VIENTIANE: Laos is well-positioned to navigate global economic uncertainty, with stronger economic fundamentals providing resilience to external shocks, ANZ Head of Asia Research, Khoon Goh, said when addressing the ANZ’s Lao Economic Update Event on Wednesday (Sept 2).
While conflict in the Middle East has pushed oil prices higher and created volatility across global markets, Goh said Laos is in a stronger position to absorb these pressures than in previous years.
He pointed to a current account surplus, improved fiscal management and adequate foreign exchange reserves as key factors supporting economic stability and helping to limit pressure on the kip.
Goh said the broader outlook for Asia remained constructive despite an uncertain global backdrop, with trade flows, investment activity and business confidence continuing to create opportunities across the region.
“Countries that have strengthened their economic fundamentals are better placed to weather periods of global volatility and take advantage of emerging opportunities,” Goh said.
Participants share perspectives at the ANZ’s Lao Economic Update event.
ANZ Research’s latest analysis highlights the importance of regional trade and investment links as businesses navigate shifting economic conditions.
ANZ Research sees continued opportunities across Asia as supply chains evolve, investment patterns change and markets adapt to a more complex geopolitical environment.
Goh also pointed to growing opportunities for Laos as it continues efforts to strengthen economic resilience and attract investment.
Australian Ambassador to Laos, Megan Jones, said Australia remained committed to supporting Laos’ economic development through initiatives that promote trade, investment and private sector growth.
She highlighted ongoing collaboration to strengthen the investment environment, advance regulatory reform and build stronger economic connections between Laos and Australia.
Director of Investment Cooperation Division, the Investment Promotion and Management Committee Office, Phouvong Phaophongsavath, outlined the government’s efforts to improve investment facilitation, streamline approval processes and provide greater clarity for investors, with the aim of creating a more transparent and efficient investment environment.
Partner and Head of Regional Energy, Natural Resources and Infrastructure Practice at DFDL, Kristy Newby, offered a regional investor perspective on Laos’ progress in improving the ease of doing business.
She noted that while reforms have helped strengthen the investment environment, continued focus on regulatory clarity and ongoing efforts aimed at administrative efficiency are important to narrow the gap between foreign investor expectations and market realities.
Newby also noted that aspects of Laos’ regulatory framework, such as its Special Economic Zones and trade and investment incentives, should continue to be highlighted as potential differentiators from neighbouring markets, particularly as they support long-term business confidence.
These perspectives were shared as part of ANZ’s Lao Economic Update Event in partnership with Austcham, which provides local customers and stakeholders with insights into the economic trends shaping business, investment and trade across the Asia-Pacific region. - Vientiane TImes/ANN
