The Government leader was critical of the northwestern mountainous province leaders for wasting rich forestry resources to leave 43.5 percent of local households in poverty, during his working visit on August 24.

He was very concerned about the province’s high poverty rate, especially in Muong Te district where the rate stood at 70 percent. Mr Dung suggested the provincial administration expand areas under rubber and industrial crops to another 20,000 ha. Meadows intercropped inside these forests would be useful to develop local cattle and goat stocks.

The Prime Minister also advised the province to develop its border-gate economy through increasing trade and tourism ties with China’s Yunnan province.

Lai Chau provincial leaders proposed that the Government assist them in planting rubber trees, establishing new settlements for residents displaced by hydro-electric power projects, developing policies in favour of forest planting and protection as well as investing in major infrastructure projects including roads, urban and border gate construction, and a provincial hospital. Despite its low profile, Lai Chau has managed to record a gross domestic product growth rate of more than 10 percent and reduce the poverty rate down to 43.5 percent in 2007 from 60 percent in 2003.

Mr Dung asked provincial leaders to help nearly 9,000 households resettle in better areas, after removing them from a space marked for the building of a hydro-electric power project. He pledged to provide support for 61 poor districts in the country, including those in Lai Chau.

The Government leader also praised the provincial administration and people for their great efforts in ensuring a stable and strong political system and constantly improving relations with neighbouring China’s Yunnan province.