The UN Capital Development Fund (UNCDF) has been a long-term partner and key participant in the Lao Government’s National Governance and Public Administration Reform programme.

By strengthening how finance works at the local levels, UNCDF contributes to SDG1 on eradicating poverty with a focus on reaching the last mile and addressing exclusion and inequalities of access, and to SDG 16 by strengthening government institutions.

The District Development Fund (DDF) 2005-2021, a technical support by UNCDF, with the collaboration of other development partners, has played a central role in the national decentralisation policy and its on-going implementation. The DDF has proven to be an invaluable tool for testing and demonstrating new and improvedmodalities of public financing,
local budget management and capacity development for local governments.