)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified by supervisory and veterinaryorganizations and other conditions specified in
the relevant laws and regulations in force during
each period;
And HR compliance.

1)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;2) There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;

Annex 1 Lists of Investment Promotion Activities

573) Agreement must be obtained from the relevant
sector(s) and local authorities;4) Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;5) HR compliance.
56

0144

Raising of sheep and goats(raising and production oflambs and kids)

1)

2)

3)
4)

5)
57

0145

Raising of swine/pigs(raising of pigs andproduction of piglets)

1)

2)

3)
4)

5)
58

0146

Raising of poultry (raisingand production of poultry)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance.
There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance.

1)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;2) There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
3) Agreement must be obtained from the relevant
sector(s) and local authorities;

Annex 1 Lists of Investment Promotion Activities

584) Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;5) And HR compliance.
59

0149

Raising of other animals(raising and production ofother animals’ young)

1)

2)

3)
4)

5)
60

0322

Freshwater aquaculture

1)

2)

3)
4)

5)
61

21009

Production and provision ofveterinary medicines andthe veterinary products

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance.
There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance.

1)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;2) There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
3) Agreement must be obtained from the relevant
sector(s) and local authorities;

Annex 1 Lists of Investment Promotion Activities

594) Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;5) And HR compliance.
62-

Production and provision ofequipment of livestockraising and fisheries

1)

2)

3)
4)

5)
63

7500

Construction of veterinary
hospitals

1)

2)

3)
4)

5)
64

1080

Manufacture of preparedanimal feeds

1)

65

72102

Research and development
into agricultural science,

1)

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance
There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
Agreement must be obtained from the relevant
sector(s) and local authorities;
Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;
And HR compliance.

There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;2) Agreement must be obtained from the relevant
sector(s) and local authorities;3) Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;4) And HR compliance.
There must be suitable land, capital, head
offices, structures, equipment, tools, andvehicles;Annex 1 Lists of Investment Promotion Activities

60

livestock raising, veterinary
medicine, and fisheries

2) There must be specialists in animal raising of
diploma level or above or certified veterinarians
with work experience relating to animal raising.
Businesses associated with veterinary [services]must have veterinarians and veterinary nurses
certified by the Veterinary Council;
3) Agreement must be obtained from the relevant
sector(s) and local authorities;4) Must have ISO 17025 accreditation;5) Must comply with other necessary conditions
specified in the relevant laws and regulations inforce during each period;6) And HR compliance.

III. Environmentally-friendly agricultural processing industry, national traditional and uniquehandicraft processing industry
66

1021

Processing and preservingof meat and fish products

HR compliance

67

1031

Processing and preservingof fruit and vegetables

HR compliance

68

1041

Manufacture of vegetable
and animal oils and fats

HR compliance

69

1051

Manufacture of dairy
products

HR compliance

70

1062

Manufacture of starch
products

1)

71

1072

Manufacture of sugar

1)

72

1311

Preparation and spinning of
textile fibers

HR compliance

73

1312

Weaving of textiles

HR compliance

74

1313

Finishing of textiles

HR compliance

75

1391

Manufacture of knitted andcrocheted fabrics

HR complianceMust be ISO 9001, ISO 14000, GMP, or
HACCP accredited (within 4 years from thecommencement of production)2) And HR complianceMust be ISO 9001, ISO 14000, GMP, or
HACCP accredited (within 4 years from thecommencement of production)2) And HR compliance

Annex 1 Lists of Investment Promotion Activities

61

76

1392

Manufacture of made-up
textile articles except
apparelHR compliance

77

1393

Manufacture of carpets andrugs

HR compliance

78

1411

Manufacture of apparel (notincluding clothing tailoredfor men and women)

79

1430

Manufacture of knitted andcrocheted apparelHR compliance

80

1629

Manufacture of otherproducts of wood;
manufacture of articles ofstraw and plaiting materials

HR compliance

81

2012

Manufacture of fertilizers
and nitrogen compounds

1)Must have ISO 9001 accreditation or otherinternational standard (for tanning, curing, ordyeing, ISO 14000 is required) within 4 years
from the commencement of production;2) And HR compliance1)

Must use modern automated or semi-automatedtechnology (with a number of workers to assist)and machinery must not be older than 5 years ofthe date of production2) Must have ISO 14000 accreditation within 4
years from the commencement of production3) And HR compliance.

IV. Environmentally-friendly and sustainable natural, cultural, and historical tourism
development industry
82

55101

Investment into hotels of fiveor more stars

1)

Must have a hotel of five or more stars as
specified in the laws and regulations of theinformation, culture, and tourism sector;
2) And HR compliance.

83-

Investment into national-level
natural, cultural andhistorical tourist sites

1)Must have a tourist site which has yet to be
developed;
2) Must meet other conditions specified in therelevant laws and regulations in force during
each period;3) And HR compliance.

V. Education, sports, human resource development and labor skill development, vocational
training institutions or centers, production of educational and sports equipment;
84

3220

Manufacture of musicalinstruments

HR compliance

Annex 1 Lists of Investment Promotion Activities

62

85

3230

Manufacture of sports goods

HR compliance

86

8510

Pre-primary and primaryeducation

HR compliance

87

8521

General secondary
education

HR compliance

88

8522

TVET

HR compliance

89

8530

Higher education

HR compliance

90

8541

Sports and entertainment
education (artistic
performances andexhibitions)

HR compliance

91

8542

Cultural education

HR compliance

92-

Construction of vocational
skills development centers

HR compliance

VI. Construction of modern hospitals, pharmaceutical and medical equipment factories, andproduction of and treatment by traditional medicines
938610
General hospital activities
1) Compliance with the specific conditions
specified in the relevant laws and regulations inforce during each period;2) HR compliance.
94-

Specialized hospitals(ophthalmological,
dermatological, dental,
cardiovascular, plastic
surgery and beautification,and physiotherapeutic)

1)

Compliance with the specific conditions
specified in the relevant laws and regulations inforce during each period;2) HR compliance.

95-

Traditional medicine
hospitals (treatment using
traditional medicine,including acupuncture,
herbal saunas, andtraditional massage)

1)

96

2100

Manufacture ofpharmaceuticals (for bothmodern and traditional
medicine), chemical
products used in theprocessing of1)

Compliance with the specific conditions
specified in the relevant laws and regulations inforce during each period;2) HR compliance.

Must use modern automated or semi-automatedtechnology and machinery must not be older
than 5 years of the date of production;2) Must be GMP (ASEAN CMP, PICS-GMP. WHO)accredited within 4 years from thecommencement of production;

Annex 1 Lists of Investment Promotion Activities

63

97

3250

pharmaceuticals andbotanical medicines,
including:
Vaccine manufacture;
Raw materials andchemicals forpharmaceuticalmanufacture;
Health supplement
products.

3) HR compliance.

Manufacture of medical
equipment

1)

Must use modern automated or semi-automatedtechnology and machinery must not be older
than 5 years of the date of production;2) Must be ISO 13485 accredited within 4 years
from the commencement of production;3) And HR compliance.

VII. Investment, service provision, and development of public infrastructure for urban traffic
congestion reduction and residence facilities, infrastructure development for agriculturaland industrial production, freight transportation and transit services, and international
connections
98
4921
Urban and suburban
1) Individuals or legal entities wishing to establish
passenger land transport
an enterprise must have experience in the(buses)operation of a land transport business;
2) Must have specialists with technical skills in landtransport and other relevant specialists innumbers suitable to the scale of the businessactivity;3) Must have suitable capital, head offices, service
locations, vehicles, equipment, and facilities;4) Must have routes approved by the public works
and transport sector for the transportation ofpassengers;5) Must have professional ethics for land transport;
6) Must be a domestic investment or joint venturewith foreign partners (but the foreign investors
can have a maximum shareholding of 49%);
7) 100% of the passenger transport vehicles must
be new;
8) And HR compliance.
99

4922

Domestic interprovincial
passenger transport

1)

Individuals or legal entities wishing to establish
an enterprise must have experience in theoperation of a land transport business;
2) Must have specialists with technical skills in landtransport and other relevant specialists innumbers suitable to the scale of the businessactivity;

Annex 1 Lists of Investment Promotion Activities

643) Must have suitable capital, head offices, service
locations, vehicles, equipment, and facilities;4) Must have routes approved by the public works
and transport sector for the transportation ofpassengers;5) Must have professional ethics for land transport;
6) Must be a 100% domestic investment;7) 100% of the passenger transport vehicles must
be new;
8) And HR compliance.
100

4923

Domestic freight transport

1)

2)

3)
4)
5)
6)

Individuals or legal entities wishing to establish
an enterprise must have experience in theoperation of a land transport business;
Must have specialists with technical skills in landtransport and other relevant specialists innumbers suitable to the scale of the businessactivity;
Must have suitable capital, head offices, service
locations, vehicles, equipment, and facilities;
Must have professional ethics for land transport;
Must be a 100% domestic investment;
And HR compliance.

101

41002

Vehicle parking businessactivities

1) Must have a feasibility study (FS)2) Must have specialists with experience inoperating a business;
3) Must have suitable capital for the scale and typeof activities;4) Must have an affirmation for the location of thehead offices;5) Must have a financial status certificate from abank;6) The public works and transport sector is
responsible for inspecting and approving [suchactivities] and providing an opinion prior toenterprise registration;7) It must be a domestic investment or joint venturewith foreigners (but the foreign investors canhave a maximum shareholding of 49%);
8) And HR compliance.

102

3011

Building of ships andfloating structures

1)

Must generate jobs and impart knowledge, skills,
and occupational expertise to Lao specialists;
2) Must promote the ancestral skills and knowledgeof Lao people to be sustainable and develop
further in the future;3) Must attract foreign investment for generating
value and revenues domestically;

Annex 1 Lists of Investment Promotion Activities

654) Must reduce reliance on and the importation offinished boats from overseas;5) Must incorporate modern working techniques
and technologies into their production as
appropriate;
6) Must promote environmentally friendly watertransport;
7) And HR compliance.
103

3012

Building of pleasure andsporting boats

1)
2)

3)
4)
5)

6)
7)
104

5021

Inland passenger watertransport

1)

2)
3)
4)
5)

6)
7)
105

5022

Inland freight watertransport

Must generate jobs and impart knowledge, skills,
and occupational expertise to Lao specialists;
Must promote the ancestral skills and knowledgeof Lao people to be sustainable and develop
further in the future;
Must attract foreign investment for generating
value and revenues domestically;
Must reduce reliance on and the import offinished boats from overseas;
Must incorporate modern working techniques
and technologies into their production as
appropriate;
Must promote environmentally friendly watertransport;
And HR compliance.
Water transport has been a tradition associatedwith the lives, livelihoods, and lifestyles of Laopeople and a traditional custom since time
immemorial;
Water transport is economical, safe, andenvironmentally friendly;Must provide access to remote areas with noland transport access;Must promote modern water tourism and attract
the attention of domestic and foreign tourists;
Must generate added value for tourists and thepreservation of the fine customary traditions of
the country;
Water transport can link up to other forms oftransport at local and regional levels;
And HR compliance.

1)

Water transport has been a tradition associatedwith the lives, livelihoods, and long-establishedcustom of Lao people;
2) Water transport is economical, safe, and ecofriendly;
3) Freight transported by water can take place ingreat volumes and reduce land travel and theconstruction and repair of expensive roads;

Annex 1 Lists of Investment Promotion Activities

664) Water transport can link up to other forms oftransport at local and regional levels;
5) And HR compliance.
VIII. Policy banks and microfinance institutions, focusing on poverty reduction for people andcommunities who have less access to a bank
106 Savings and Credit Unions
1) SCUs must comply with the conditions specified(SCUs)
by BOL;2) Must be in areas where basic infrastructure isunconducive to investment and the geographicallocations thereof are mostly in remotemountainous areas listed as Zone 1;3) Must be certified and requested by BOL;
4) And HR compliance.
IX. Modern commercial centers promoting domestic products and world-renowned brands,
exhibition centers, and fairs for domestic industrial, handicraft and agricultural products
107 Establishment of modern
HR compliancecommercial centerspromoting domestic
products and worldrenowned brands
108-

Establishment of markets inrural remote areas

HR compliance

Remarks:- GAP refers to Good Agricultural Practices- GMP refers to Good Manufacturing Practices- HACCP (Hazard Analysis Critical Control Point) refers to Hazard Analysis Critical Control
Point in food processing.
- IKD (Incompletely Knocked Down) refers to components which are incompletely
unassembled and separated from overseas to be imported for assembly at a factory while
a number of the components and parts are manufactured and finished within the country.
- ISO refers to International Organization for Standardization- ISO 9001 refers to a specification of standards for the quality and development of
production, installations, and services.
- ISO 13485 refers to a specification of medical device quality management systems.
- ISO 14000 refers to a specification of standards for environmental management systems.
- ISO 17025 refers to general specifications to certify the competence of researchlaboratories.
- LSIC (Lao Standard Industrial Classification of All Economic Activities) refers to thedemarcation of the economic sectors of the Lao PDR.
- OA (Organic Agriculture) refers to a specification of standards for organic agriculture.
- PICS-GMP (Pharmaceutical Inspection Co-operation Scheme – Good Manufacturing
Practices) refers to specifications for pharmaceutical inspection and quality assessment.
- WHO (World Health Organization) refers to the World Health Organization.

Annex 1 Lists of Investment Promotion Activities

67Annex 2
Lists of Districts in Each Investment Promotion Zones
Name
Province / Capital

Investment Promotion Zones
Zone 1

Vientiane Capital
City

Phongsaly Province

Luang Namtha
Province
Oudomxay Province-- Phongsaly District- May District- Khoua District- Samphanh District- Yot Ou District- Boun Tay District- Long District- Nalae District- Nga District- Parkbeng District

Bokeo Province-

Luang Prabang
Province- Parkseng District

Houaphanh Province- Hua Mueng District- Sam Tay District- Guan District

Zone 2- Chanthabouly District- Sikhottabong District- Xaysettha District- Sisattanak District- Naxaithong District- Xaythany District- Hadxayfong District- Sangthonf District- Park-Nguem District

Zone 3Special economic
zones are establishedby agreement of thegovernment from time
to time.

- Boun Neua District- Luangnamtha District- Sing District- Viengphukha District- Xay District- Rar District- Na-Mor District- Beng District- Houn District- Houai Xai District- Ton Pheng District- Meng District- Pha-ou-dom District- Parktha District- Luang Prabang City- Xiengngern District- Nan District- Park-ou District- Nambark District- Ngoy District- Chomphet District- Phoukhun District- Phonexay District- Viengkham District- Phonethong District- Sam Neua District- Haim Distric (Vieng thong
District)

Annex 2 Lists of Districts in Each Investment Promotion Zones

68

- Xon District

Xayaboury Province- Xaysathan District

Xiengkhuang
Province-

Vientiane Province-

Bolikhamxay
Province

Khammuan Province- Xay chan phone
District-- Xiengkho District- Viengxay District- Sopbao District- Et District- Xayabouly District- Khob District- Hongsa District- Ngern District- Xieng Hone District- Phieng District- Parkrai District- Gand Thao District- Bor Tand District- Thongmixay District- Paek District- Kham District- Khoun District- Phoukhuth District- Phar Xay District- NongHat District- Mock District- Phonehong District- Thoulakhom District- Keo-ou-dom District- Ga-si District- Vang Vieng District- Phueng District- Sanakham District- Mad District- Vieng kham District- Hin-Heb District- Muern District- Park sanh District- Tha pha bath District- Park ga dinh District- Bor li khan District- Kham kheth District- Vieng thong District- Tha khaek District- Ma ha xay District- Nong bork District- Hin boun District- Nhom ma lath District- Bua la pha District- Na Gai District- Say bang phai District- Xay bua thong District- Khounkham District

Annex 2 Lists of Districts in Each Investment Promotion Zones

69

Savannakhet
Province- Nong District

Salavanh Province- Ta Oy District- Sa Mouay District

Sekong Province- Kaleum District

Champasack
Province-

Attapeu Province-

Xaysomboun
Province- Long Chaeng
District- Hom District- Kaysone Phomvihan City- Outhoumphone District- Atsaphangthong District- Phin District- Thapangthong District- Songkhone District- Champhone District- Xone bou ly District- Xay bou ly District- Say Phorn District- Vi-la-bou-ly District- Assaphone Diatirct- Xay phou thong District- Pha lan xay District- Salavanh District
Toumlan District- Lakhonepheng District- Vapy District- Khongsedone District- Lao Ngam District- La Mam District- Tha Teng District- Dak Chueng District- Pakse City
- Sanasomnoun District- Ba-Chieng-Chaleuansouk
District- Paksong District- Pathouphone District- Phone thong District- Champasack District- Soukhoumma District- Mouanlapamok District- Khong District- Xaysettha District- Samakhixay District- Sanamxay District- Phou Vong District- Sanxay District- Anouvong District- Tha thom District- Long Xan District

Annex 2 Lists of Districts in Each Investment Promotion Zones

70

Annex 3
List of Supporting Document for Investment Incentive Application
Items
AnnualImport Plan
(Master Plan)

Required Supporting Documents
1) An application for duty and value added tax incentive for the Annual Import
Plan;2) Letter of Authorization for applying Investment Incentive certified by the
director of company;
3) A brief business operating report (provided in application form);
4) A draft Annual Import Plan (According to application form of the Planningand Investment Sector) and soft file form;5) Copy of Investment License (if any), Enterprise Registration Certificate;
Business Operating License from the relevant authorities; Certificate ofannual tax payment of previous year, Environment Certificate; Contract
signed with the government (In the case of concession investment projects)
and Construction Permits (in case of company / factory requesting for a new
construction);6) Copy of the Annual Import Plan of the previous year; and
7) Copy of the Annual Business Plan of the enterprise approved by the Industry
and Commerce sector (In the case of enterprises or factories engaged in
production) and Import Plans that are technically approved by the relevant
authorities.
- For chemicals must first have a chemical registration certificate from the
Department of Industry and Handicrafts, Ministry of Industry andCommerce.
- For pesticides and fertilizers, a certificate of registration of pesticides andfertilizers must be obtained from the Department of Agriculture, Ministryof Agriculture and Forestry.
(8-10 Sets)

Additional
Import Plans

1) An application for duty and value added tax incentives for additional importplans;
2) Letter of attorney for the operator to run the document by certification andapproval from the Director of the Enterprise;3) A brief business operating report (provided in application form);
4) A draft Additional Import Plan (According to application form of the Planningand Investment Sector) and soft file form;5) Copy of Investment License (if any), Enterprise Registration Certificate;
Business Operating License from the relevant authorities; Certificate ofannual tax payment of previous year, Environment Certificate; Contract
signed with the government (In the case of concession investment projects)
and Construction Permits (in case of company / factory requesting for a new
construction);6) Copy of the Annual Import Plan (of the year that apply for import additional
plans) approved by the Planning and Investment Sector;
7) Copy of the Annual Business Plan of the enterprise approved by the Industry
and Commerce sector (In the case of enterprises or factories engaged in
production) and Import Plans that are technically approved by the relevant
authorities.

Annex 3 List of Supporting Document for Investment Incentive Application

71

-

-

For chemicals must first have a chemical registration certificate from the
Department of Industry and Handicrafts, Ministry of Industry andCommerce.
For pesticides and fertilizers, a certificate of registration of pesticides andfertilizers must be obtained from the Department of Agriculture, Ministryof Agriculture and Forestry.
(08 Sets)

Emergency
ImportLicense(Certification
toimport goods
through IM8)1) An emergency import permit application (certification to import goods_IM8);
2) Certificate from relevant departments such as Energy and Mines, etc.
3) Copy of Investment License (If have);4) Copy of Enterprise Registration Certificate;5) Copy of Business Operating License from the relevant authorities;6) Copy of the annual tax return certificate; and
7) Copy of Invoice (Quotation or Invoice).

The Licensetoeliminatevehiclelicenseplates1) Company’s request letter to eliminate vehicle license plates;
2) Copy of the vehicle import certificate from the Planning and Investment
Sector or Finance Sector;
3) Copy of the import tax license at a reduced rate and a detailed customs
declaration (issued by Tax Sector);4) Copy of vehicle registration certificate and vehicle registration tracking
book in Lao PDR (Department of Transports, Ministry of Public Works, andTransport);
5) Copy of Investment License (If any);6) Copy of Enterprise Registration Certificate;7) Copy of Business Operating License;
8) Copy of the tax registration; and
9) A certificate from the company that the company will not apply more for avehicle incentive if this vehicle is eliminated (for the company that eliminate
vehicle plates illegally).

(01 Set)(01 Set)The license
for exportback1) An application request for export back;2) Certificate from relevant departments such as Energy and Mines, etc.
3) Copy of the import incentive certificate from the Planning and Investment
or Finance Sector;
4) A copy of the tax payment certificate (issued by the Tax Sector);5) Copy of Investment License (if any);6) Copy of Enterprise Registration Certificate;7) Copy of Business Operating License from the relevant authorities;8) Copy of the annual tax payment certificate; and
9) Copy of invoice (Quotation or Invoice).
(01 set)Annex 3 List of Supporting Document for Investment Incentive Application

72

Renew thelicense fortemporary
import ofvehicles

1) An application for export back;2) A certificate from relevant departments such as energy and mining, etc.
3) Copy of the import policy from the planning and investment or financial
sector;4) A detailed copy of the tax pay (issued by the tax department);5) Copy (book) of temporary import license (Customs Department, Ministry of
Finance);6) Copy of Investment License (if have);7) Copy of Enterprise Registration Certificate;8) Copy of Business Operating License from the relevant authorities; and
9) Copy of the annual tax payment certificate;(01 set)1) Company’s request letter;2) Copy of Investment License (if have), Enterprise Registration Certificate,

The
Investment
Incentive
Certificate

Business Operating License, taxpayer identification certificate or certificate
of tax obligation and contract signed with the government (in case ofconcession investment project);3) Copy of certificate of import foreign capital (in case of the investor isforeigner);4) Copy of Environment Certificate;5) Copy of the economic-technical analysis or business plan approved by therelevant authorities; and6) Other relevant documents as needed;(08 sets)
The Oversea
Investment
License1) An application for Oversea Investment;
2) A Report on the activities of the company in the past, especially the
obligations, taxes, fees and other fees related to the conduct of its
business in a complete and timely manner;
3) A report on future action plans and targets for overseas investment
projects;
4) A Certificate of audit of the last 2 years from the financial department or
an independent auditing company; and
5) Copy of Investment License (if available);6) Copy of the Enterprise Registration Certificate;7) Copy of the Business Operating License; and
8) Copy of annual tax payment certificate (last 2 years);(04 sets)

Annex 3 List of Supporting Document for Investment Incentive Application73Annex 4
Fee for the Enterprise Registration Certificate(The Presidential Ordinance on Levies and Service Fees No. 002/President, dated 17
June 2021)
1.
•

Levies requesting enterprise registration at Industry and Commerce sector
Levies to be paid
The fee for issuing Enterprise Registration Certificate shall be collected according
to the size of the registered capital
No.

Enterprise registered capital

Unit

Kip

1
2

From 1.000.000 Kip to 10.000.000 Kip
More than 10.000.000 kip to 20.000.000 kip

Time
Time

20.00050.00034More than 20.000.000 kip to 50.000.000 kip
More than 50.000.000 kip to 100.000.000 kip

Time
Time

100.000
300.000

5More than 100.000.000 kip to 400.000.000 kip

Time

500.000

67More than 400.000.000 kip to 1 billion kip
More than 1 to 10 billion kip

Time
Time

1.000.000
2.600.000

89More than 10 to 20 billion kip
More than 20 billion kip

Time
Time

4.000.000
6.000.000

Descriptions
Printed an application form for business registration of
an individual enterprise
Printed an application form for business registration of
a Sole Limited Company
Printed an application form for business registration ofan Ordinary Partnership, Limited Partnership, Stateowned enterprises, Public companies, and Limited
Company

Unit
Set

Kip
20.000Set

80.000Set

100.000

4

Printed an application form to change enterprisecontent

Set

20.0005

Printed a temporary or permanent dissolution noticeSet

20.0006

Printed a request to establish a branch of a foreign legal
entitySet

100.000

7
8

Printed a Business Registration Certificate
For copying enterprise registration information

Time
Time

50.000
5.000

•
No.
1
2
3

Service charge:

Annex 4 Fee for the Enterprise Registration Certificate

74Annex 5
Land Concession Rate in Mining Activities(The Presidential Ordinance on Rental and Concession Rates of State-Owned Land
No. 02/President, dated 18/11/2009)
Rate of concession(USD/Ha/Year)No.

Mineral types

1

Precious and Semi-Precious
Stones2

3

SurveyExploration

EconomicTechnicalanalysis

Exploitation• Diamond, Ruby, Sapphire,
Emerald, jade

2

2

3

700

• Spinal, Garnet, Topaz, etc.

1

1

2

500

• Opal, Agate, Amethyst
Precious metals:• Gold, Platinum• Sliver

1

1

2

300

2

3

100

1

Base Metals:• Copper• Lead, Zinc

1
1

2
2

3
3

60
80

4

Tin and Tungsten• Tin and Tungsten

1

2

3

100

5

Minor metal• Antimony, Molybdenum,
Bismuth, Mercury,
Aluminum

1

2

3

60

1
1

2
2

3
3

80
70

1

2

3

50

1

2

3

50

Evaporate minerals:• Gypsum• Potash• Halite

1
0,5
0,5

2
1
1

5
3
3

30
20
20

Energy minerals:• Coal• Anthracite

1

2

3

70

6

7

8

9

10

Ferrous metals:• Chromium Nickel• Iron, manganese, Pyrite
Industrial minerals• Alunite, Asbestos, Barite,
Laterite, Kaolin,
Limestone, marble
Stones: (Construction)
sandstone, andesite,
granodiorite, basalt, granite

Remarks

Annex 5 Land Concession Rate in Mining Activities

75

11
12

• Lignite• Peat

1
0.5

2
1

3
2

70
30

Ground water, mineralwater, natural thermal water

0,5

1

3

20

Oil and Gas

Based on the signed contract between Government and company❖ Remarks:• In case there are several types of minerals in the concession zone, calculation
shall be based on the main minerals approved by the Government.
•

Concession rate at searching step increases from 0,5-0,6 dollar/hectare/year
to 0,5-2 dollars/hectare/year or 3,3 times on average.

•

Concession rate at exploration step increases from 0,5-0,7dollar/hectares/year to 1-2 dollars/hectare/year or 2,8 time on average.

•

Concession rate at economic analysis step increases from 0,8
dollar/hectare/year to 2-5 dollars/hectare/year or 6,2 times on average.

•

Concession rate at Exploitation step increases from 3-12 dollars/hectare/year
to 20-700 dollars/hectare/year or 8,2 times on average.

Annex 5 Land Concession Rate in Mining Activities

76

Contact Information
The Investment One Stop Service Office, Investment Promotion
Department:
The Investment One Stop Service Division (IPD6)
Tel: +856 21 217 012, Fax: +856 21 215 491;
The Administration Division (IPD1):
Tel: +856 21 218 378;
The Investment Promotion Division (IPD2):
Tel: +856 21 216 662, Email: ipd2@investlaos.gov.la;
The Investment Project Appraisal Division (IPD3):
Tel: +856 21 2166 63;
The Contract Appraisal and Management Division (IPD4):
Tel: +856 21 216 556;
The Project Monitoring and Evaluation Division (IPD5):
Tel: +856 21 217 014;
The Investment Cooperation Division (IPD7):
Tel: +856 21 219 568;
The Public Private Partnership Division (IPD8):
Tel: +856 21 215 636, Email: pppcenterlaos@gmail.com.
Email: ipd-mpilaos@investlaos.gov.la , Website: www.investlaos.gov.laContact Information

77

Provincial Department of Planning and Investment
1)Phongsaly Provincal Department of Planning and Investment
Tel: +856-88-210486, Fax: +856-88-210371

2) Luangnamtha Provincal Department of Planning and Investment
Tel: +856-86-312165, Fax: +856-86-212201
3) Bokeo Provincal Department of Planning and Investment
Tel: +856-84-211490, Fax: +856-84-211490
4) Oudomxay Provincal Department of Planning and Investment
Tel: +856-81-312036, Fax: +856-81-312036
5) Luang Prabang Provincal Department of Planning and Investment
Tel: +856-71-212331, Fax: +856-71-212781
6) Xayaboury Provincial Department of Planning and Investment
Tel: +856-74-211041, Fax: +856-74-211041
7) Xiengkhuang Provincial Department of Planning and Investment
Tel: +856-61-312023, Fax: +856-61-312133
8) Huaphanh Provincial Department of Planning and Investment
Tel: +856-64-312681, Fax: +856-64-312140
9) Xaysombun Provincial Department of Planning and Investment
Tel: +856-26-210010, Fax: +856-26-210010
10) Vientiane Provincial Department of Planning and Investment
Tel: +856-23-211015, Fax: +856-23-400155
11) Vientiane Capital Department of Planning and Investment
Tel: +856-21-335053, Fax: +856-2112) Bolikhamxay Provincial Department of Planning and Investment
Tel: +856-54-212204, Fax: +856-54-212204
13) Khammuane Provincial Department of Planning and Investment
Tel: +856-51-212450, Fax: +856-51-212449
14) Savannakhet Provincial Department of Planning and Investment

Contact Information78

Tel: +856-41-212163, Fax: +856-41-215042
15) Saravan Provincial Department of Planning and Investment
Tel: +856-34-211028, Fax: +856-34-211028
16) Champasack Provincial Department of Planning and Investment
Tel: +856-31-212542, Fax: +856-31-212542
17) Sekong Provincial Department of Planning and Investment
Tel: +856-38-211004, Fax: +856-38-211015
18) Attapeu Provincial Department of Planning and Investment
Tel: +856-36-211019, Fax: +856-36-211019

Contact Information

79

References• Law on Investment Promotion, (Amended) No. 14/NA, dated 17 November 2016;• Law on Investment Promotion, (Article 12 Amended) No. 80/NA, dated 04
December 2016;• Law on Minerals, (Amended) No. 31/NA, dated 3 November 2017;• Law on Electricity, (Amended) No.19/NA, dated 9 May 2017;• Law on Enterprise, (Amended) No. 46/NA, dated 26 December 2013;• The Presidential Ordinance on Levies and Service Fees No. 002/President, dated 17
June 2021;• The Presidential Ordinance on Rental and Concession Rates of State-Owned Land
No. 02/President, dated 18/11/2009;• Decree on Environmental Impact Assessment, (Amended) No. 21/GOV, dated 31
January 2019;• Decree on Leasing or Concession of State Land, No. 135/PM, dated 25 May 2009;• Decree on Special Economic Zones, No. 188/GOV, dated 7 Jun 2018;• Decree on the Organization and Operation of the Investment Promotion andManagement Committee, No. 05/PM, dated 05 January 2018;• Agreement on the Organization and Operation of the Investment One Stop Services
Office and the Coordination Units of the Central Investment One Stop Services, No.
002/C.CIPM, dated 20 August 2018;• Agreement on The Provision for Collateral of Concession Activities No. 2735/MPI,
dated 02 November 2018;• Agreement on the registration of enterprises, No. 0023/ , dated 09 January 2019;• Advice on investment promotion policies in terms of profit tax and rent or state land
concession, No. 0760/MPI, dated 14 May 2021.

References80For more information, Contact© Investment Promotion Department, Ministry of Planning & Investment
Tel: 856-21-217012
Fax: 856-21-215491
Email: ipd-mpilaos@investlaos.gov.lakorakanll@gmail.com

Supported by: Poverty-Environment Action for
Sustainable Development Goals (PEA Laos)© Investment Promotion Department, Ministry of Planning and Investment(All rights reserved)© IPD-MPI 2021