Despite huge challenges, Lao People’s Democratic Republic (PDR) is on an increasingly sustainable development path with growing opportunities to build on reforms achieved so far. This small, landlocked nation of less than 6 million people is fighting poverty, addressing social inequities, and building stronger capacity to manage its rich natural resources. Lao PDR has been growing at a rate of 6.5 percent a year since 2001 while undertaking structural reforms in trade, private sector development, and public financial management.

"For a true private sector to emerge, Lao PDR will have to continue to improve its investment climate," says Patchamuthu Illangovan, the World Bank's Country Manager for Lao PDR since November 2005. Read more