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Investment in Infrastructure in Laos Bringing Profit

infrastructure in LaosThe importance of infrastructure means road and transport connectivity, telecommunications, housing and education as sources of economic development. With these basic essentials, the economy of a country opens to the world, bringing capital and improving quality of life.

Laos is one of the fastest-growing economies in Southeast Asia, with natural resources accounting for a third of the growth. Power infrastructure in Laos is under development, according to the Department of Energy Business. Two-thirds of the population in Laos has access to electricity, and the power sector is working towards sustainability and energy efficiency. By promoting sustainable power, natural resources are preserved.

The Lao government plans to establish hydropower as a source of energy for the country and export electricity to neighboring countries who are in need of electric power. The government hopes that by 2020, hydropower as an infrastructure in Laos will provide profits to combat poverty within the country.

Telecommunications as an infrastructure in Laos is another necessity that needs to be addressed. The National Academic of Sciences and Engineering Medicine wrote of the importance of telecommunication as a foundation for social and economic development as well as a vital groundwork for national security.

Telecommunication as an infrastructure in Laos is slowly gaining momentum. Laos has seen countless reforms and progress of telecommunications as an infrastructure to draw the attention of foreign investors. However, internet services have been slow, a concern that many Laotians see as a deterrent to social and economic development. Fortunately, progress is expected to continue to 2022.

In 2017, infrastructure in Laos continued to improve. The Ministry of Finance and the World Bank signed a $25 million agreement to stabilize roads through maintenance. The Lao PDR Road Sector II Project is meant to improve road infrastructure for efficiency and safety. Once roads are stabilized around Laos, rural people will be able to find safety in regards to severe weather and will not have to travel on unsafe roads.

Infrastructure in Laos is slowly making progress and providing efficient and maintained infrastructure to improve its citizens’ quality of life. These efforts will have an enormous effect on alleviating poverty and growing prosperity in the country.

– Jennifer Serrato

Photo: Flickr