Vietnam and Laos step up urban and infrastructure cooperation

Deputy Minister of Construction Nguyen Tuong Van met with Deputy Minister of Public Works and Transport of Laos Detsongkham Thammavong in Hanoi on February 3 to share their experience and promote collaboration in urban planning, management, and infrastructure development between the two countries.

Photo: Ministry of Construction

“Vietnam has made impressive strides in urban and infrastructure development, particularly in strengthening institutions and improving planning and management in a synchronised, sustainable manner linked with climate adaptation,” Deputy Minister Thammavong said, noting that these experiences provide valuable reference for Laos as it accelerates urbanisation and mobilises investment for development projects.

He added that Laos hopes Vietnam will continue sharing experience in developing urban management frameworks, enhancing coordination between central and local authorities, effectively integrating loan and ODA resources, and ensuring financial sustainability as well as efficient operation after projects are completed.

Deputy Minister Van said, “Vietnam’s urban system is entering a period of strong transformation towards sustainability, smart city development, and climate change adaptation. Cities are increasingly asserting their role as key drivers of economic growth, contributing significantly to GDP and enhancing national competitiveness.”

Based on proposals from the deputy ministers, along with input from heads of units under the Ministry of Construction, Vietnamese officials outlined the country’s experience in developing urban management institutions at both national and local levels. They also highlighted lessons in urban planning and development, the effective mobilisation and utilisation of capital for urban development schemes and projects, and solutions to ensure financial sustainability, operation, and management after project completion.

The visit is expected to further strengthen bilateral cooperation in these areas. Infrastructure development remains a key pillar of collaboration between the two countries, alongside economic and investment ties.

Bilateral trade turnover has maintained steady growth for many years, surpassing $3 billion for the first time in 2025. Vietnam’s investment in Laos also expanded significantly, rising more than sevenfold on-year to over $5.6 billion, bringing cumulative investment to $6.21 billion across 276 projects, maintaining Vietnam’s position among Laos’ leading investors.

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