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Friday, June 20, 2025
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Lao Government Launches USD-70-Million Upgrade of National Road 13 South

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The Lao government has launched a major infrastructure project to upgrade a key section of National Road 13 South, aiming to boost trade, regional connectivity, and road safety. The initiative, valued at over USD 70 million, will focus on improving a 50-kilometer stretch of roadway between Vientiane Capital and Borikhamxay Province.

The project covers the section from Kilometer 21 to Kilometer 71, beginning in Khoksivilay village, Xaythany district, and ending in Xaysavang village, Thaphabath district. The first 20 kilometers of this route will be expanded from two lanes to four, while the remaining 30 kilometers will undergo essential repairs to meet international standards. 

Once completed, the road will be equipped with a new asphalt surface and support vehicle weights of up to 11 tons, ensuring long-term durability and higher freight capacity.

A joint venture between Road No.8 Construction Enterprises and Somxay Chalern Construction Road and Bridge Sole Co., Ltd. has been contracted to carry out the work. The project is being implemented under the oversight of the Department of Roads, part of the Ministry of Public Works and Transport.

Funding for the road upgrade is being provided by a mix of international and domestic sources. The Asian Infrastructure Investment Bank (AIIB) has contributed USD 40 million in loans, with an additional USD 20 million coming from the Abu Dhabi Fund for Development. The Lao government has pledged the remaining USD 12 million to support the project.

Speaking at the 9th General Meeting held on 12 June, Ngampasong Muongmany, a senior official from the Ministry of Public Works and Transport, emphasized that the upgrade is part of the government’s 2026–2030 development plan. 

The plan prioritizes expanding road networks that can handle heavier vehicles, a long-standing challenge in Laos where infrastructure capacity often lags behind demand.

Construction is expected to take three years, followed by a seven-year maintenance phase under the same contract. Officials hope the improved roadway will serve not only as a vital domestic route but also as an important channel for international trade.

This project is also a component of the broader Route 13 South development effort, a 275-kilometer corridor stretching from Thaphabath district in Borikhamxay to Thakhaek in Khammouane Province. That larger initiative, underway between 2021 and 2031, is being supported by USD 157.5 million in loans from the World Bank, the European Investment Bank, and the AIIB.

By improving transport infrastructure along this critical route, the government aims to reduce logistics costs, improve trade flow, and enhance economic opportunities across central Laos and beyond.

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