Economic overview Laos, in 36 editions.

One of the world's poorest nations, Laos has had a Communist centrally planned economy with government ownership and control of productive enterprises of any size. Recently, however, the government has been decentralizing control and encouraging private enterprise. Laos is a landlocked country with a primitive infrastructure, that is, it has no railroads, a rudimentary road system, limited external and internal telecommunications, and electricity available in only a limited area. Subsistence agriculture is the main occupation, accounting for over 60% of GDP and providing about 85-90% of total employment. The predominant crop is rice. For the foreseeable future the economy will continue to depend for its survival on foreign aid--from CEMA, IMF, aid from the IMF and other international sources. sources; foreign aid from the USSR and Eastern Europe is being cut sharply.

One of the world's poorest nations, Laos has had a Communist centrally
planned economy with government ownership and control of productive
enterprises of any size. Recently, In recent years, however, the government has been
decentralizing control and encouraging private enterprise. Laos is a
landlocked country with a primitive infrastructure, infrastructure; that is, it has no
railroads, a rudimentary road system, limited external and internal
telecommunications, and electricity available in only a limited area.
Subsistence agriculture is the main occupation, accounting for over 60% of
GDP and providing about 85-90% of total employment. The predominant crop is
rice. For the foreseeable future the economy will continue to depend for its
survival on foreign aid from the IMF and other international sources; foreign aid
from the former USSR and Eastern Europe is being has been cut sharply.

One of the world's poorest nations, Laos has had a Communist centrally
planned economy with government
ownership and control of major productive enterprises. Since 1986,
enterprises of any size. In recent years, however, the government has been
decentralizing control and
encouraging private enterprise. Laos is a
landlocked country with a
primitive infrastructure; that is, it has no
railroads, a rudimentary road
system, limited external and internal
telecommunications, and
electricity available in only a limited area.
Subsistence agriculture
is the main occupation, accounting for over 60% of
GDP and providing
about 85-90% of total employment. The predominant crop is
rice. For
the foreseeable future the economy will continue to depend for its
survival on foreign aid from the IMF and other international sources; aid
aid from the former USSR and Eastern Europe has been cut sharply.

Laos has had a Communist centrally planned economy with The government
ownership and control of major productive enterprises. Since 1986,
however, Laos - one of the government few remaining official
Communist states - has been decentralizing control and
encouraging
private enterprise. enterprise since 1986. The results, starting from an extremely
low base, have been striking - growth has averaged 7.5% annually since
1988. Even so, Laos is a landlocked country with a
primitive infrastructure; it
infrastructure. It has no railroads, a rudimentary road
system, and
limited external and internal telecommunications, and telecommunications. Electricity is
electricity available in only a limited area. few urban areas. Subsistence agriculture accounts
is the main occupation, accounting for over 60% half of GDP and providing
about 85-90% provides 80% of total employment. The predominant
crop is rice. For In non-drought years, Laos is self-sufficient overall in
food, but each year flood, pests, and localized drought cause
shortages in various parts of the country. For the foreseeable future
the economy will continue to depend for its
survival on foreign aid from the IMF and other
international sources;
aid from the former USSR and Eastern Europe has
been cut sharply. As in many developing countries, deforestation and
soil erosion will hamper efforts to maintain the high rate of GDP
growth.

The government of Laos - one of the few
remaining official
Communist communist states - has been decentralizing
control and encouraging
private enterprise since 1986. The results,
starting from an extremely
low base, have been striking - growth has
averaged 7.5% annually since
1988. Even so, Laos is a landlocked
country with a primitive
infrastructure. It has no railroads, a
rudimentary road system, and
limited external and internal
telecommunications. Electricity is
available in only a few urban
areas. Subsistence agriculture accounts
for half of GDP and provides
80% of total employment. The predominant
crop is rice. In
non-drought years, Laos is self-sufficient overall in
food, but each
year flood, pests, and localized drought cause
shortages in various
parts of the country. For the foreseeable future
the economy will
continue to depend on aid from the IMF and other
international
sources; aid from the former USSR and Eastern USSR/Eastern Europe has
been cut
sharply. As in many developing countries, deforestation and
soil
erosion will hamper efforts to maintain the high rate of GDP
growth.

The government of Laos - one of the few
remaining
official communist states - has been decentralizing
control and
encouraging private enterprise since 1986. The results,
starting from
an extremely low base, have been striking - growth has
averaged 7.5%
annually since 1988. Even so, Laos is a landlocked
country with a
primitive infrastructure. It has no railroads, a
rudimentary road
system, and limited external and internal
telecommunications.
Electricity is available in only a few urban
areas. Subsistence
agriculture accounts for half of GDP and provides
80% of total
employment. The predominant crop is rice. In
non-drought years, Laos
is self-sufficient overall in food, but each
year flood, pests, and
localized drought cause shortages in various
parts of the country. For
the foreseeable future the economy will
continue to depend on aid from
the IMF and other international
sources; aid from the former
USSR/Eastern Europe has been cut
sharply. As in many developing
countries, deforestation and soil
erosion will hamper efforts to
maintain the high rate of GDP growth.

The government of Laos - one Laos-one of the few remaining
official communist states - has states-has been decentralizing control and
encouraging private enterprise since 1986. The results, starting from
an extremely low base, have been striking - growth has averaged 7.5% 7% in
annually since 1988. Even so, 1988-96. Because Laos depends heavily on its trade with Thailand, it
fell victim to the financial crisis in the region in 1997, when growth
was a mere 1.5%. Laos is a landlocked country with a
primitive
infrastructure. It has no railroads, a rudimentary road
system, and
limited external and internal telecommunications.
Electricity is
available in only a few urban areas. Subsistence
agriculture accounts
for half of GDP and provides 80% of total
employment. The predominant
crop is glutinous rice. In non-drought years, Laos
is self-sufficient
overall in food, but each year flood, pests, and
localized drought
cause shortages in various parts of the country. For
the foreseeable
future the economy will continue to depend on aid from
the IMF and
other international sources; Japan is currently the largest bilateral
aid donor; aid from the former
USSR/Eastern Europe has been cut
sharply. As in many developing
countries, deforestation and soil
erosion will hamper efforts to
maintain the regain a high rate of GDP growth.

The government of Laos-one Laos?one of the few remaining
official communist states-has states--has been decentralizing control and
encouraging private enterprise since 1986. The results, starting from
from an extremely low base, have been striking - growth striking--growth averaged 7% in
1988-96. Because Laos depends heavily on its trade with Thailand, it
fell victim to the financial crisis in the region beginning in 1997, when growth 1997.
was a mere 1.5%. Laos is a landlocked country with a primitive
infrastructure. It has
no railroads, a rudimentary road system, and
limited external and
internal telecommunications. Electricity is
available in only a few
urban areas. Subsistence agriculture accounts
for half of GDP and
provides 80% of total employment. The predominant
crop is glutinous
rice. In non-drought years, Laos is self-sufficient
overall in food,
but each year flood, pests, and localized drought
cause shortages in
various parts of the country. For the foreseeable
future the economy
will continue to depend on aid from the IMF and
other international
sources; Japan is currently the largest bilateral
aid donor; aid
from the former USSR/Eastern Europe has been cut
sharply. As in many
developing countries, deforestation and soil
erosion will hamper
efforts to regain a high rate of GDP growth.

The government of Laos?one Laos - one of the few remaining
official communist states--has been states - began decentralizing control and
encouraging private enterprise since in 1986. The results, starting
from an extremely low base, have been striking--growth were striking - growth averaged 7% in
1988-96. Since mid-1996, however, reform efforts have slowed, and the economy has suffered as a result. Because Laos depends heavily on its trade with Thailand, it
fell victim to was further damaged by the regional financial crisis in the region beginning in 1997.
Laos is From June 1997 to June 1999 the Lao kip lost 87%, and reached a crisis point in September 1999 when it fluctuated wildly, falling from 3,500 kip to the dollar to 9,000 kip to the dollar in a matter of weeks. Now that the currency has stabilized, however, the government seems content to let the current situation persist, despite 140% inflation in 1999 and limited foreign exchange reserves. A landlocked country with a primitive infrastructure. It infrastructure, Laos has
no railroads, a rudimentary road system, and limited external and
internal telecommunications. Electricity is available in only a few
urban areas. Subsistence agriculture accounts for half of GDP and
provides 80% of total employment. The predominant crop is glutinous
rice. In non-drought years, Laos is self-sufficient overall in food,
but each year flood, pests, and localized drought cause shortages in
various parts of the country. For the foreseeable future the economy
will continue to depend on aid from the IMF and other international
sources; Japan is currently the largest bilateral aid donor; aid
from the former USSR/Eastern Europe has been cut sharply. As in many
developing countries, deforestation and soil erosion will hamper
efforts to regain attain a high rate of GDP growth.

The government of Laos - one of the few remaining official communist states - began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 7% in 1988-96. Since mid-1996, however, reform during 1988-97. Reform efforts have subsequently slowed, and the economy has suffered as a result. GDP growth dropped an average of 3 percentage points. Because Laos depends heavily on its trade with Thailand, it was further damaged by the regional financial crisis beginning in 1997. From Government mismanagement deepened the crisis, and from June 1997 to June 1999 the Lao kip lost 87%, and reached a crisis point 87% of its value. Laos' foreign exchange problems peaked in September 1999 when it fluctuated wildly, falling the kip fell from 3,500 kip to the dollar to 9,000 kip to the dollar in a matter of weeks. Now that the currency has stabilized, however, the government seems content to let the current situation persist, despite 140% inflation in 1999 and limited government revenue and foreign exchange reserves. A landlocked country with a primitive infrastructure, Laos has no railroads, a rudimentary road system, and limited external and internal telecommunications. Electricity is available in only a few urban areas. Subsistence agriculture accounts for half of GDP and provides 80% of total employment. For the foreseeable future the economy will continue to depend on aid from the IMF and other international sources; Japan is currently the largest bilateral aid donor; aid from the former USSR/Eastern Europe has been cut sharply. As in many developing countries, deforestation and soil erosion will hamper efforts to attain a high rate of GDP growth.

The government of Laos - one of the few remaining official communist Communist states - began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 7% in 1988-2001 except during 1988-97. Reform efforts subsequently slowed, and GDP growth dropped an average of 3 percentage points. Because Laos depends heavily on its trade with Thailand, it was damaged the short-lived drop caused by the regional Asian financial crisis beginning in 1997. Government mismanagement deepened the crisis, and from June 1997 to June 1999 the Lao kip lost 87% of its value. Laos' foreign exchange problems peaked in September 1999 when the kip fell from 3,500 kip to the dollar to 9,000 kip to the dollar in Despite this high growth rate, Laos remains a matter of weeks. Now that the currency has stabilized, however, the government seems content to let the current situation persist, despite limited government revenue and foreign exchange reserves. A landlocked country with a primitive infrastructure, Laos infrastructure; it has no railroads, a rudimentary road system, and limited external and internal telecommunications. Electricity is available in only a few urban areas. Subsistence agriculture accounts for half of GDP and provides 80% of total employment. For the foreseeable future the The economy will continue to depend on benefit from aid from the IMF and other international sources; Japan is currently the largest bilateral aid donor; aid sources and from the former USSR/Eastern Europe has been cut sharply. new foreign investment in food-processing and mining.

The government of Laos - one of the few remaining official Communist states - began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 7% in 1988-2001 except during the short-lived drop caused by the Asian financial crisis beginning in 1997. Despite this high growth rate, Laos remains a country with a primitive infrastructure; it has no railroads, a rudimentary road system, and limited external and internal telecommunications. Electricity is available in only a few urban areas. Subsistence agriculture accounts for half of GDP and provides 80% of total employment. The economy will continue to benefit from aid from the IMF and other international sources and from new foreign investment in food-processing food processing and mining.

The government of Laos - one of the few remaining official Communist states - began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 7% 6% in 1988-2001 1988-2004 except during the short-lived drop caused by the Asian financial crisis beginning in 1997. Despite this high growth rate, Laos remains a country with a primitive infrastructure; it has no railroads, a rudimentary road system, and limited external and internal telecommunications. The government has sponsored major improvements in the road system. Electricity is available in only a few urban areas. Subsistence agriculture accounts for half of GDP and provides 80% of total employment. The economy will continue to benefit from aid from the IMF and other international sources and from new foreign investment in food processing and mining. In late 2004, Laos gained Normal Trade Relations status with the US, allowing Laos-based producers to face lower tariffs on their exports; this may help spur growth.

The government of Laos - Laos, one of the few remaining official Communist states - states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% in 1988-2004 except during the short-lived drop caused by the Asian financial crisis beginning in 1997. Despite this high growth rate, Laos remains a country with a primitive infrastructure; it infrastructure. It has no railroads, a rudimentary road system, and limited external and internal telecommunications. The telecommunications, though the government has sponsored is sponsoring major improvements in the road system. system with possible support from Japan. Electricity is available in only a few urban areas. Subsistence agriculture agriculture, dominated by rice, accounts for about half of GDP and provides 80% of total employment. The economy will continue to benefit from aid from by the IMF and other international sources and from new foreign investment in food processing and mining. Construction will be another strong economic driver, especially as hydroelectric dam and road projects gain steam. In late 2004, Laos gained Normal Trade Relations status with the US, allowing Laos-based producers to face lower tariffs on their exports; this exports. This new status may help spur growth. In addition, the European Union has agreed to provide $1 million to the Lao Government for technical assistance in preparations for WTO membership. If the avian flu worsens and spreads in the region, however, prospects for tourism could dim.

The government of Laos, one of the few remaining official Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year in 1988-2004 1988-2006 except during the short-lived drop caused by the Asian financial crisis beginning in 1997. Despite this high growth rate, Laos remains a country with a primitive infrastructure. It has no railroads, a rudimentary road system, and limited external and internal telecommunications, though the government is sponsoring major improvements in the road system with possible support from Japan. Electricity is available in only a few urban areas. Subsistence agriculture, dominated by rice, accounts for about half of GDP and provides 80% of total employment. The economy will continue to benefit from aid by the IMF and other international sources and from new foreign investment in food processing hydropower and mining. Construction will be another strong economic driver, especially as hydroelectric dam and road projects gain steam. Several policy changes since 2004 may help spur growth. In late 2004, Laos gained Normal Trade Relations status with the US, allowing Laos-based producers to face benefit from lower tariffs on exports. This new status may help spur growth. In addition, the European Union has agreed to provide $1 million Laos is taking steps to join the Lao Government for technical assistance World Trade Organization in preparations for WTO membership. If the avian flu worsens and spreads next few years; the resulting trade policy reforms will improve the business environment. On the fiscal side, a value-added tax (VAT) regime, slated to begin in 2008, will streamline the region, however, prospects for tourism could dim. government's inefficient tax system.

The government of Laos, one of the few remaining official one-party Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year in 1988-2006 1988-2007 except during the short-lived drop caused by the Asian financial crisis beginning in 1997. Despite this high growth rate, Laos remains a country with a primitive infrastructure. underdeveloped infrastructure, particularly in rural areas. It has no railroads, a rudimentary road system, and limited external and internal telecommunications, though the government is sponsoring major improvements in the road system with possible support from Japan. Japan and China. Electricity is available in only a few urban areas. areas and in most rural districts. Subsistence agriculture, dominated by rice, accounts for about half 40% of GDP and provides 80% of total employment. The economy will continue to benefit from aid by the IMF and other from international sources donors and from new foreign investment in hydropower and mining. Construction will be another strong economic driver, especially as hydroelectric dam and road projects gain steam. Several policy changes since 2004 may help spur growth. In late 2004, Laos gained Normal Trade Relations status with the US, allowing Laos-based producers to benefit from lower tariffs on exports. Laos is taking steps to join the World Trade Organization in the next few years; the resulting trade policy reforms will improve the business environment. On the fiscal side, a value-added tax (VAT) regime, slated to begin in 2008, will should help streamline the government's inefficient tax system.

The government of Laos, one of the few remaining one-party Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year in 1988-2007 from 1988-2008 except during the short-lived drop caused by the Asian financial crisis beginning that began in 1997. Despite this high growth rate, Laos remains a country with a an underdeveloped infrastructure, particularly in rural areas. It has no railroads, a rudimentary road system, and limited external and internal telecommunications, though the government is sponsoring major improvements in the road system with support from Japan and China. Electricity is available in urban areas and in most many rural districts. Subsistence agriculture, dominated by rice, accounts for about 40% of GDP and provides 80% of total employment. The economy will continue to benefit from government depends upon aid from international donors and for over 80% of its capital investment. The economy has until recently benefited from high foreign investment in hydropower hydropower, mining, and mining. Construction will be another strong economic driver, especially as hydroelectric dam construction. The fiscal crisis of late 2008, and road projects gain steam. the rapid drop in commodity prices - especially copper - has slowed these investments. Several policy changes since 2004 may help spur growth. In late 2004, Laos Laos, which gained Normal Trade Relations status with the US, allowing Laos-based producers to benefit from lower tariffs on exports. Laos US in 2004, is taking steps to join the World Trade Organization in the next few years; the resulting Organization. Related trade policy reforms will improve the business environment. On the fiscal side, a value-added tax (VAT) regime, slated to begin which began with a few large businesses in 2008, early 2009, should slowly help streamline the government's inefficient tax system. Economic prospects will improve gradually as the administration continues to simplify investment procedures and as a more competitive banking sector extends credit to small farmers and small entrepreneurs. The government appears committed to raising the country's profile among investors. Foreign donors have praised the Lao government for its efforts to improve the investment regime. The World Bank has declared that Laos' goal of graduating from the UN Development Program's list of least-developed countries by 2020 could be achievable.

The government of Laos, one of the few remaining one-party Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has no railroads, a rudimentary rudimentary, but improving, road system, and limited external and internal telecommunications, though the government is sponsoring major improvements in the road system with support from Japan and China. telecommunications. Electricity is available in urban areas and in many rural districts. Subsistence agriculture, dominated by rice, rice cultivation in lowland areas, accounts for about 40% 30% of GDP and provides 80% of total employment. The government depends upon aid in FY08/09 received $560 million from international donors for over 80% of its capital investment. donors. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2009. The economy has until recently benefited from high foreign investment in hydropower, mining, and construction. The fiscal crisis of late 2008, and the rapid drop in commodity prices - especially copper - has slowed these investments. Several policy changes since 2004 may help spur growth. Laos, which Laos gained Normal Trade Relations status with the US in 2004, and is taking steps required to join the World Trade Organization. Organization, such as reforming import licensing. Related trade policy reforms will improve the business environment. On the fiscal side, a value-added tax (VAT) regime, which began with a few large businesses in early 2009, should slowly help streamline Laos launched an effort to ensure the government's inefficient tax system. Economic prospects will improve gradually collection of taxes in 2009 as the administration continues to simplify global economic slowdown reduced revenues from mining projects. Simplified investment procedures and as a more competitive banking sector extends credit to expanded bank credits for small farmers and small entrepreneurs. entrepreneurs will improve Lao's economic prospects. The government appears committed to raising the country's profile among investors. Foreign donors have praised the Lao government for its efforts to improve the investment regime. The World Bank has declared that Laos' Laos's goal of graduating from the UN Development Program's list of least-developed countries by 2020 could be is achievable. According Laotian officials, the 7th Socio-Economic Development Plan for 2011-15 will outline efforts to achieve Millennium Development Goals.

The government of Laos, one of the few remaining one-party Communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a rudimentary, but improving, road system, and limited external and internal telecommunications. China has signed a deal with the Lao to build a high speed rail system in the country. Construction on the $7 billion project is slated to begin in April 2011 and will take five years. Electricity is available in urban areas and in many rural districts. Subsistence agriculture, dominated by rice cultivation in lowland areas, accounts for about 30% of GDP and provides 80% 75% of total employment. The government in FY08/09 FY09/10 received $560 $586 million from international donors. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2009. 2010. The economy has benefited from high foreign investment in hydropower, mining, and construction. Laos gained Normal Trade Relations status with the US in 2004, and is taking steps required to join the World Trade Organization, such as reforming import licensing. Related trade policy reforms will improve the business environment. On the fiscal side, Laos launched an effort to ensure the collection of taxes initiated a VAT tax system in 2009 as the global economic slowdown reduced revenues from mining projects. 2010. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Lao's economic prospects. The government appears committed to raising the country's profile among investors. The World Bank has declared that Laos's goal of graduating from the UN Development Program's list of least-developed countries by 2020 is achievable. According Laotian officials, the 7th Socio-Economic Development Plan for 2011-15 will outline efforts to achieve Millennium Development Goals.

The government of Laos, one of the few remaining one-party Communist communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Laos' growth exceeded 7% per year during 2008-12. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a rudimentary, basic, but improving, road system, and limited external and internal land-line telecommunications. China has signed a deal with the Lao to build a high speed rail system in the country. Construction on the $7 billion project is slated to begin in April 2011 and will take five years. Electricity is available in urban areas and in many rural districts. Subsistence Laos' economy continues to rely on subsistence agriculture, dominated by rice cultivation in lowland areas, which accounts for about 30% of GDP and 75% of total employment. The government in FY09/10 received $586 million from international donors. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2010. The economy also has benefited from high high-profile foreign direct investment in hydropower, copper and gold mining, and construction. construction though some projects have drawn criticism for their environmental impacts. Laos gained Normal Trade Relations status with the US in 2004, and is taking steps required to join the World Trade Organization, such as reforming import licensing. Related trade policy reforms will improve the business environment. 2004. On the fiscal side, Laos initiated a VAT tax system in 2010. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Lao's Laos' economic prospects. The government appears committed to raising the country's profile among investors. investors, opening the country's first stock exchange in 2011 and participating in regional economic cooperation initiatives. Laos was admitted to the WTO in 2012. The World Bank has declared that Laos's Laos' goal of graduating from the UN Development Program's list of least-developed countries by 2020 is achievable. According Laotian officials, the 7th Socio-Economic Development Plan for 2011-15 will outline efforts to achieve Millennium Development Goals.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Laos' growth exceeded 7% per year during 2008-12. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available in urban areas and in many rural districts. 75% of the country. Laos' economy continues to rely is heavily dependent on subsistence capital-intensive natural resource exports. The labor force, however, still relies on agriculture, dominated by rice cultivation in lowland areas, which accounts for about 30% of GDP and 75% of total employment. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2010. The economy also has benefited from high-profile foreign direct investment in hydropower, copper and gold mining, logging, and construction though some projects in these industries have drawn criticism for their environmental impacts. Laos gained Normal Trade Relations status with the US in 2004. On the fiscal side, Laos initiated a VAT tax system in 2010. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Laos' Laos'' economic prospects. The government appears committed to raising the country's country''s profile among investors, opening the country's country''s first stock exchange in 2011 and participating in regional economic cooperation initiatives. Laos was admitted to the WTO in 2012. The World Bank has declared that Laos' Laos'' goal of graduating from the UN Development Program's Program''s list of least-developed countries by 2020 is achievable.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Laos' growth exceeded 7% per year during 2008-12. 2008-13. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available 75% in 83 % of the country. Laos' economy is heavily dependent on capital-intensive natural resource exports. The labor force, however, still relies on agriculture, dominated by rice cultivation in lowland areas, which accounts for about 30% 25% of GDP and 75% 73% of total employment. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2010. The economy also has benefited from high-profile foreign direct investment in hydropower, copper and gold mining, logging, and construction though some projects in these industries have drawn criticism for their environmental impacts. Laos gained Normal Trade Relations status with the US in 2004. On 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the fiscal side, World Trade Organization earlier in the year. Laos initiated is in the process of implementing a VAT value-added tax system in 2010. system. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Laos'' Laos' economic prospects. The government appears committed to raising the country''s country's profile among investors, opening the country''s first stock exchange but suffered through a fiscal crisis in 2011 2013 brought about by public sector wage increases, fiscal mismanagement, and participating in regional economic cooperation initiatives. Laos was admitted to the WTO in 2012. revenue shortfalls. The World Bank has declared that Laos'' Laos' goal of graduating from the UN Development Program''s Program's list of least-developed countries by 2020 is achievable. achievable, and the country is preparing to enter the ASEAN Economic Community in 2015.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Laos' growth exceeded 7% has more recently been amongst the fastest in Asia and averaged nearly 8% per year during 2008-13. for the last decade. Despite this high growth rate, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available in 83 % to 83% of the country. population. Laos' economy is heavily dependent on capital-intensive natural resource exports. The labor force, however, still relies on agriculture, dominated by rice cultivation in lowland areas, which accounts for about 25% of GDP and 73% of total employment. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2010. The economy also has benefited from high-profile foreign direct investment in hydropower, hydropower dams along the Mekong river, copper and gold mining, logging, and construction though some projects in these industries have drawn criticism for their environmental impacts. The strength of the natural resources and hydropower sectors have masked ongoing problems with the business environment that would have otherwise constrained growth. These problems include onerous registration requirements, a gap between legislation and implementation, and unclear or conflicting business regulations. Laos gained Normal Trade Relations status with the US in 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the World Trade Organization earlier in the year. Laos is in the process of implementing a value-added tax system. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Laos' economic prospects. The government appears committed to raising the country's profile among investors, but suffered through a fiscal crisis in 2013 brought about by public sector wage increases, fiscal mismanagement, foreign investors and revenue shortfalls. The World Bank has declared that Laos' goal developed special economic zones replete with generous tax incentives, but a small labor pool of graduating both skilled and unskilled workers remains an impediment to investment. Laos broadly appears to be on target to graduate from the UN Development Program's list of least-developed countries by 2020 is achievable, 2020, and the country is preparing to enter for implementation of the ASEAN Economic Community at the end of 2015 and for the rotating ASEAN chairmanship in 2015. 2016.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. The results, starting from an extremely low base, were striking - Economic growth averaged 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. Laos' growth has more recently been amongst the fastest in Asia and averaged nearly 8% per year for the last decade. Despite this high growth rate,
Nevertheless, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available to 83% of the population. Laos' economy is heavily dependent on capital-intensive natural resource exports. The labor force, however, still relies on agriculture, Agriculture, dominated by rice cultivation in lowland areas, which accounts for about 25% of GDP and 73% of total employment. Economic growth has reduced official poverty rates from 46% in 1992 to 26% in 2010.
Laos' economy is heavily dependent on capital-intensive natural resource exports. The economy also has benefited from high-profile foreign direct investment in hydropower dams along the Mekong river, River, copper and gold mining, logging, and construction though construction, although some projects in these industries have drawn criticism for their environmental impacts. The strength of the natural resources and hydropower sectors have masked ongoing problems with the business environment that would have otherwise constrained growth. These problems include onerous registration requirements, a gap between legislation and implementation, and unclear or conflicting business regulations.
Laos gained Normal Trade Relations status with the US in 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the World Trade Organization earlier in the year. Laos began a one-year chairmanship of ASEAN in January 2016. Laos is in the process of implementing a value-added tax system. Simplified investment procedures and expanded bank credits for small farmers and small entrepreneurs will improve Laos' economic prospects. The government appears committed to raising the country's profile among foreign investors and has developed special economic zones replete with generous tax incentives, but a small labor pool of both skilled and unskilled workers remains an impediment to investment. Laos broadly appears to be on target to graduate from also has ongoing problems with the UN Development Program's list of least-developed countries by 2020, business environment, including onerous registration requirements, a gap between legislation and the country is preparing for implementation of the ASEAN Economic Community at the end of 2015 implementation, and for the rotating ASEAN chairmanship in 2016. unclear or conflicting regulations.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. Economic growth averaged more than 6% per year from 1988-2008 except during the short-lived drop caused by the Asian financial crisis that began in 1997. the period 1988-2008, and Laos' growth has more recently been amongst the fastest in Asia and averaged Asia, averaging nearly 8% per year for most of the last decade. However, growth has declined over the past year and is expected to be about 6.8% in 2017, according to the IMF.
Nevertheless, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available to 83% of the population. Agriculture, dominated by rice cultivation in lowland areas, accounts for about 25% of GDP and 73% of total employment. Recently, the country has faced a persistent current account deficit, falling foreign currency reserves, and growing public debt, as slow recovery of the global economy, especially that of China, has driven down the prices of its mineral exports.
Laos' economy is heavily dependent on capital-intensive natural resource exports. The economy has benefited from high-profile foreign direct investment in hydropower dams along the Mekong River, copper and gold mining, logging, and construction, although some projects in these industries have drawn criticism for their environmental impacts.
Laos gained Normal Trade Relations status with the US in 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the World Trade Organization earlier in the year. Laos began a one-year held the chairmanship of ASEAN in January 2016. Laos is in the process of implementing a value-added tax system. The government appears committed to raising the country's profile among foreign investors and has developed special economic zones replete with generous tax incentives, but a small limited labor pool remains an impediment pool, a small domestic market, and corruption remain impediments to investment. Laos also has ongoing problems with the business environment, including onerous registration requirements, a gap between legislation and implementation, and unclear or conflicting regulations.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. Economic growth averaged more than 6% per year in the period 1988-2008, and Laos' growth has more recently been amongst the fastest in Asia, averaging nearly 8% more than 7% per year for most of the last decade. However, growth has declined over the past year and is expected to be about 6.8% in 2017, according to the IMF.
Nevertheless, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available to 83% of the population. Agriculture, dominated by rice cultivation in lowland areas, accounts for about 25% 20% of GDP and 73% of total employment. Recently, the country has faced a persistent current account deficit, falling foreign currency reserves, and growing public debt, as slow recovery of the global economy, especially that of China, has driven down the prices of its mineral exports.
debt. Laos' economy is heavily dependent on capital-intensive natural resource exports. The economy has benefited from high-profile foreign direct investment in hydropower dams along the Mekong River, copper and gold mining, logging, and construction, although some projects in these industries have drawn criticism for their environmental impacts.
Laos gained Normal Trade Relations status with the US in 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the World Trade Organization earlier in the year. Laos held the chairmanship of ASEAN in 2016. Laos is in the process of implementing a value-added tax system. The government appears committed to raising the country's profile among foreign investors and has developed special economic zones replete with generous tax incentives, but a limited labor pool, a small domestic market, and corruption remain impediments to investment. Laos also has ongoing problems with the business environment, including onerous registration requirements, a gap between legislation and implementation, and unclear or conflicting regulations.

The government of Laos, one of the few remaining one-party communist states, began decentralizing control and encouraging private enterprise in 1986. Economic growth averaged more than 6% per year in the period 1988-2008, and Laos' growth has more recently been amongst the fastest in Asia, averaging more than 7% per year for most of the last decade.
Nevertheless, Laos remains a country with an underdeveloped infrastructure, particularly in rural areas. It has a basic, but improving, road system, and limited external and internal land-line telecommunications. Electricity is available to 83% of the population. Agriculture, dominated by rice cultivation in lowland areas, accounts for about 20% of GDP and 73% of total employment. Recently, the country has faced a persistent current account deficit, falling foreign currency reserves, and growing public debt.
Laos' economy is heavily dependent on capital-intensive natural resource exports. The economy has benefited from high-profile foreign direct investment in hydropower dams along the Mekong River, copper and gold mining, logging, and construction, although some projects in these industries have drawn criticism for their environmental impacts.
Laos gained Normal Trade Relations status with the US in 2004 and applied for Generalized System of Preferences trade benefits in 2013 after being admitted to the World Trade Organization earlier in the year. Laos held the chairmanship of ASEAN in 2016. Laos is in the process of implementing a value-added tax system. The government appears committed to raising the country's profile among foreign investors and has developed special economic zones replete with generous tax incentives, but a limited labor pool, a small domestic market, and corruption remain impediments to investment. Laos also has ongoing problems with the business environment, including onerous registration requirements, a gap between legislation and implementation, and unclear or conflicting regulations.