A food market in Vientiane capital. (Photo: kpl.gov.la)

Vientiane (VNA) -The authorities of  Lao capital Vientiane have urged the private sector tocooperate in implementing urgent measures to address economic and financialdifficulties relating to inflation, rising exchange rates and foreign debt.

Representatives from the government and business sector held a meeting in Vientiane on October 17 todiscuss and share ideas about finding solutions to the economic and financialdifficulties.

Laos, especially the capitalcity, is grappling with inflation, rising exchange rates, high prices of goodsand the weak kip, said Vientiane Mayor Atsaphangthong Siphandone, who chairedthe meeting.

Atsaphangthong went on to saythat there should be strong cooperation between the government and the privatesector on measures and mechanisms to tackle these issues.

According to the VientianeInstitute for Social and Economic Sciences, inflation and socio-economicdifficulties can be tackled by changing the psychology of people, charging apremium for foreign products, increasing the use of domestic products andservices, and promoting tourism to attract more visitors.

The manufacturing of domesticgoods should be promoted to meet daily needs, increase agricultural production,and reduce the cost of domestic production, the institute said, adding that thegovernment should stimulate a policy to reduce the cost of electricity forhouseholds, irrigation and agriculture.

There should be a strictfinancial policy to reduce the deficit and for importing only what isnecessary, it added.

🃏 President Thongloun Sisoulith on October 9 issued a decreethat imposes higher excise tax on certain goods.

The decree raises the excise tax on jeeps and sedans that usefuel, alcoholic beverages, tobacco, soft drinks and slot machines, gamingmachines, and all types of gambling equipment that has a valid licence. The excise tax rate for beer with an alcohol content of more than5% will now be 70%, while beer with an alcohol content of 0.5- 5% will incur atax of 60%.

It also imposed a higher excise tax on slotmachines, all types of gaming machines and all types of authorised gamblingequipment, raising it from 35% to 50%.

♈ According to the local media, the decree aims to curb the outflow of foreigncurrency, encourage savings, prevent corruption and ensure the State is fully paidand the correct amount of taxes so that more funds are available to promoteeconomic and social development./.