Lao PDR: Economy

The economy of the Lao People’s Democratic Republic is on track to meet forecasts of slightly higher economic growth this year and next. Electricity generation from the growing number of hydropower plants and the Hongsa lignite-powered plant is trending up. Construction on new hydropower projects, residential and commercial buildings, and facilities in special economic zones is contributing to the growth in gross domestic product. Better weather in 2016 has improved prospects for agriculture, though the risk remains that monsoon rains could cause floods. Gold output from the two major mines rose by 15% in the first half of 2016, but copper production declined by 4%. Tourist arrivals also fell by 4% in this period. Read more from Asian Development Outlook 2016 Update


Economic forecasts for Southeast Asian countries

Country 2016 2017
Brunei Darussalam 1.0 2.5
Cambodia 7.0 7.1
Indonesia 5.0 5.1
Lao People’s Dem. Rep. 6.8 7.0
Malaysia 4.1 4.4
Myanmar 8.4 8.3
Philippines 6.4 6.2
Singapore 1.8 2.0
Thailand 3.2 3.5
Viet Nam 6.0 6.3
Average 4.5 4.6
Country 2016 2017
Brunei Darussalam -0.6 0.4
Cambodia 2.8 3.4
Indonesia 3.5 4.0
Lao People’s Dem. Rep. 1.6 2.3
Malaysia 2.1 2.5
Myanmar 9.5 8.5
Philippines 1.8 2.8
Singapore -0.8 0.8
Thailand 0.4 2.0
Viet Nam 2.5 4.5
Average 2.0 2.9
Country 2016 2017
Brunei Darussalam -4.5 -2.0
Cambodia -11.1 -10.2
Indonesia -2.3 -2.4
Lao People’s Dem. Rep. -16.0 -19.0
Malaysia 1.2 2.3
Myanmar -8.3 -7.7
Philippines 2.0 1.8
Singapore 19.5 19.5
Thailand 9.5 4.0
Viet Nam 3.0 4.0
Average 3.4 2.7

Source: Asian Development Outlook 2016 Update