Financing for equity in pre-primary education
1. Education resources to subnational governments
2. Education resources to institutions
3. Education resources to students and families
4. Social policies and family support programmes
Introduction
Key financing indicators (UIS Data)
In the Lao PDR, the official entry age for pre-primary education is 3 years old. In 2025, the net enrolment rate for pre-primary education was 48.65%
Governance
About 80% of pre-primary institutions are public, including those established by development partners. ECCE is primarily funded by the Ministry of Education and Sports (MOES).
Tuition-free status
While the official entrance age to pre-primary education in Lao PDR is 3 years old, there are programmes in Lao that start from as early as three months old. The Education Law states that access to public preschool education is free.
1. Education resources to subnational governments
The ECE sector generally receives an average of 9.3% of the budget for the education system. Over 80% is for recurrent costs (personnel and operational expenses). Block grants are calculated based on enrolment numbers.
The Ministry of Education, through the Early Childhood Education Department, allocates the budget at a macro level. The provincial level develops the budget for delivering ECE and manages funds from private and development partner sources. The district level approves the institution budgets and forwards them to the provincial level.
2. Education resources to institutions
Schools receive funds from the district level after sending the district office their budget for approval. ECE institutions can also receive national school block grants (SBGs). Schools can apply the grant to their most pressing necessities, from conducting repairs, acquiring teaching and learning materials, or paying overdue utility bills. The grant is distributed based on an equation which counts the number of students in the school. The 2021-2025 Education and Sports Sector Development Plan calls for reducing disparities by potentially adjusting the SBG funding formula to provide larger grants to areas with weaker education services or performances.
Private ECE institutions do not receive funds from the government.
3. Education resources to students and families
No information was found.
4. Social policies and family support programmes
The Mother and Early Childhood Grant (MECG) is a joint initiative between the Ministry of Labour and Social Welfare (MoLSW), UNICEF, ILO, and UNCDF. The MECG is an integrated cash transfer pilot aimed at pregnant women and children under 12 months in three specific districts. The programme provides beneficiaries with monthly payments of LAK 150,000. The pilot has been implemented since 2021. Education is not a factor for the MECG.
