A new World Bank project aims to improve connectivity in central and southern Laos, benefiting around 600,000 people by making rural roads more resilient to climate change. The $56 million Lao PDR Climate Resilient Road Connectivity Improvement Project was approved yesterday. It will support government efforts to enhance approximately 300 kilometers of district and rural roads in Khammuan, Saravan, and Savannakhet provinces.
These three provinces were selected due to their poor road networks, high poverty rates, vulnerability to flooding, and significant agricultural production. The six-year project is funded by the World Bank Group’s International Development Association, which provides low-interest credits for low-income countries.
“Laos is highly vulnerable to climate change risks, while people in rural parts of the country need access to markets, schools, and hospitals to lead healthy and prosperous lives,” explained Alex Kremer, World Bank Country Manager for the Lao PDR. “This new project is designed to benefit farmers and women especially by giving them year-round connections to the services they need to help their families and communities thrive.”
Road investments in Laos have historically focused on national routes, leaving remote areas underserved. Only 15 percent of the national road network is paved; 40 percent of these paved roads are in poor condition, while 40 percent of unpaved roads become inaccessible during the wet season. With extreme weather events becoming more frequent, existing roads are increasingly difficult to use.
The Ministry of Public Works and Transport will implement the project with a focus on community needs. Currently, only 9% of workers in Laos' transport sector are women. To address this gender gap, the project will support an internship program for women university students and recent graduates offering six months of paid training in transportation and construction at the ministry.