Lao People's Democratic Republic
|Population||7 million (2017)|
|GDP at PPP (current international dollars)||48 billion (2017)|
|GDP per capita at PPP (current international dollars)||7,023 (2017)|
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Agriculture remains an important part of the Lao PDR economy, and government leaders have recognized the sector as a key driver for reducing poverty. As part of the GMS program, Lao PDR is working to improve food security and cross-border agricultural trade, as well as reduce trans-boundary animal disease and foster climate change resilience. The ultimate goal is to improve the lives of people in rural areas, and foster economic development.
In the area of energy, Lao PDR is a leader in the Greater Mekong Subregion. Today, Lao PDR supplies 100 percent of its domestic power needs through hydropower, and derives substantial economic benefit from selling excess power to its GMS neighbors. The Lao PDR Government has recognized that providing widely available and affordable energy to people in both urban and rural areas is important for economic development and poverty reduction.
Though diversification is underway, Lao PDR’s economy is primarily resource-based, so environmental sustainability is vital. As Lao PDR’s economic activity has increased, protection of the country’s environment has become increasingly important. Lao PDR is working with its GMS partners to establish biodiversity corridors, and protect critical ecosystems.
The Lao PDR Government is working closely with its GMS partners to improve education and health, and better develop human resources in the country. This has included vocational training programs, as well as work to improve the skills of the country’s health care workers. GMS-supported programs to control communicable diseases and to improve government officials’ management abilities are also underway.
Lao PDR is using mobile and fixed telephone communications, as well as the Internet, to promote human resource development, research, business, and infrastructure development, and to enhance the country’s education system. Telecommunications access is being expanded into remote rural locations, including areas where vulnerable minority groups can benefit.
Lao PDR has seen a rapid increase in tourism in recent years. Its rich cultural and natural sites are attracting a growing number of visitors. Top destinations include Luang Prabang, Champasak, Vientiane, Vang Vieng, and Savannakhet. Direct flights between Cambodia’ Angkor Wat and Luang Prabang are an example of the efforts underway to link GMS tourist sites, and package them as a single destination. Lao PDR’s strategy is to develop tourism in order to generate jobs, protect natural cultural heritage, and reduce poverty.
The Government of Lao PDR is actively encouraging trade and investment with its GMS partners. It has worked to enhance cross-border trade, and has been active partner in the development of economic corridors using transport infrastructure to drive trade and investment.
In the area of transport, Lao PDR has developed better highway connections with Cambodia, PRC, Thailand, and Viet Nam. The country is a vital link in several of the subregion’s major economic corridors, including the North-South Economic Corridor, which spans from Kunming to Bangkok via Lao PDR, another North-South Corridor which traverses Kunming, Mohan, Luang Prabang, Vientiane, Thakhek, Phnom Penh and Sihanoukville, and the East-West Corridor, which stretches 1,500 km from Mawlamyine in Myanmar, to Da Nang in Viet Nam, passing through Savannakhet-Dansavanh in Lao PDR. Through these transport corridors, Lao PDR is transforming itself from a landlocked into a land-linked country, using its location at the center of GMS to facilitate trade and investment from other countries in the subregion.
This report explores potential links between the agriculture and tourism sectors that could strengthen infrastructure development and inclusive growth in the Lao People's Democratic Republic.
Raising competitiveness and strengthening the links between agriculture and tourism will contribute to post-coronavirus disease (COVID-19) recovery and inclusive growth in the Lao People’s Democratic Republic (Lao PDR), according to a report by the Asian Development Bank (ADB) released today.
Jiarun Agricultural Development Co, Ltd., of the People's Republic of China, and the Ministry of Planning and Investment of the Lao People’s Democratic Republic, have signed a Memorandum of Understanding (MoU) on the feasibility study for a forest restoration and ecological agriculture development project. The MoU states that the feasibility study will be conducted for 5,000 hectares of land in Sanamxay district of Attapeu province in southern Lao PDR. The project is envisioned to generate over 50,000 local jobs, promoting the local economy and raising the people's living standards.
This publication provides an analysis of key challenges and opportunities for the Greater Mekong Subregion (GMS) to realize its development goals by 2030 and beyond.
Cambodia, Lao PDR, and Viet Nam (CLV) Leaders expressed their firm commitment to strengthen the CLV Development Triangle Area (DTA) in order to accelerate economic growth, alleviate poverty, and promote socio-cultural progress in the subregion. At the 11th CLV Summit held online on 9 December, they adopted a Joint Declaration that provides a foundation for the subregion’s socio-economic development plan until 2030 and the Tourism Development Plan. They also adopted the Development Plan for Sustainable Rubber Industry.
Leaders of Cambodia, Lao PDR, Myanmar, Thailand, and Viet Nam adopted the Phnom Penh declaration at the 9th Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS) Summit held on 9 December. The declaration emphasizes post-pandemic socio-economic recovery and preparation for future crises and challenges through public health cooperation and enhanced supply chains. ACMECS leaders stressed the importance of vaccine multilateralism to ensure equitable and safe access to coronavirus disease (COVID-19) vaccines.
Orlathai Ferchanthala dreams of turning her family’s subsistence farm into a commercial business growing rice and a range of cash crops, raising livestock, and outfitted with a modern irrigation system.
“The soil here is suitable for growing various crops, and the grass is perfect for raising cattle,” said Ferchanthala, a 35-year-old mother of three living in a rural community in southern Vientiane. “We need irrigation schemes to bring water into our farming areas in the dry season and proper dikes to protect us from floods in the rainy season.”
Together We Deliver: Grants for a Brighter Future is a special edition of the Asian Development Bank’s (ADB) annual publication featuring stories of lives uplifted across Asia and the Pacific through grant financing by the Asian Development Fund (ADF). The ADF provides grants to support activities that reduce poverty and improve the quality of life in “ADF countries”—the poorest and most vulnerable countries in the region.
The Ministers of the six member countries of the Greater Mekong Subregion (GMS) are set to lay the groundwork for the preparation for the 7th GMS Summit of Leaders.
Hosted by the Royal Government of Cambodia and the Asian Development Bank (ADB), the 23rd GMS Ministerial Conference (MC-23) will take place in Phnom Penh on 18 November 2019, with the theme "Greater Integration, Inclusivity and Sustainability in the GMS.”