Lao economic growth forecast to reach 7.7

Lao economic growth forecast to reach 7.7 percent this year

The Lao economy will continue to see robust growth this year despite a slow global recovery from the economic recession, according to the World Bank.

The bank released its East Asia and Pacific Economic Update for 2010 yesterday, projecting Lao economic growth will reach 7.7 percent this year, the third fastest rate in East Asia after Indonesia and China.

Construction of a new shopping complex at the Morning Market, the largest in Laos, is underway. The World Bank forecasts that Lao economic growth will reach 7.7 percent this year.

The bank forecasts economic growth in Indonesia to reach 9.5 percent, China 8.7 percent, Thailand 6.2 percent, Vietnam 6.5 percent, Malaysia 5.7 percent and Cambodia 4.4 percent this year.

Average fiscal growth in the East Asia region is forecast to stay at 7.6 percent in 2010.

According to the World Bank, natural resources will remain one of the major driving forces behind economic growth in Laos.

The Nam Theun 2 hydropower plant, the largest in Laos, and other power plants and mining expansions are expected to contribute about 3.6 percent of total economic growth.

Steady growth in agriculture and a rebound in the processing industry and tourism sector will also help to boost economic growth this year.

more>>>

Vientiane Times