INVESTING IN LAOS: WHY IT'S WORTH IT
The Lao PDR Economy Continues To Be Experience Dynamic Growth And Resilience To Withstand Global Pressures, Largely Due To The Following Factors:
Robust governance and transparency framework bolstered by increased sectoral collaboration.
Tailored to support businesses and foster a conducive environment for foreign and local investors. Boast thriving ecosystems that present numerous opportunities for investment.
Significant investment in infrastructure.
Effective natural resource management yields optimal results.
ABOUT LAOS
Land Area
236,800 km2
Capital
Vientiane Capital
Population
7.8 Million (2024)
Labor Force
2.9 Millions
Religion
Buddhism
Literacy
85%
Language
Lao
Per Capita Income
2,254 US$ (2026 est.)
Currency
LAK
GDP Growth
4.1% (2024)
Regional Integration
Poised to emerge as a key economy in the region, Lao PDR is on track to transform itself into one of the most dynamic countries in Southeast Asia, offering diverse business opportunities to both domestic and foreign investors alike. Bordering key markets – Thailand, China, Vietnam, Cambodia and Myanmar – this land-linked country is at the heart of ASE AN, with strong bilateral trade and investment ties with key economies in the region and beyond, leveraging on the establishment of the ASEAN Economic Committee (AEC), as well as ASEAN’s trade and investment partners.
Aside from being a member of the World Trade Organization (WTO) since 2013, it also has:
– unilateral trade agreements with 39 nations,
– bilateral investment treaties with 28 nations, and
– General Special Preferences (GSP) privileges with 42 countries.
AT THE HEART OF REGIONAL INTEGRATION
Lao PDR is at the heart of ASEAN, one of the most dynamic regions in the world. It has strong bilateral trade and investment ties with key economies in the region and beyond, leveraging on the establishment of the ASEAN Economic Committee (AEC), as well as ASEAN’s trade and investment partners. China, Vietnam, and Thailand remain Laos’s largest sources of foreign investment and trade, with China the leading investor historically, concentrated mainly in hydropower and mining
Lao PDR has the strategic geographic advantage of being land-linked, bordering key ASEAN markets including Thailand, Vietnam, Cambodia, and Myanmar. It also borders China in the north and is a key node in the One Belt, One Road Initiative.
To date, Lao PDR has bilateral investment treaties with 27 countries and has been a member of the World Trade Organisation (WTO) since 2013.
Related Guides
01Investing in Laos
The practical investment framework and how it works before you look at specific sectors.
02Investment Incentives in Laos
Incentive categories that may apply to a qualifying investment.
03Investment Sectors in Laos
Which sectors are actually open to and promoted for investment.
04Where to Invest in Laos
Comparing provinces and economic hubs once you know your sector.
See also: Invest in Laos (overview).