Lao Airlines Sustainable Development (“the Project”), with the involvement of the Ministry of Public Works and Transport (MPWT) through Lao Airlines State Enterprise (QV), which will be responsible for implementing the project, as set out in the Grant Agreement and the Project Agreement. The World Bank acting as the administrator of the grant from the United States Agency for International Development (USAID) through the Financial Management Umbrella Trust Fund (FMUTF), has agreed to provide financing for the project with a total value of 1.75 million US dollars. It is estimated that the implementation period of the project starting from January 15th, 2024 – June 30th, 2026. The grant budget is to be used for the implementation of 03 main tasks as follows:
- Prepare an airline restructuring options analysis that will inform a specific reform pathway and attenuated airline sustainability plan.
- Lao Airlines Business Optimization and Management Assistance by focusing on delivering technical assistance in core areas that can immediately add value to Lao Airlines management and operations. Individual consultant services will be engaged to support the options analysis, business planning and reform processes. This includes an International Airline Management Expert, an Executive-level Airline Financial Expert, an Airworthiness Maintenance Expert, and a Passenger Service System (PSS) Specialist, as well as other project management consultancies or associated costs.
- Implement industry software module upgrades to the Passenger Service System that can improve integrated enterprise resource planning.