Laos sees China, Vietnam as 'successful' socialist model .c Kyodo News Service VIENTIANE, Feb. 10 (Kyodo) - By: Supalak Ganjanakhundee The Lao People's Revolutionary Party (LPRP) will continue leading Laos toward the goal of realizing a socialist society patterned after the ''successful'' models of China and Vietnam, according to a party source Saturday. A key document drafted for the communist party's seventh congress slated for next month indicates the party remains confident in its strategy of combining market-economy principles with socialist theory. The LPRP blames poor leadership and misinterpretation of theory for the collapse of communism in Russia and East European countries. ''Socialist theory is polished by its success in China. It looks better and perfect after reforms and openness in Vietnam,'' the source quoted a party political report for the coming congress as saying. ''Developments in the two countries confirm that socialism is in the right direction and that it is alive and has a very bright future,'' it said. As a socialist partner, the LPRP congress will propose that Laos continue its special relations with Vietnam and expand comprehensive relations with China, he said. The source said the guidelines are expected to intensify the rivalry between pro-Vietnam and pro-China factions within the party. The party will also urge the military and police to strengthen inspections and security measures to root out ''bad elements'' accused by authorities of masterminding a string of bombings in Vientiane since March last year. The congress, held every five years, is the most important event for the ruling party because policy directions are laid out during the gathering. It is estimated that 39% of the country's population of five million is poor. The LPRP has admitted failing to achieve targets for economic performance set five years ago. Economic growth averaged 6% instead of the targeted 8-8.5%. Per capita income during the last five years averaged $300, falling short of the target $500. ''We can partly blame the regional financial crisis (in the middle of 1997) for the failures. But our poor internal management is a major part of the economic slowdown,'' the source said. Agencies such as those dealing with economic matters, the central bank and the investment committee have been criticized for lacking unity and efficiency to implement economic action plans. Hyperinflation and economic difficulties resulted from poor coordination among government agencies. However, Lao authorities managed to reduce inflation from 141% in 1998 to 50% last year. The coming congress targets boosting gross domestic product growth by at least 6% annually in the next five years, according to the source. The market mechanism would play a key role for transforming the Lao economy. State-run enterprises urgently need improvement to enable them to compete in the market while inefficient debt-ridden firms would be dissolved or merged with others. Unlike Vietnam, which is supposed to hold its ninth congress in the same period, the LPRP mentions corruption and abuse of power among officials but made recommendations on how to tackle the problem. The date of the congress is not yet fixed. The central committee ended its 14th plenary session Feb. 3 during which several draft documents for the congress were considered. The party will have to hold another plenum to finalize drafts of a political report, socioeconomic development strategy for 2010-2020 and guidelines for 2001-2005 and socioeconomic plan prior to the congress. _________________________________________________ KOMINFORM P.O. Box 66 00841 Helsinki Phone +358-40-7177941 Fax +358-9-7591081 http://www.kominf.pp.fi General class struggle news: [EMAIL PROTECTED] subscribe mails to: [EMAIL PROTECTED] Geopolitical news: [EMAIL PROTECTED] subscribe: [EMAIL PROTECTED] __________________________________________________
