ANNEX
of the Commission Implementing Decision on the Annual Action Programme 2015 Part 1 in
favour of the Lao People's Democratic Republic to be financed from the general budget of the
European Union
Action Document for Governance, Equity, Quality, Access – Basic Education programme
1.
IDENTIFICATION
Title/Number
GEQua-BasEd
Governance, Equity, Quality, Access – Basic Education
CRIS number: 2015/037-010
Total cost
Total estimated cost: EUR 63 189 453
Total amount of EUR 15 000 000 EU budget contribution
This action is co-financed in joint co-financing by:
Department of Foreign Affairs and Trade (DFAT) –
Australia: EUR 48 189 4531
Aid method / Management
mode and type of financing
Project Approach
Indirect management with the Department of Foreign Affairs and
Trade (DFAT) - Australia
Direct management: procurement of services
DAC-code
110
Sector
2.
RATIONALE AND CONTEXT
2.1.
Summary of the action and its objectives
11110, 11220,
11320
Lao People’s Democratic Republic (Lao PDR) is a Least Developed Country (LDC) facing a
number of socio-economic challenges, notably in the education sector the country is off-track to
meet the Millennium Development Goals (MDG) 2 and 3. Despite progress, notably with the
expansion of enrolment rates, challenges still remain to ensure sustainable access and equity,
particularly for disadvantaged groups living in the most remote and poorest areas of the country.
Moreover, quality of primary education is still a major concern with many children leaving school
without having acquired basic literacy, numeracy and life skills.
Building on the EU Agenda for Change, the Commission Staff Working Document on Education2
and the Lao PDR Education Sector Development Plan, this programme will contribute to the
improvement of the equitable access to and completion of basic education, with a focus on the 66
most educationally disadvantaged districts of the country. The programme will also contribute to
improving education quality and relevance and to enhancing the education sector governance,
planning and management.
Several development partners (DPs) are active in the education sector in Lao PDR. Australia is the
main donor with strong expertise in basic education with the comprehensive Basic Education
Quality and Access in Lao PDR (BEQUAL) programme starting in the first half of 2015. The
programme was developed based on a sound education sector analysis and broad consultation
1
Use of 2 July 2015 Infoeuro rate of 1,4526 for Australian contribution of AUS 70 million
Commission Staff Working Document - More and Better Education in Developing Countries. SEC(2010)121
of 04.02.2010
2
1
with main partners. The long standing, rich and fruitful experience of the EU working with the
Ministry of Education and Sports Planning and Budgeting Departments brings unique added value
which should be captured and integrated into the programme.
In the context of Lao PDR, a harmonised approach with Australia would bring four key
advantages: (i) Harmonisation between development partners (ii) Improved and coordinated
policy dialogue and leverage on institutional issues; (iii) Effective and efficient use of joint
resources allowing the EU to focus on substantive sector policy dialogue rather than
administrative programme management and (iv) Economy of scale and value for money by
avoiding parallel structures and reducing transaction costs for the government.
2.2.
Context
2.2.1.
Country context – Lao PDR
2.2.1.1. Economic and social situation and poverty analysis
Brief overview of the economic situation (Fiscal years 2013/2014)
Economic growth is projected to moderate to 7.2 percent in 2014 (compared to an average of 8
percent over the last three years) reflecting a slowdown in the resource sector. Meanwhile, the
service sector (transportation, telecommunication, and tourism), food and beverages and
construction will continue to be important drivers for growth.
The fiscal deficit jumped from 1.4 percent to 6.7 percent of Gross Domestic Product (GDP) in
Fiscal year (FY) 2012/2013 mainly caused by inappropriate wage and allowances policies decided
by the government based on over-optimistic revenue projection and without proper fiscal impact
analysis. To reverse the unsustainable path, the government was forced to take drastic and painful
measures and pursue for FY 2013/2014 a programme of fiscal consolidation consisting in (1)
freezing the salary increase, (2) maintaining for FY 2014/2015 expenditure ceiling in nominal
terms at the same level of FY 2013/2014 and (3) improving tax collection, reviewing and possibly
reducing tax expenditures and preventing "revenue leakages" in addition to a 12 percent cut in the
recurrent expenditure and capital investment to be carried out before the end of the current fiscal
year.
With this hard and painful fiscal consolidation programme going on, the Government will not be
in a position for the next two fiscal years at least to preserve non wages recurrent expenditures
across all sectors. This will certainly impact the implementation of the Education and Health
policies and it will be important that policy dialogue focus on the welfare of the poorest groups of
population in Lao PDR.
Linkages between economic growth and poverty
National poverty rate has declined from 46 percent in 1992 to 28 percent in 2008 (latest available
estimate). Meanwhile, the country has also seen a steady reduction in the poverty gap and poverty
severity at national level3.The overall assessment is that Lao PDR is well on track to achieving the
poverty target as set in the MDG 1 (target 1A) by 2015.
However, the benefits of the growth and the distribution of wealth have been uneven across the
territory but also across the different groups of the population, especially those in geographically
disadvantaged areas where the severity of poverty has increased.
A deeper analysis at the subnational level shows that rural poverty, especially in the uplands and
mountainous areas, is nearly twice that of urban areas and the poverty gap analysis has
demonstrated that the poor in geographically disadvantaged areas are poorer then the poor
elsewhere.
3
MDG Report Progress for Lao PDR 2013
2
Income disparities (Gini indicator) across all population groups have increased by 6.31 points at
36.74 points in December 2008 compared to 30.43 points in December 1992. Inequality has
substantially increased since 1990 and relatively more so in Lao PDR than in any other South East
Asian country.
2.2.1.2. National Socio Economic Development Plans
The 7th National Socio Economic Development Plan (NSDEP or ‘Plan’) 2011-2015 identified
seven ‘directions’ to respond to the challenges posed by the LDC graduation by 2020: (i)
development of the national economy, (ii) rural development and poverty eradication, (iii)
educational reforms and human resource development, (iv) better public administration, rule of
law, fight against corruption, (v) national defence, (vi) labour skills improvement and (vii)
industrialisation and modernisation.
A mid-term review of the 7th NSEDP took place in 2013. The review pointed out some positive
results such as the sustainable economic growth over the last three years at 8 percent,
improvement in livelihoods and contained inflation, steady increases of the production in the
sectors of agriculture, industry and services. Public and private investments are on the rise and
revenue collection is meeting projected targets.
The review also highlighted important weaknesses and vulnerabilities. The macro-economic
situation continues to be fragile and vulnerable to external shocks (international commodity
prices). Many targets specified in the NSEDP, especially those related to the MDGs, are unlikely
to be achieved. More importantly, the report stressed the risks (social and environmental) and the
dangers (lack of economic diversification) associated with the exploitation of natural resources
(mining and hydropower) as the main driver for economic growth.
The 8th Plan for 2016-2020, currently under preparation, identifies five main objectives: (i)
"qualitative" economic growth and stability oriented macroeconomic policies, (ii) sustainable
development (harmonization between economic development, socio-cultural development and
environmental protection); disaster preparedness and enhanced linkages between rural
development and poverty reduction; (iii) human resources development and competitiveness, (iv)
political stability, peace, social order, governance, democracy, justice and (v) Regional integration
and international cooperation.
Credibility of the Development Plans: link between plans, budget and sequencing
Implementation of the NSEDPs and associated economic reforms are faced with considerable
obstacles such as poor infrastructure, lack of financial resources and a lack of human resources
capacity. As a matter of fact, these plans are not meant to be implemented within the given
timeframes: it is widely recognised that they are overambitious but that their real utility is to
provide overall policy and strategic direction.
This also translates in the budget dimensions. Firstly, there have been criticisms that these 5-year
plans are not properly costed. Costing methodology followed by Ministry of Planning and
Investment consists of "total costing" i.e. all costs accounted for: fixed and recurring, and those
borne by the government and private sector (including private consumption). The result of such
approach is that the plans are financially unaffordable. Secondly, NSEDPs are not fiscally
constrained and there is no medium term expenditure framework (MTEF). Finally, there is a clear
challenge to harmonise sector budgets with the overall budget.
However, NSEDPs set objectives, which are then translated and prioritized in the annual versions
of the plan and enacted through annual budgets. Therefore, the annual budget is the main tool to
consider and it makes sense to ‘get the basics right first’ before pushing for MTEF. The main
challenge of this approach relates to the opaque and unpredictable annual bidding process: it is a
bottom up process based on needs. Proposals are made without having a clear indication of the
size of the available envelops.
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2.2.2.
Sector context: policies and challenges
2.2.2.1 Education policy
The MoES articulated its vision for the development of the sector in the National Education
System Reform Strategy (NESRS) and in the Education Sector Development Framework (ESDF).
The NESRS 2006–2015 outlines the overall strategy for strengthening Lao PDR's education
system up to 2015 and includes both national level MDG targets and Education for All (EFA)
goals. As the government’s flagship planning document for the education sector, the NESRS
builds upon key previous policy documents with an education sector focus.
The ESDF 2009-2015 outlines the targets, key policies and sub-sector strategies to achieve EFA
goals by 2015 but also promotes greater donor harmonisation, pro-poor policy development and
gender equity.
To operationalize both the NESRS and the ESDF, the MoES has developed the Education Sector
Development Plan (ESDP) 2011-2015 - basically a policy planning matrix and implementation
plan. The ESDP responds to the main policy priorities by (1) focussing on improved equitable
access to and quality of education (all sub-sectors); (2) improving the teacher management system
(pre and in-service training, deployment, teacher incentives and teacher societal responsibilities);
(3) strengthening vocational education and training to respond to labour market demand; (4)
improving sector governance and complying with the requirements set in the 2007 Education
Law, and (5) enhancing inspection and monitoring of the education system.
Whilst the ESDP is technically credible and generally well-articulated, its main weakness remains
in its financing framework. The MoES has quantified the funding gap at USD 197 million for the
period 2011-2015.
The MoES has commenced work on a new ESDP for the period 2016-2020, building upon the
main findings and recommendations of the joint mid-term sector review 2013 and joint sector
review 2014. While the objectives are under discussion, within the new plan, it is likely that
priorities will remain on the need to focus on quality and equity improvements of basic education,
especially pre-primary and primary education across the most educationally disadvantaged
regions of the country and reform the education system (expansion from 11 to 12 years) while
strengthening the relevance of national post-basic education to better meet labour market needs.
The planned consultative process will include district and provincial education staff and several
consultations with developments partners.
2.2.2.2 Challenges of the Education sector - Problem analysis
Lao PDR has made steady progress with enrolment rates at primary level over the last years (from
89.2 percent in 2007/2008 to 96.6 percent in 2012/13) supported by a reasonably sound policy
framework as noted above. This has included improvements in access with a focus on females
and, more recently, addressing the challenge of targeting children who remain excluded from the
mainstream education system.
In June 2013, the MoES and DPs undertook a mid-term review (MTR) of the ESDP 2011-2015, to
take stock of the education achievements so far and identify the constraints and possible solutions
to reach the EFA and education MDGs objectives in 2015. Whilst the MTR confirmed that
significant progress had been made over recent years to improve access to primary education, Lao
PDR is off-track to meet MDGs 2 and 3 and the EFA goals, particularly for disadvantaged groups
living in the most remote areas where language, ethnicity, gender, disability, poverty, cultural
values and attitudes hinder full participation in education. More worryingly, for those children
participating in the education system, the MTR noted that the quality of education is too low to
allow them to develop to their full potential, and many leave the system without acquiring basic
literacy, numeracy and life skills.
Dropout from Grade 1 remains one of the key problems to be settled by MoES. National level
data show dropout rates in Grade 1 for 2011/2012 at 11.7 % and for 2012/2013 at 11 %, an
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increase over 2007/2008 levels when Grade 1 dropout rates were at 10.7 %. Dropout rates
distribution across the country is fairly uneven with some provinces such as Oudomxay (18 %),
Houapan (15%), Saravan (17%), where dropout rates are well above the national average whereas
some other provinces/municipalities such as Vientiane Capital (4.6 %) or Sayabouly (2.8 %) are
well under national average.
High drop-out rates can be attributed to several factors, one being that children from ethnic groups
(non Lao-Tai) do not speak the language of instruction, Lao, as their mother tongue, which
hinders their performance at school. The MTR highlighted several other factors such as cultural
habits (the parents still do not perceive the importance of education), ineffective multi-grade
teaching and pedagogy classes, lack or learning materials and textbooks.
In addition to the issue of language, drop-out rates are also exacerbated by the low quality of
teaching. Insufficient resources are being allocated to teacher training with teachers poorly
equipped to teach effectively. In Lao PDR there are serious concerns with both financing of and
support for quality pre and in service teacher training. In and pre-service programmes rely
primarily on rote learning, with minimal opportunities for meaningful interaction and application
of theory. Efforts are being made by the MoES to strengthen pre-service curriculum and upgrade
qualifications of staff at teacher training institutes but these remain piecemeal and do not fully
address the systemic issues that are contributing to poor quality of teaching.
Teacher deployment remains an important challenge. Primary teacher workforce has
expanded leading to a decline in the average pupil-teacher-ratio (PTR) from 31.3 in 2009 to 24.2
in 2013, moving further away from the ESDP target of 34.1. While there is an oversupply of
teachers in urban areas, in remote areas, it is not rare to find classes with 50 or even 60 pupils with
teachers delivering multi-grade classes in challenging environments. This unbalanced teachers’
distribution indicate a high level of inefficiency and inequity in the teachers’ deployment system.
As a matter of fact, these various factors impact on the demand of education, with parents
arguably questioning the value of sending children to school. Difficulties in attracting and
maintaining qualified teachers in remote areas is a major constraint in the Lao PDR and
contributes to the large number of 1 and 2 teacher or “incomplete” schools throughout the
country. The challenges of living and working in these environments, is well recognised –
language barriers (for non-local teachers), lack of resources and support, and the extra workloads
associated with teaching in what are often multi-grade environments - all serve to act as a
disincentive for non-local teachers to be deployed into these areas.
The MTR also noted that overall education sector performance is contingent upon
improvements in sector's governance, which will require both immediate and longer term
political commitments from government. Key governance bottlenecks identified included: better
resourced decentralised education system (Provincial Education Services (PES) and District
Education Bureaus (DEB)), increased sector expenditure efficiency (to do 'more with less'),
improved planning and budgeting coordination (policy based budgeting), more effective
management of human resources, better inter-department coordination associated with an
improved flow of information and institutionalised monitoring and evaluation tools.
Sector financing for the next two or three fiscal years will remain an important obstacle to sector
performance. The ceiling on expenditure in nominal terms year on year imposed by the Ministry
of Finance will hinder MoES to develop and implement effectively the last two years of the ESDP
2011-2015. The non-wage recurrent expenditure will be reduced to its simplest expression. In that
respect, that section of the budget should be systematically prioritized. The investment part of the
Education budget will not be that affected by budget cuts as investments in the sector are
externally financed (up to eighty percent). The priority on delivering basic education in remote,
hard to reach locations has high costs. Meanwhile the financial framework for the ESDP 20162020 will have to be revised accordingly.
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2.3.
Lessons learnt
The EU has been involved in the Education sector for more than ten years through various
projects and aid modalities. The main lessons that can be drawn from these projects can be
summarized as follows:
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
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Complex and power relationships between the Ministry of Finance and MoES, requiring
sound analysis of political economy issues in programming education support and
attention to all levels (central, provincial and local);
To date, the education sector has been uncoordinated and fragmented. There is a need for
a strategic approach to education reform by addressing in a more inclusive and holistic
way the issues of access, quality, equity and governance.
Community participation through the Village Education Development Committee
(VEDC) plays a very important role at the school level to ensure quality and to monitor
education delivery;
Provision of Block Grants for schools/VECDs to manage and implement School
Development Plans (SDPs) and Education Quality Standards (EQS). Block Grants are
pivotal for the ESDF implementation. School Block Grants when paired with SDPs are an
indispensable vehicle for improving access to and quality of the primary school system;
District School Mapping based on locally collected EMIS data should be used by the
MoES for accurate teacher demand projections corrective to the national projections;
To have any impact in the medium and long term, capacity building and professional
development activities should be carefully coordinated among DPs and aligned with
MoES' policies. MoES' absorption capacities at national and sub-national levels are
limited.
Feedback mechanism to policy formulation
These lessons have fed the strategic dialogue (through the joint sector reviews and focal group
meetings) between the MoES and the Education Sector Working Group and have been taken into
account to refine or adjust the ESDP 2011-2015 and sub-sector strategies. For instance, the
Village Education Development Committees (community participation) have become a crucial
stakeholder in the implementation of the Education policies; School Based Management, School
Block Grants and EQS, if properly implemented will substantially improve the quality of primary
education (completion and survival rate at grade 5) and are also essential elements of the
Education chapter of the Poverty Reduction Support Operations (PRSOs) and the backbone of the
Global Partnership for Education (GPE) phase 2.
The comprehensive MTR of the ESDP 2011-2015 has also served to inform the inclusive
approach towards education reform underlying strategic approach of BEQUAL programme.
Enhancing coordination between the Ministry of Finance and the MOES will be instrumental for
improving planning and budgeting at the sector level. In that respect, over the last three years,
EU's support to MoES has focused on the planning and budgeting functions of the Ministry. As a
result, EU has been able to develop a very strong and close partnership with these two key
departments. At MoES request, the EU is assisting in the development of the next ESDP 20152020 financial framework and strengthens the Ministry’s performance-based budgeting system.
Undoubtedly, the added value of the EU has been acknowledged by both MoES and the Education
Sector Working Group.
2.4.
Complementary actions
Current EU financed interventions
Within the framework of the current sector budget support programme Support for the Education
and Health sector reforms in the context of the 7th NSEDP in Lao PDR4, the EU has allocated
EUR 1 million to assist MoES meeting the conditions set for the variable tranche results matrix
4
Commission Decision C(2012)9247
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i.e. textbooks and learning materials policy and supply chain management, implementation of the
education quality standards and strengthening planning and budgeting. The EU is also supporting
the MoES' Department of Finance to define the next ESDP 2016-2020 financial framework and to
finalize the planning and budget guidelines as well as related training activities.
The EU is a donor to the Global Partnership for Education (GPE). The GPE in Lao PDR is
focusing on strengthening management capacity both at school and district levels and on
improving learning outcomes. This will be done through: (i) promoting effective, accountable and
better resourced schools to achieve EQS; (ii) designing and testing a revised reading methodology
in early grades to improve literacy outcomes; and (iii) improving the quality and use of schoollevel financial and other management information to strengthen oversight in the sector. The GPE
II programme’s development objectives are fully aligned with the ESDP objectives and
complementary to the proposed EU interventions.
EU sustainable agriculture, food and nutrition security: Using the ‘convergence’ approach in
target areas, EU support in nutrition will focus on nutrition-specific interventions for young
children, women of reproductive age and adolescent girls. Health but also nutrition-sensitive
interventions such as water and sanitation, diversification of food production and consumption
(for example Linking Agriculture, Natural Resource and Nutrition or (LANN approach),
sustainable agricultural practices, empowerment of women as ‘agents’ instrumental to household
food security and health outcomes and nutrition education, will also be pursued.
Other DPs' investments in the Education sector
The most significant DPs in the Education sector are the World Bank, Australia, Asian
Development Bank, GPE (former Fast-Track Initiative) and Germany and Switzerland. DPs focus
on the following sub-sectors:
Early Childhood Education: The World Bank has shifted its focus from primary education to
early childhood education, with an investment of USD 30 million (50% grants and 50% loans).
The current five-year project (2014-2019) aims to increase coverage and improve quality of early
childhood education in 22 priority target districts that have low enrolment and survival rates.
Primary Education: GPE, Australia and World Bank are currently the major donors in primary
education with a total funding for the FTI programme of USD 65.5 million. The programme
ended in august 2014. It focused more on system expansion (school/classroom construction,
recruitment, training and deployment of teachers in target districts) than quality improvement.
The role of the UNICEF should also be noted. UNICEF is currently implementing a Water,
Sanitation and Hygiene programme (WASH) in primary schools with the objective of increasing
attendance and retention and promoting behavioural changes. UNICEF has also mobilised
substantial resources for the provision of 1.6 million textbooks for primary schools worth over
USD 1 million.
Secondary Education: Mainly supported by the ADB with an investment of EUR 36.7 million.
The programme activities are contributing to the implementation of three policy areas of ESDP (i)
expanded access to secondary education in 30 districts identified by MoES as educationally
disadvantaged (ii) improved delivery of new secondary education curricula; and (iii) strengthened
sector management.
Higher Education and Technical and Vocational Education and Training (TVET): ADB
(USD 50 million), Switzerland and Germany (USD 30 million), as well as Luxemburg, focus on
TVET. ADB, Germany, Switzerland, and Luxemburg TVET programmes aim at increasing
access to quality TVET that matches labour market demands. Strengthening capacity of TVET
teachers, developing a regulatory framework, adapting academic regulations, drafting new
standards, reviewing curricula and promoting partnership with private sector and other
international and regional projects in the vocational training sector are the main activities pursed
by these programmes.
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2.5.
Donor coordination
The Education Sector Working Group (ESWG) acts as a body for coordination and dialogue on
policy between the Government and DPs. It meets several times a year and is currently co-chaired
by MoES and Australia/DFAT and UNICEF. The ESWG comprises three levels of coordination:
1) Executive level to provide strategic direction and endorsement of decisions; 2) Technical level
to provide a forum for building consensus on technical issues related to the whole sector and 3)
Focal groups: to support the ESDP implementation at the sub-sector levels (Basic Education,
Post-Basic Education and Financial and Performance Planning).
The monthly Informal Education Development Partner Working (IESWG) meetings provide
opportunities for DPs to discuss policy issues, exchange information and coordinate activities The
IESWG is co-chaired by Australia and UNICEF.
Annual Sector Joint Review Mission (JSRM) is the annual monitoring activity of education sector
where the government and development partners come together to reflect on sector achievements
over the previous year, identify bottlenecks to progress, and make recommendations for
improvement. The findings and recommendations of the JSRM feed into the Annual Sector
Performance Report to be presented at the Senior Education Administrators' Conference held in
June each year, for consideration into the following year's planning.
The MoES has established an Official Development Assistance database to try to capture full and
timely information on annual commitments and actual disbursements of government and DPs
funded projects. However, the data has not yet been broken down into sub-sector levels, which is
fundamental for sector investment planning. Therefore, technical support would be needed to
strengthen capacity of MoES to be able to collect/capture and manage the data at sub-sector level
and in a systematic way as well as to keep entries updated.
3.
3.1.
DETAILED DESCRIPTION
Objectives
Education is a strategic sector, key for poverty reduction and sustainable development but first
and foremost education for all is one of the main building blocks of a fair society. Education is
essential for giving young citizens the opportunity to acquire the knowledge and skills necessary
to be active players of an evolving society.
The overall objective of the programme is to contribute to sustainable, inclusive and equitable
growth in Lao PDR by strengthening quality basic education for all, and by supporting
improvements in education governance.
The specific objectives of the programme are threefold:
1.
2.
3.
3.2.
Contributing to equitable access to and completion of basic education with a focus on
disadvantaged groups (66 most disadvantaged districts);
Contributing to improving education quality and relevance ;
Contributing to improvements in the governance of the education system.
Expected results and main activities
Strategically, enabling more disadvantaged boys and girls to learn, achieve literacy, numeracy
and core life skills by completing a full course of quality basic education will require a long-term
and holistic approach built upon five main pillars:
1.
2.
3.
4.
Participation: more disadvantaged children and young people to participate in primary
education daily and are ready to learn
Resourcing: learning environments in targeted disadvantaged areas are more equitably and
adequately resourced
Effective teaching: more effective teaching enable disadvantaged girls and boys to learn
Planning and budgeting informed by evidence based sector performance systems
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5.
Transition between primary, lower secondary and upper secondary education: the programme
will also include a "readiness programme" targeting the 5-year old pupils in selected districts
and easing the entrance into the primary education cycle. Transition rate between lower and
upper secondary education will mechanically improve as more pupils will be able to
complete successfully the basic education cycle.
Based on this holistic approach and in order to meet the expected results linked to these three
specific objectives of access/completion, quality/relevance and governance a set of activities will
be specifically designed per type of final beneficiary groups i.e. pupils (especially disadvantaged
girls and boys); local communities including Village Education Development Committee (VEDC)
and parents; teachers and principals; central, provincial and district education administrators;
Teacher Training Colleges (TTC).
Specific Objective 1: Contributing to equitable access to and completion of basic
education, with a focus on disadvantaged groups
Expected Results
Main activities will include, among others:
- Increased number of children completing a
cycle of basic education, with a focus on
disadvantaged groups and regions
- Reduced repetition and dropout rates
- Provision of support to communities
(including VEDCs) to promote and strengthen
their involvement in school planning,
budgeting and monitoring of the quality of
education services
- Delivery of education services in hard to
reach areas; provision of specific support to
children with disability; establishment of a
scholarship system for girls to attend lower
secondary school; development of the
“Readiness programme”
- Establishment of an Innovation Fund to pilot
innovative activities such as piloting new
approaches to teaching Lao language to non
Lao speaking children, and to develop
multilingual teaching methodology; etc.
- Provision of school meals in disadvantaged
schools and capacity building of government
and communities to implement and manage
the school meals program.
- Provision of water and sanitation facilities in
primary schools and improvements in school
health and hygiene
Specific Objective 2: Support to improvement of education quality and relevance
Expected Results
Main activities will include, among others:
- Increased availability of
learning materials, with
disadvantaged groups
teaching and - Development of a more efficient and
a focus on decentralised system for acquisition and
distribution of teaching and learning resources
(support to MoES) especially in remote
schools;
- Improved delivery of teacher education and - Development and distribution of teaching and
support for a professional development learning material packs to primary schools;
system for teachers, school officials and - Development of comprehensive pre-service
pedagogical advisers
and in-service programmes in the targeted
TTC: Training needs assessment for teachers ;
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Revision of the pre-service primary teacher
curriculum and training to trainers in TTC on
the revised curriculum, revision and
distribution of teachers' learning materials
(focus notably on teaching Lao language,
reading pedagogy, and multi-grade teaching
methodologies);
- Provision
of
continuing
professional
development for teacher educators (trainers) in
TTC;
- Development and provision of professional
development programme to targeted teachers,
principals or school leaders, and pedagogical
advisers to improve classroom teaching;
- Provision of quality pedagogical support to
teachers, including establishment of a
mentoring system from pedagogical advisers
- More efficient and effective
recruitment and deployment
teacher - Provision of student welfare offices in all 8
TTC to provide ethnic teachers trainees with
pastoral care; provision of scholarships for
selected ethnic teachers trainees in TTC (focus
on female trainees and from remote and rural
locations);
- Elaboration of a strategy for redeployment of
graduate teachers back to their home villages;
provision of additional mentoring to newly
graduated ethnic teachers
Specific Objective 3: Support to improved governance of the education system
Expected Results
Main activities will include, among others:
- Strengthened and more effective links - Professional development in planning and
between planning and budgeting at central
budgeting at the district, provincial, and
and provincial levels
central levels.
- Software development (budget preparation),
deployment at all levels and related training
delivered.
- Provincial, district and school management - Provision of school-based management
training for school principals
enhanced
Participation in the policy dialogue, and in
- Contributing
to
improvements
in
the meetings and discussions of the ESWG
harmonisation of sector support, including
and focal groups
amongst DPs’
Activities linked to Specific Objectives 1 and 2 will be delivered through BEQUAL programme
and activities linked to Specific Objective 3 will be delivered through technical assistance directly
managed by the EU.
In addition to its contribution to the BEQUAL programme, and in order to build on its experience
and valuable expertise in education sector governance, planning and budgeting at national and
sub-national level (specific objective 3), the EU will allocate EUR 3.25 million to technical
assistance (TA) to MoES. This TA package aims at strengthening the functions of planning and
budgeting with the objective of moving from the traditional incremental approach to budgeting
towards performance budgeting in a decentralised environment.
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The overall policy dialogue platform that will be induced by the programme and pursued by
DFAT and the Delegation of the EU teams will be built upon five main pillars: (1) Education
Policy, Planning and Coordination, (2) Increased participation, (3) Teacher education and support,
(4) Teaching and learning resources and (5) School infrastructure. Policy dialogue opportunities
will be created with the formulation of the new ESDP, the regular ESWG meetings and the
program implementation.
Meanwhile, in coordination with other Development Partners, the EU will further enhance its
dialogue with both the MoES and the Ministry of Finance on sector planning, financing and
budgeting matters.
Overall, DFAT and the EU acknowledge that effective dialogue and partnering arrangements are a
prerequisite for sector development effectiveness as priority actions must be agreed; resourced,
implemented and monitored in a coherent manner for their development impact to be maximised.
3.3.
Risks and assumptions
Risk
Mitigation measures
1. Financial Risks
The operating budget (non-wage recurrent
expenditure) is approximately 10% of the total
sector budget. Very little discretion is being
given to carry out any interventions aimed at
improving the quality of education and at
strengthening inspection, monitoring and
evaluation - Medium to High Risk
. Ministry of Finance to allocate the MoES
school block grants according to the decree
136/PM of 29 June 2010.
. DPs’ financial support to block grants
through the GPE II.
. Increasing non-wage recurrent expenditures
and strengthening planning and budgeting.
. Avoiding the implementation on new pilot
programmes such as mobile schools that will
drain already scarce financial resources
2. Operational risks
No effective coordination between MoES
departments (Teachers, Pre-primary and
Primary, Finance, Planning, Inspection,
Personnel) - Low Risk
. Education Sector Working Group and Focal
groups have been specifically set up by the
Ministry to address these issues of intraministerial coordination. Should capacities be
strengthened, this can be done either through a
specific technical assistance project or by a
more in-depth involvement of the DPs in the
running of these working groups.
Lao PDR and MoES not prepared to . Continued DPs' support for a structured and
participate in a structured policy dialogue with enhanced policy dialogue framework. So far,
DPs - Low Risk
MoES has been very open to discuss any
policy issues with DPs
Resistance to change behaviour (individual) . Inherent to any organisation. Can be settled
and business processes (institution) to increase by better human resources and staff
performance of the sector – Medium Risk
management.
. Advocacy, on-the-job training and coaching
are ways to address this risk. Training alone
cannot fix a dysfunctional system and
therefore will not be isolated from the other
components
of
institutional
capacity
development (regulations and incentives,
technology and organisational structures)
11
3.4.
Cross-cutting issues
Existing disaggregated educational data5 show females are not progressing through the education
system at the same rate as boys and substantive efforts must be made to address this trend. Girls
often experience later starts in education, delaying their Lao language acquisition and creating
life-long disadvantage through dropout and low levels of literacy. Equitable access to basic
quality education and improved governance of the education system are the very focus of the
present programme, which will enable more disadvantaged boys and girls to complete a full
course of quality basic education. Strong focus will be on improving school based management,
teacher training and ensuring that ethnic teachers, particularly female candidates are trained and
deployed in sufficient numbers to rural and remote villages to raise learning standards in those
areas. Also strengthening capacities of rural teachers (in particular female teachers) will increase
opportunities for female teachers to upgrade their teaching qualifications and skills as well as their
prospects for career progressions.
The curricula for primary and secondary education contain some elements regarding
environment, natural resources management and disaster risk reduction. However, lack of
specific teaching and learning materials and limited teaching capacity are the main obstacles to
effectively transmit to pupils the key principles of sound and sustainable environmental
management.
Lao PDR is a diverse and multi-ethnic state with 49 distinct ethnic groups classified into four
main ethno-linguistic groups: Lao-Tai, Mon-Khmer, Hmong Mien and Chinese-Tibetan. This
diversity presents real challenges for the delivery of all social services, including education, as
many non-Lao/Tai live in remote and hard to access locations and communicate predominately in
their own languages.
The Education Law (2000 and 2007 amended version) stipulates that Lao is the language of
instruction, the curriculum and materials at all levels are in Lao and teacher training is also carried
out in Lao. However, at present, ethnic and local languages are widely used in oral form in
schools in ethnic minority areas. Recognizing the importance of ethnic teachers in delivering
education in remote areas, the programme will contribute to training teachers, in particular women
from ethnic areas. Article 48 foresees the teaching of foreign languages starting from grade 3
(primary education). The Prime Minister Decree on the implementation of the Education Law n°
135 of 29th June 2010 specifically mentions English and French as core languages, although other
languages can be taught.
3.5.
Stakeholders
The ultimate beneficiary of the programme will be basic education school age children. Key
education stakeholders within the formal Lao education system include the MoES at central level,
the Provincial Education Services, the District Education Bureaus, the Pedagogical Advisers, the
Teacher Education Institutions, Faculties of Education at the National University of Laos,
Suphanouvong University, Savannakhet and Champassak Universities; and Primary and
Secondary Schools, Teachers, Principals, VEDC’s and Parent Teacher Associations at school and
community level. Outside of the formal system several mass organisations are also important
stakeholders in the system including the Lao Women’s Union and the Lao National Front for
Reconstruction.
There are more than 50 International Non-Governmental Organisations (INGOs) and local Nonfor Profit Associations (NPAs) engaged in the education sector in Lao PDR. In particular, NPAs
are showing an increasing interest in engaging in remote, hard-to-reach locations although issues
of accessibility, language of instruction and absence of local networks remain key constraints to
working in these locations for many organisations. NGOs/NPAs have substantial experience on
5
EMIS 2012/13
12
engaging community particularly raising awareness and changing behaviour related to education
at the village level. Their contributions will be crucial for programme implementation particularly
in the areas of participation and community engagement.
Through the ESWG and IESWG, the program will collaborate with other donors and partners
working in the basic education sector. By strengthening sector governance, planning and
budgeting process, the programme will be able to influence policy and collaboration across the
sector.
4.
IMPLEMENTATION ISSUES
4.1.
Financing agreement
In order to implement this action, it is foreseen to conclude a financing agreement with the partner
country, referred to in Article 184(2)(b) of Regulation (EU, Euratom) No 966/2012.
4.2.
Indicative operational implementation period
The indicative operational implementation period of this action, during which the activities
described in sections 3.2 and 4.3 will be carried out, is 72 months from the date of entry into
force of the financing agreement or, where none is concluded, from the adoption of this Action
Document, subject to modifications to be agreed by the responsible authorising officer in the
relevant agreements. The European Parliament and the relevant Committee shall be informed of
the extension of the operational implementation period within one month of that extension being
granted.
4.3.
Implementation components and modules
4.3.1.
Indirect Management with DFAT
A part of this Action with the objectives of increasing equitable access, completion of basic
education (specific objective 1) and improving education quality and relevance (specific objective
2) may be implemented in indirect management with DFAT in accordance with Article 58(1)(c)
of Regulation (EU, Euratom) No 966/2012.
This mode of implementation is justified for the following reasons:
1.
2.
3.
4.
5.
6.
Harmonisation between DPs: concrete and practical example of the application of the Aid
effectiveness principles.
Improved and coordinated policy dialogue and leverage between like-minded education
DPs (common objectives, results and monitoring and evaluation frameworks).
Effective and efficient use of joint resources allowing the EU to focus on substantive
sector policy dialogue rather than administrative programme management.
Economy of scale and value for money by avoiding parallel structures and reducing
transaction costs for both the government and for the EU.
Complementarities between Australia and the EU: EU support for sector governance,
planning and budgeting and Australian support for improvements in the key areas of access,
quality and equity.
Absorption capacity of the MoES. The MoES also welcomes this strengthened
collaboration between Australia and the EU and supports this proposal to work under the
same programmatic framework and so, avoiding additional strains on the Ministry's human
resources.
The EU will directly contribute to Australia’s programme (BEQUAL) with which it is fully
aligned. The entrusted entity (DFAT) would launch an international open call for tenders to select
a managing contractor who will assist DFAT to manage and implement activities of the
programme under specific objectives 1 and 2 as described under section 3.2.
13
In order to allow the participation of the EU in this jointly co-financed action, the notional
approach will be used. All the necessary measures will be put in place to ensure that all ineligible
costs for the EU contribution are covered by other donors’ contributions.
Assisted by the managing contractor, DFAT, as entrusted entity, would also: launch other calls
for tenders and for proposals; define eligibility, selection and award criteria; evaluate tenders and
proposals; award grants, contracts; act as contracting authority: conclude and manage contracts,
and carry out payments. DFAT in addition and more specifically: 1) oversees the management of
the programme; 2) conducts policy dialogue with education sector stakeholders; 3) monitors the
performance of the programme against sector plan; 4) reports against this performance through an
annual performance assessment; 5) commissions an independent review of the program during the
life of the program. DFAT representatives at the Australian Embassy in Vientiane will have
regular management discussions with the managing contractor on day-to-day issues.
Managing and governance of the joint EU-Australia programme will occur at two levels: 1) the
strategic oversight level through a Steering Committee and 2) the operational governance level
through a Technical Working Group. The Steering Committee will be composed of senior
representation from the Government of Lao PDR, Australia and EU to provide high level strategic
oversight of the programme. The Technical Working Group aligned to the Education Sector
Working Group, will manage planning and activity implementation and have oversight of
programme monitoring, evaluation and learning. It will consist of the Director Generals of the
four key departments within the MoES, DFAT and EU.
The Commission authorises that the costs incurred by the entrusted entity may be recognised as
eligible as of 15 December 2014. This will allow aligning the starting date, implementing and
reporting periods of the project with DFAT. Taking into account the comprehensiveness of the
BEQUAL programme and the interconnection between the activities that will be implemented, it
is crucial for the EU to have 'un droit de regard' on the whole programme since its inception
phase.
4.3.2.
Procurement (direct management)
A part of this Action with the objective of providing technical assistance, which includes a
comprehensive training and institutional capacity development programme, and a small supply
component – maximum 5 percent – for hardware and for the development of a budget preparation
software, may be implemented in direct management.
Subject in generic terms, if possible
Type
(works,
supplies,
services)
Indicative
number of
contracts
Indicative
trimester of
launch of the
procedure
Technical Assistance to MoES
Services /
supplies
1
Q3 of 2016
Communication and Visibility
Services
2
Q1 of 2016 and
Q2 of 2017
Evaluation and Audit
Services
2
Q4 of 2017
Q4 2020
4.4.
Scope of geographical eligibility for procurement and grants
The geographical eligibility in terms of place of establishment for participating in procurement
and grant award procedures and in terms of origin of supplies purchased as established in the
basic act shall apply.
14
The responsible authorising officer may extend the geographical eligibility in accordance with
Article 9(2)(b) of Regulation (EU) No 236/2014 on the basis of urgency or of unavailability of
products and services in the markets of the countries concerned, or other duly substantiated cases
where the eligibility rules would make the realisation of this action impossible or exceedingly
difficult.
4.5.
Indicative budget
Module
Amount in EUR
Third party
contribution
11 500 000
48 189 453
4.3.2. – Procurement (direct management):
Technical Assistance
3 250 000
0
4.7 – Evaluation and audit
100 000
0
4.8 – Communication and visibility
150 000
0
15 000 000
48 189 453
4.3.1 – Indirect management with DFAT
Sub-total
TOTAL
4.6.
63 189 453
Performance monitoring
BEQUAL will develop its own Monitoring and Evaluation (M&E) system with the objective of
(1) providing necessary information for program personnel, the Lao Government, DFAT and EU
to make day-to-day and strategic management decisions on the basis of timeline and well-founded
evidence; of (2) supporting accountability to the people of Lao PDR and DFAT and EU about the
use of programme resources and the achievement of positive intended and unintended program
outcomes; and (3) enable program personnel, participants and stakeholders to learn from the
program and to apply lessons learnt to ongoing efforts; and to capture and communicate those so
the wider development community can make use of them.
In addition to the BEQUAL M&E system, the EU will use the Performance Assessment
Framework developed by the MoES to monitor the indicators set in the Sector Intervention
Framework attached to the Multi-Annual Indicative Programme 2014/2015.
4.7.
Evaluation and audit
An independent mid-term and final evaluation of the programme will be foreseen. No financial
audit is planned as it is integral part of the contractual arrangements with the selected entities.
External evaluations might be carried out by independent consultants recruited directly by the
Commission in accordance with EC rules and procedures on specifically established terms of
reference.
4.8.
Communication and visibility
Communication and visibility of the EU is a legal obligation for all external actions funded by the
EU.
This action shall contain communication and visibility measures which shall be based on a
specific Communication and Visibility Plan of the Action, to be elaborated before the start of
implementation and supported with the budget indicated in section 4.5 above.
15
Branding this action as a joint Australia-EU programme will be important for both a domestic
(Government, Lao civil society and Lao citizens) and an international audience (especially
European public). The Communication and Visibility Plan will have to be developed and include
media activities (radio, video, press, social media) taking into this dual objective.
The measures shall be implemented either by the Commission, contractors, and entrusted entities.
Appropriate contractual obligations shall be included in, respectively, financing agreements,
procurement and grant contracts, and delegation agreements.
The Communication and Visibility Manual for EU External Action shall be used to establish the
Communication and Visibility Plan of the Action and the appropriate contractual obligations.
16