ANTI-CORRUPTION EFFORTS IN THE LAO PDR:THE LEGISLATIVE AND PRACTICAL MEASURES FOR
INTERNATIONAL COOPERATION
Souphavong VanThaNouVong*Vilavong Phomkong†

The Lao government maintains an open policy on international cooperation. Specifically,anti-corruption measures have been embedded in the nation’s governance policies and strategies.
These include practical and legislative measures. The goal is to strengthen mutual cooperation andassistance in this field to the degree that sovereign countries and international organizations canshare relevant information and exchange experience in the most effective manner to limit andprevent corruption in the world.
In 1999, the Lao government saw a huge increase of corruption in society, especially in thepublic sector. Hence, an anti-corruption decree was issued. State budgetary auditing and inspection
were expanded, more so in the government employee salary calculation and distribution. In 2001,
the State Inspection and Anti-Corruption Authority was established. The agency answers directlyto the nation’s prime minister.
In 2003, the Lao PDR began to receive support and assistance from the United Nations
Convention against Corruption (UNCAC). Since then, the anti-corruption decree had beendeveloped into a law, which was officially enacted in May of 2005. Currently, the government isvigorously promoting the use of this law’s manual, hoping to create public awareness andunderstanding of the law. The State Inspection and Anti-Corruption Authority, as well as
provincial inspection bodies, is actively and responsibly enforcing the anti-corruption law.
The government emphasizes the importance of public employee interaction on an ethicalbasis. The Decree on Public Employees has been developed into a law with the aim to effectively
govern public employees by law, guiding them to stay honest and transparent. The law prohibits
activities deemed as conflicts of interests and/or abuse of power by some government individuals
for personal gain, or to favour their loved ones. It also contains provisions to safeguard stateadministrative bodies and officials overseeing pubic employee ethical principle enforcement.
The Lao government views corruption as a parasite that continues to bore holes in society,harmfully damaging and delaying our communal development progress, while creating wealth forsome powerful opportunists and their minions. Understanding this situation, the government cameup with measures to limit and prevent corruption in the country. The body directly in charge is the*†State Inspection and Anti-Corruption Authority, Lao PDR.
Prosecutor, Lao PDR.

State Inspection and Anti-Corruption Authority. Despite all the efforts, however, we still lackexperienced human resources, modern technical devices, and budget.
Starting from 2009, the Lao government opened itself to cooperation with countries within
the region and afar. We became a member of SEA-PAC and joined the United Nations Review
Programme. In 2011, the Lao PDR and Montenegro were assigned to conduct a review in theRepublic of Croatia. In 2012, Laos was reviewed by Mongolia and Luxembourg. During thereview process, we emphasized the need for technical assistance.
I would like to take this opportunity to inform you that the Lao PDR signed UNCAC inOctober 2003. The Convention entered into force in December 2005. The Lao PDR ratified theConvention in September 2009 following approval by our National Assembly. Since then,concerned government agencies have been performing their duties in the Implementation Review,
namely taking prevention measures, criminalizing offences and enforcing the law, repossessing
criminal properties, and cooperating with international organizations and other nations byexchanging information and sharing experiences.
I would like to present some activities we define as criminal and actions we take to enforce
the law:
1.

Government officials taking bribes;

2.

The act of bribing foreign officials and officials of international organizations;3.

The use of government position and power to intervene in something;

4.

Bribery within the private sector;

5.

The act of laundering money derived from criminal actions;6.

The seizure, retention, and/or confiscation of goods/properties;

7.

Obstruction of justice; and8.

Witness protection.

Anti-corruption is a complicated job. The road to its success is filled with obstacles.
Opportunists, power-abusers as well as business people seeking favouritism all despise anticorruption agencies and officials. They will try every possible way to buy themselves out of trouble.
This resistance poses challenges to concerned officials in their implementation duties. It is criticalthat the inspectors stay true to their professional values. If a crime has been committed, it must befound; and the criminal(s) must be brought to justice. One more important step – the inspection
process – must be transparent. The public must be informed via media. Only by following thesesteps will anti-corruption officials gain trust, support and cooperation from the public.

Having said that, in the Lao PDR we still lack many components required to succeed in anticorruption efforts. Currently we still need qualified human resources, modern technology andequipment. This is why we work closely with international organizations and countries who havebeen for years garnering experience and knowledge in these matters. We learn not only from thesecountries’ practices, but also from their effective legislative tools.
We recognize that corruption cases are unique, depending on business practices, cultures andenvironments of each country and region. While learning from others’ experiences, we have toadjust the lessons to our own conditions and environments.
Corruption never stands still. Criminals continuously improve and develop their tactics sothey do not get caught. Therefore, we too have to keep improving ourselves, so we can catch themin the act. Corruption must be stopped and prevented!
I note more about the monitoring of administration and the prevention and combating ofcorruption of Laos. General and specific inspection is conducted and monitored by the government
in ways such as routine inspection, inspection order and check request – the request oforganizations and citizens. The government also conducts key monitoring practices of the roles,
rights and responsibilities of organizations, monitors implementation of laws and implementationof the budget, to build oil union infrastructure, management and use of resources such as land,mining and wood businesses, and surveying mineral resources.
For prevention and anti-corruption, government is one job which shows that we have toimprove legislation on this task in accordance with the actual situation. We have to disseminate
information to employees, government, military, police and other people to allow them tounderstand this legislation broadly. Together we run this property and income levels of workers
can actually find the law and practice in administrative proceedings and to a statement filed to thecourt condemned.
Abuses of power and abuses of position have negative impacts on society. The problem iscaused by a mechanical system, regulating and managing the mechanical system, theadministrative oversight is not strong, functional coordination is also good, lack modern work also
overlaps and discursive quality of some officials is still high. Government the economy social law
is not strict also use and abuse the law, sole inequality occurred delayed. The action role, rights
and responsibilities at the central and local levels are also good, some also use excessive powerand corruption such as building infrastructure, the project used enormous investment, but the lawquality promoting products that the state is less, some also have a project plan the revenue target
mostly still thrives on exploitation of natural resources such as wood, fossil fuels, silver, and gold.
Also, budget regulations are not strict, taxes and other duties are collected incorrectly due toa lack of transparency in the sector. Commercial sales are planned to circumvent the rules. Realestate transactions are also structured to benefit the employees related to people through bribery,stealth custom-taxes, counterfeit standard construction techniques, design, click charges, bidding,
procurement-employment, exploitation, and so on. Thus, inspection by the Lao government hasresulted in a summary report to the government identifying many inconsistencies.

Lessons learned from foreign experience have been very helpful, so the government has sent
officials to attend meetings and seminars on preventing and combating corruption in order to train
staff and learn from invited experts from international organizations like the UNODC to discuss
investigation and take lessons from abroad that are applied in developed nations. In 2020 Laos
plans to develop a stratagem to make the country enhance development with the hope that
corruption will decline and disappear from the country.
I have presented anti-corruption efforts in the Lao PDR to you. Please forgive me, if you
find the presentation not adequately informative. Our country’s experience in this field of work israther green. Our main goal at this meeting is to learn from other’s experience. Thank you forgiving me the opportunity to speak in front of you today.