Laos 20241023: Diaphanous, Influential, Voracious
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Headlines:
Gold Trading to Boost Faltering Economy
Laos-Vietnam Projects Face Funding Hurdles
Vietnam-Laos in Defense Tie-up
ADB Supports Urban Renewal in Vangvieng
Poverty Reduction Shows Progress
New Health Laws Introduced
Lao-Thai Railway Boosts Regional Connectivity
September Trade Figures Drop
Vehicle Import-Export Licenses Halted
Paradox of Laos' Isolationist Past
China-Laos Cooperation on Belt and Road
Philippines-Laos in Agricultural Collab
Southeast Asia's Organized Crime Epidemic
Singaporeans Build Ties with Volunteer Work
Gold Trading to Boost Faltering Economy
Laos is preparing for the full launch of its new bullion bank in November to stimulate gold trading and investment as the country battles a shortage of hard currency. The Lao Bullion Bank, a joint venture between the government and a local company, began partial operations in September, including gold sales and deposits. Full operations, including gold trading, purity analysis, and other services, are set to begin next month.
Read more: Asia Nikkei
Laos-Vietnam Projects Face Funding Hurdles
Multibillion-dollar proposals for a railway and expressway connecting Laos and Vietnam have stalled due to lack of funding. A 555-kilometer high-speed railway linking the Vietnamese seaport of Vung Ang with Vientiane and a 725-kilometer expressway between Vientiane and Hanoi are among the affected projects. Laos' economic troubles and heavy debt load have kept investors at bay. Despite earlier plans to begin construction, the country's financial constraints continue to impact major infrastructure projects.
Read more: Radio Free Asia
Vietnam-Laos in Defense Tie-up
Vietnam and Laos have signed a defense cooperation document for 2025-2029 and a cooperation plan for 2025. The agreement, inked by Vietnamese Defense Minister Phan Van Giang and Lao Defense Minister Chansamone Chanyalath, is expected to add to the overall stability and peace of the region.
Read more: Vietnam Plus (Defense Exchange), VOV (Agreements)
ADB Supports Urban Renewal in Vangvieng
The Asian Development Bank has approved a $1.8 million grant to support an urban renewal project in Vangvieng, a popular tourist destination. The project will support development of Vangvieng as a green and clean visitor destination by upgrading 11 roads covering 5.3 km. Construction is expected to begin in November 2024 and will be completed within 15 months.
Read more: Daijiworld
Poverty Reduction Shows Progress
Laos has made notable progress in poverty alleviation, with 83.13% of families above the poverty line in 2023. This translates to just over 1 million households, leaving 208,231 families remaining in poverty. The government is focusing on improving basic living conditions, including nutrition, housing, healthcare, and transportation. Challenges still remain, including substandard or inadequate infrastructure as well as limited access to essential services in many areas. Laos is shooting for a graduation from least developed country status by 2026.
Read more: The Star
New Health Laws Introduced
Laos has launched new health-related laws to strengthen its public health system and improve the well-being of its citizens. Vice Minister of Health Dr. Snong Thongsna introduced new Laws on Health and Primary Health Care and a revised Law on Health Care. The legislative milestone was attended by representatives from several ministries, international organizations, hospitals, and health sector partners in Vientiane.
Lao-Thai Railway Boosts Regional Connectivity
The Lao-Thai railway, launched on July 20, has improved regional connectivity and economic growth in Laos, particularly in the tourism sector. More than 13,000 passengers have traveled the Bangkok-Vientiane route. The railway greatly improves accessibility of passenger and freight transport options, creating much-needed links between Laos and Thailand. The railway has reduced logistical costs and streamlined exports of Laos' goods, helping support a lift in trade volume. The government says it intends to bring in 4.6 million international tourists by the end of 2024, drawing $1.3 billion in revenue.
Read more: Laotian Times
September Trade Figures Drop
Laos tallied a total foreign trade value of $1,064 million in September, a 12% decline from August. Exports fell by 16% to $455 million, while imports decreased by 9% to $609 million. Main export products included gold, electrical appliances, rubber, paper, and potassium salt. Major imports were diesel fuel, mechanical equipment, land vehicles, electrical appliances, and steel. Australia, the United States, Thailand, Vietnam, and China were the primary export destinations, while Japan, the United States, Vietnam, China, and Thailand were the top import sources.
Read more: Laotian Times
Vehicle Import-Export Licenses Halted
The government has suspended the registration of new vehicle import-export business licenses from July 9 to December 31, 2024. The Ministry of Industry and Commerce claims that there is a need to adjust the quantity of such businesses to better suit the current market situation and effectively manage license granting. The suspension applies only to new registrations and not to amendments of existing business licenses. Registration is expected to restart on January 1, 2025.
Read more: VDB Loi
Paradox of Laos' Isolationist Past
Laos continues to live in the shadow of the legacy of its isolationist past, particularly in the aftermath of the U.S. "secret war." The country faces challenges in escaping this history while pushing for development and international engagement. The article explores how Laos' past experiences continue to shape its present-day realities and its efforts to integrate into the global community.
Read more: Nikkei Asia
China-Laos Cooperation on Belt and Road
Chinese President Xi Jinping has called for China and Laos to forge a model for Belt and Road cooperation. During a meeting with Lao President Thongloun Sisoulith in Kazan, Russia, Xi spoke on the need further development of the China-Laos Railway and promotion of the construction of the China-Laos Economic Corridor.
Read more: Bastille Post
Philippines-Laos in Agricultural Collab
The Philippines and Laos talked about agricultural development at the World Food Forum in Rome, focusing on rice development. The two countries proposed a memorandum of understanding to co-promote agricultural cooperation, specifically to establish a joint genetic bank for rice production in an effort to improve food security and agricultural productivity in both nations.
Read more: Manila Times
Southeast Asia's Organized Crime Epidemic
A recent UN Office of Drugs and Crime report is putting the spotlight on the sophistication of transnational crime networks in Southeast Asia, particularly in the gambling and underground banking industries. The report shows the need for better regulatory and enforcement capacity in affected countries. It also notes the relationship between state actors and criminal networks, calling for a more nuanced approach to addressing the region's "golden era of organized crime."
Read more: The Diplomat
Singaporeans Build Ties with Volunteer Work
Singaporean youths are increasingly volunteering in Laos, pulled in by its cultural richness and unique challenges including limited infrastructure and unexploded ordnance. Popular projects focus on improving education and infrastructure in local schools while building people-to-people ties. Volunteers from institutions like NUS and Singapore Polytechnic are currently working alongside Laotian peers, overcoming language barriers and adapting to local conditions in an effort to build regional relations and improve cross-cultural understanding.
Read more: CNA
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