Lao economy to grow by 4% in 2023: IMF

The International Monetary Fund (IMF) predicted that Laos’s economy will grow by 4% this year and in 2024, thanks to neighbouring countries’ reopening of borders and removal of travel restrictions.

In its April World Economic Outlook, the IMF said that despite worldwide economic uncertainty, Laos is likely to see economic growth as its main trading partners, including China, have reopened their borders.

The reopening and growth of its economy will likely generate positive spillovers, with even greater spillovers for countries with stronger trade links and reliance on Chinese tourism, the report said.

The IMF has foreseen a higher economic growth prospect for emerging markets in developing Asia compared to more advanced economies, and the global economy as a whole is expected to see slower growth as well.

Earlier, the Lao Statistics Bureau also reported that the country’s annual inflation rate decreased slightly from 41.3% in February to 41% in March. This is the first time that the inflation rate in Laos has gone down after more than a year of continuous increase.

Source: Lao News Agency