Laos’ State Audit Organization (SAO) uncovers LAK 37,600 billion (approx. USD 1.8 billion) in budget discipline violations over the past five years, SAO’s president Viengthavisone Thepphachanh said during the inaugural session of the 10th National Assembly on 25 March.
Over the 2021-2025 period, the SAO completed 611 audit cases spanning state budget, loans and grants, public investment, banking, state-owned enterprises, and special topic audits, achieving 102 percent of its five-year target.
Recovery performance showed a dramatic upward trend across all five years.
In 2021, just 5.87 percent of violations identified were recovered. The following year, total violations dipped to LAK 3,961.39 billion (approx. USD 184 million), though the recovery rate edged up to nine percent.
Violations rose again in 2023, with a recovery rate of 13.84 percent. By 2024, enforcement had accelerated sharply, with nearly 48 percent recovered. The 2025 figure stands at LAK 12,033 billion (approx. USD 555 million) identified, the highest single-year total, with recovery results to be finalized by end of 2026.
In total, the SAO recovered over LAK 7,000 billion (approx. USD 323 million) across the five-year period.
The findings drew a direct response from Prime Minister Sonexay Siphandone, who at the same session on 26 March called for a major overhaul of audit and inspection systems, flagging unrecoverable state assets, overlapping institutional roles, and the need for stronger enforcement and digital modernization.
In the next five years, Viengthavisone also unveiled the SAO’s 2026-2030 Action Plan, targeting 620 audits and an 80 percent annual resolution rate, built around six pillars: organizational restructuring, legal reform, human resource development, professional audit strengthening, digital modernization, and international cooperation.
