Asia
The Study on Small Scale Agricultural and Rural Development Program Along the Mekong River, Lao People's Democratic Republic
(1998|2000)
Lao Peoplefs Democratic Republic has been in a transition period from socialism to free market economy and most of the commodities have been traded at the prices decided under the free market transactions. On the other hand, financial services have still been strongly controlled by the government and therefore, the regulated interest rates are far different from the market rates. Developing rural finance was hence essential to go along with the reform of the countryfs financial system. The Study was conducted to make recommendations for the reform of the financial system under the transition period of the national economy. The Study clarified the role of the administrations at division, district and central levels for the sake of farmers, the primary beneficiaries and proposed measures to improve supporting services to farmers by the government with its capacity.
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