VZCZCXYZ0001
RR RUEHWEB

DE RUEHVN #0154/01 0541007
ZNR UUUUU ZZH
R 231007Z FEB 07
FM AMEMBASSY VIENTIANE
TO RUEHC/SECSTATE WASHDC 0926
INFO RUEHBK/AMEMBASSY BANGKOK 7164
RUEHJA/AMEMBASSY JAKARTA 0233

UNCLAS VIENTIANE 000154 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR EAP/MLS, G/TIP, DRL, S/WE, G/IWI 
BANGKOK FOR USAID 
 
E.O. 12958: N/A 
TAGS: PGOV KWMN PREL PHUM SCUL SOCI EAID LA
SUBJECT: GOVERNANCE, WOMEN'S ISSUES, AND IRI'S EFFORTS TO 
GAIN A FOOTHOLD 
 
REF: A. 04 VIENTIANE 120 
 
     ¶B. 04 VIENTIANE 1286 
 
¶1. (SBU) Summary:  Ms. Johanna Kao of the International 
Republican Institute (IRI) and embassy officers met with 
government officials, women's groups, and non-governmental 
organizations (NGOs) in Laos from February 4 - 7.  NGO 
representatives informed Ms. Kao of the difficult operating 
environment and offered advice.  The Lao Women's Union (LWU) 
Shelter for Victims of Domestic Violence and Human 
Trafficking described the shelter's role in advising women of 
their legal rights, as well as providing shelter, counseling, 
and vocational training.  Lao women leaders indicated that 
the GoL needs assistance in building the capacity of women 
and suggested that IRI consider a project that addresses 
capacity needs.  A United Nations Development Program (UNDP) 
representative explained UNDP's efforts to promote good 
governance and legal reform and also discussed the extreme 
power of Lao provincial governors.  He suggested a potential 
avenue for IRI to provide some training assistance to the 
National Assembly (NA) within the context of UNDP's NA 
assistance program.  IRI plans to prepare a project proposal 
to submit to the Government of Laos (GoL) during a future 
visit.  End Summary. 
 
IRI's Efforts to Gain a Foothold 
-------------------------------- 
¶2.  (U) The Indonesia Country Director of the International 
Republican Institute (IRI), Ms. Johanna Kao, visited Laos 
February 4 - 7.  Since she is based in the region, Ms. Kao 
has been tasked by IRI to develop an IRI program for Laos. 
The trip was her second in the past six months and was 
intended to build key relationships with the hope of 
receiving Government of Laos (GoL) approval for an IRI 
assistance project.  While IRI has not yet developed a 
project proposal specifically for Laos, Ms. Kao sought to 
encourage Lao participation in IRI's regional networking 
project entitled the "women's democracy network."  During 
this visit, Ms. Kao and PolOff met with government officials, 
women's organizations, as well as NGOs and international 
organizations. 
 
The NGO Coordination Network 
---------------------------- 
¶3.  (SBU) Ms. Kao met with the NGO Coordination Network's NGO 
Focal Point in Laos, a position set up by NGOs in 2004 to 
assist in coordinating their activities.  The network was 
originally started by five NGOs and now has 62 member NGOs. 
Member dues fund both the NGO Focal Point position and the 
Coordination Network's web site www.directoryofngos.org.  The 
network is run by a board of directors that rotates every two 
years and has six sector working groups that meet every six 
weeks.  The six working groups include:  health, education, 
governance, rural development and agriculture, unexploded 
ordnance (UXO), and private sector development.  While the 
Ministry of Foreign Affairs (MFA) originally did not approve 
the network and the Focal Point position, the MFA recently 
provided a work visa to the latest person to serve as the NGO 
Focal Point.  The Coordination Network, besides coordinating 
the efforts of NGOs already in Laos, is also regarded as an 
information source for NGOs that wish to operate in Laos but a 
re not sure how to navigate the approval process. 
 
NGO Work in Laos 
---------------- 
¶4.  (SBU) During Ms. Kao's meeting with the Ministry of 
Foreign Affairs' Department of International Organizations 
(IO), Deputy Director General Phonesavanh Chanthavilay noted 
that there are currently 139 NGOs registered with the IO 
Department in Laos.  In 2006, total approved projects were 
valued over $40 million USD.  On average, he noted, NGOs 
provide approximately $50 - $60 million USD in assistance to 
Laos each year.  He explained that the IO Department's role 
in reviewing and approving project proposals was identified 
in Prime Minister's Decree 71 which was issued in 1998. 
 
¶5.  (SBU) Demonstrating his familiarity with IRI's 2004 
proposal to assist with village elections in Laos, which was 
not approved by the GoL, Phonesavanh said election assistance 
is not needed (Refs A and B).  He suggested that IRI look at 
other areas of potential assistance, such as promotion of 
women's participation in government and leadership positions 
or other projects that would fall under the GoL's poverty 
reduction plan such as health, education, agriculture, 
communications, and infrastructure.  He invited IRI to 
develop a project proposal for the IO Department to review. 
 
¶6.  (SBU) During a lunch meeting with several NGOs working on 
human trafficking, gender equality, and unexploded 
ordnance-related education projects, Ms. Kao was advised that 
IRI should avoid working with national-level line ministries 
as much as possible.  They suggested that, when possible, it 
is easiest to work with provincial-level departments.  They 
also suggested that both women's participation as well as 
projects that raise awareness of citizen's rights under Lao 
law are areas of need. 
 
Vientiane Women's Business Association 
-------------------------------------- 
¶7.  (SBU) The Vientiane Women's Business Association (VWBA) 
was established in 2001 and is headed by a nine-member board 
with 84 members.  The VWBA focuses on seven business sectors: 
import/export; precious metals trade; hospitality services; 
textiles, garments, and handicrafts; private schools; 
construction; and markets/trade fairs.  Ms. Somchanh 
Singthabouth, President of the VWBA, and several other board 
members informed Ms. Kao that, while the VWBA is an 
independent organization, its establishment required the 
approval of the Vientiane branch of the Lao Women's Union 
(LWU).  All 84 members of the VWBA are successful business 
owners.  The VWBA has received some Canadian and 
International Labor Organization (ILO) assistance for 
training but generally has not attracted significant donor 
attention.  Ms. Kao encouraged the board members to consider 
participating in an upcoming 2007 women's conference to be 
held in Jakarta, Indonesia, and promised to provide more 
information on IRI's Women's Democracy Network project. 
Lao Women's Union Shelter 
------------------------- 
¶8.  (SBU) During a visit to the LWU Shelter for Victims of 
Domestic Abuse and Human Trafficking, shelter representative 
Ms. Bounleua informed Ms. Kao that since its establishment in 
2005 the shelter has provided more than 1,600 counseling 
sessions to more than 120 people.  The primary function of 
the facility is to provide legal, social, and health 
counseling.  Counseling is often related to divorce, property 
rights, and dealing with husbands who have mistresses.  The 
LWU recently expanded its counseling services and now covers 
Vientiane Municipality as well as Champassak, Oudomsay, 
Savannakhet, and Vientiane Provinces. 
 
¶9.  (SBU) The shelter's secondary function is to assist 
victims of human trafficking and domestic violence by 
providing lodging, counseling, and short-term vocational 
training.  The shelter has ten staff members, all of whom 
have received some training in Thailand.  Cases of domestic 
violence and human trafficking are referred to the shelter by 
police, hospitals, and LWU contacts.  Human trafficking 
victims generally remain at the shelter for four to six 
months.  In total, 22 victims of domestic violence and human 
trafficking were assisted at the shelter in 2006, half of 
whom were trafficking victims. 
 
¶10.  (SBU) In regard to trafficking in persons (TIP), Ms. 
Bounleua said there are gaps in enforcement of the Law on the 
Protection of Women at all levels - police, prosecutors, 
courts, and government officials in general.  In an effort to 
address these gaps, she said the LWU is in the process of 
planning seminars for each of these groups in 2007.  She 
noted that the Asia Foundation will provide support for the 
training of law enforcement officials.  Additionally, she 
said the LWU would support TIP awareness-raising in 2007 
through the use of radio and television broadcasts in the 
Lao, Hmong, and Khmu languages. 
 
LWU Gender Research Information and Development Center 
--------------------------------------------- --------- 
¶11.  (U) On February 6, Ms. Kao and PolOff met with Ms. 
Bouachanh Syhanath, the LWU's Acting Director of the Cabinet 
and Director of the Gender Research and Development Center. 
She informed us that the LWU has played an active role in 
Laos since 1955, claims more than one million members, and 
has 80 central-level employees, as well as 5 - 10 at each 
provincial level office, 3 - 4 at each district level office, 
and one representative in most major villages.  (Note:  There 
are roughly 11,000 villages in Laos. End note).  The LWU 
receives monthly reports from each provincial-level office 
and is the primary authority for dissemination of information 
and laws related to women's issues within Laos.  The LWU hold 
an annual Congress and also meets every three months with 
line ministries. 
 
¶12.  (U) Ms. Bouachanh explained that the LWU's new Gender 
Research Information and Development Center (GRID) was 
 
originally established in 1997.  Small GRID libraries have 
been set up in Vientiane Municipality as well as Luang 
Prabang, Sayabourly, Savannakhet, and Xieng Khouang 
Provinces.  The Center's primary objective is to support 
policy-making that is relevant to women.  GRID also works 
with the National Statistics Center to improve data 
collection on women in Laos. 
 
National Coalition for the Advancement of Women 
--------------------------------------------- -- 
¶13.  (SBU) Ms. Kao and the Ambassador met with Ms. Chansoda 
Phonethip of the National Coalition for the Advancement of 
Women (NCAW) on February 6.  She explained that the NCAW was 
established in 2004 to assist the GoL in formulating and 
reviewing policies that are seen as related to gender 
equality and the elimination of discrimination against women. 
 The Coalition is part of the Prime Minister's Office.  The 
Coalition has developed a National Strategy for the 
Advancement of Women for 2006 - 2010 that consists of five 
target areas:  poverty reduction, education, health, 
empowerment, and strengthening the national machinery for the 
protection of women's rights.  NCAW Deputy Director Ms. 
Chansoda Phonethip told Ms. Kao that the greatest challenge 
is the lack of capacity among Lao women, indicating that very 
few women are capable of filling high-level central 
government positions.  She also explained that advancement of 
women is not yet reflected in the national budget but is 
expected to be in the 2008 budget. 
 
National Assembly Meeting 
------------------------- 
¶14.  (SBU) On February 6, Ms. Kao, the Deputy Chief of 
Mission (DCM), and PolOff met with Dr. Souvanpheng 
Boupphanouvong, the NA's Vice Chair of the Committee on 
Economic Planning and Finance.  She informed Ms. Kao that 
women currently make up 25 percent of NA members, 29 of 115 
members.  The current Vice President of the NA is a woman, 
and a Parliamentary Women's Caucus was established during the 
Fifth National Assembly (about three years ago) with the task 
of monitoring the Socio-Economic Development Plan and other 
issues of specific concern to women.  Souvanpheng noted that 
most female NA members came from the health, education, and 
social sciences sectors and lack knowledge of law, finance, 
economics, and leadership.  She added that Laos is 
implementing the 1995 Beijing Declaration to recognize the 
status of women and promote women's participation in all 
aspects of government and society.  In order to meet 
expectations regarding female participation, she noted that 
the GoL "orders the number of women who 
should run" for NA seats. 
 
¶15.  (SBU) Referring to the new Budget Law that was passed by 
the NA in December 2006, Souvanpheng indicated that the law 
clearly establishes the oversight role of the NA.  She also 
commented that greater responsibilities resulting from the 
law would require greater capacity on the part of NA members. 
 The DCM informed Souvanpheng that the Embassy's Public 
Diplomacy Section has access to many materials that NA 
members may find useful.  Souvanpheng brought up the issue of 
gender budgeting as has been used in South Africa and 
indicated that she would be interested in receiving 
additional details regarding South Africa's use of gender 
budgeting, and the DCM promised to follow up. 
 
UNDP and Governance 
------------------- 
¶16.  (SBU) The United Nations Development Program (UNDP) has 
provided significant assistance to the GoL in an effort to 
support good governance and legal reform in Laos.  UNDP's 
Assistant Resident Coordinator informed Ms. Kao that UNDP is 
currently conducting a service delivery survey in the 
provinces of Salavan, Luang Prabang, and Xieng Khouang.  The 
survey will focus on health, education, and 
agriculture-related services.  He also noted that the GoL 
released its Strategic Plan on Governance in November 2006, 
which he described a good template for donors interested in 
offering assistance.  The plan covers public service, public 
participation, rule of law, and financial management and is 
aligned with the GoL's five-year socio-economic development 
plan.  He pointed out that the governance plan includes 
mention of civil service organizations, a topic that has 
previously been taboo to the GoL.  However, in accordance 
with the plan, the Prime Minister's Office is reportedly 
working on a piece of legislation that 
will address the role of civil service organizations in Laos. 
 
¶17.  (SBU) One significant issue of concern in Laos, 
according to the UNDP representative, is the extreme power 
held by provincial governors.  He opined that almost all 
provincial governors are more powerful than cabinet 
ministers, and said those in revenue "surplus provinces" are 
particularly powerful, surplus provinces being those that do 
not rely on Vientiane for financial support.  Currently, 
Champassak and Savannakhet are the most flush with cash with 
Luang Prabang quickly joining the club due to its increasing 
tourist-driven revenues.  He explained that cabinet 
ministers, because they lack power over the provincial 
administrations, are unable or unwilling to force surplus 
provinces to meet their obligation to remit money to the 
central government for redistribution to deficit provinces. 
Therefore, deficit provinces are starving for funding to 
provide even the most basic government services. 
 
¶18.  (SBU) Describing UNDP's assistance to the NA, he 
informed Ms. Kao that the UNDP works with the NA at the 
committee level to provide capacity-building assistance based 
on specific committee requests.  UNDP is also allowed two 
full days to work with the entire NA each session, four days 
per year.  During these four days, UNDP brings in guest 
speakers and provides training on specific topics.  The 
project is co-financed by the European Union (EU) Commission. 
 At the committee level, UNDP has provided training on 
economics, finance, and legal analysis.  Given the recently 
passed Budget Law, which gives the NA greater oversight 
powers, capacity building for the NA is now of increased 
importance, he said.  He also informed Ms. Kao that UNDP 
would be receptive to a proposal if IRI wished to provide a 
guest speaker or training session during one of the upcoming 
NA sessions. 
 
¶19.  (SBU) Lastly, the UNDP representative informed Ms. Kao 
that a new Human Rights Center is being established within 
the Prime Minister's Office under the National Social 
Sciences Institute.  The Prime Minister's Decree announcing 
the establishment of the Center is being translated into 
English and is expected to be released soon.  How the Center 
will operate remains unclear, but it is expected to research 
both human rights and issues of ethnicity. 
 
Comment 
------- 
¶20.  (SBU) The Embassy is supportive of IRI's efforts to 
develop an assistance proposal for Laos.  Assistance to 
increase the capacity of women leaders as well as to promote 
the increased participation of women in general here is of 
vital importance.  Both areas receive insufficient donor 
funding.  The UNDP representative's comments regarding the 
power of provincial governors in Laos demonstrates a serious 
flaw in the relationship between the central government and 
the provinces.  This issue seriously affects the government's 
ability to meet basic service needs in so-called deficit 
provinces as well as its ability to effectuate reforms in the 
provinces.  The new Budget Law is designed to overhaul the 
current ineffective system, but whether the provinces will 
acquiesce in its full implementation is unclear.  This makes 
an IRI program to enhance the NA's capacity to supervise 
financial issues even more valuable. 
HASLACH