Laos is hoping to unlock the potential of regional connectivity by not only focusing on infrastructure development but also boosting economic activity along key economic corridors.
The government is developing key road and rail networks to connect Laos with its neighbours, particularly China, Vietnam and Thailand, transforming itself from a land-locked to a land-linked country.
In its latest economic update for Laos, the World Bank highlighted some of the main challenges and key reforms needed for Laos to fully benefit from improved connectivity and transit services.
“Significant investments include the Laos-China railway, the East-West economic corridor, and key road networks,” stated the World Bank.
“The challenge is to ensure that Laos can fully benefit from this improved connectivity, not only as a transit country but also through increased economic activity and export volumes, value-added services, and the creation of new and better jobs.”