Thursday, May 23, 2024
Thursday, May 23, 2024
Home » Laos needs to tap potential from regional connectivity: ADB

Laos needs to tap potential from regional connectivity: ADB

by Ulani Louangrath
0 comment 79 views

Laos has huge potential to benefit from regional connectivity and economic integration as the land-locked country neighbours several major global trading partners.

According to a new Asian Development Bank (ADB) report, the limited trading basket of Laos indicates that there may be unexploited potential for expanding into more diverse products that are traded with regional and global partners.

“A potential pathway for diversification is developing shared production and export capabilities through greater regional cooperation,” the report stated.

“Therefore, an important issue for national and regional policy is how to encourage the spread of capabilities, technology, knowledge, and network linkages between GMS (Greater Mekong Subregion) neighbouring countries to support per capita growth spillovers.”

The Lao government has prioritised programmes to build road networks, railways and expressways to connect with its neighbours so as to transform the country from a land-locked nation to a land-linked hub.

It’s essential for Laos to leverage its strengths in connectivity and its regional location to grow its economy and increase resilience to external shocks.

The ADB report suggested that GMS member countries, including Laos, will need to grow significantly faster than the more advanced members, so that convergence becomes a reality. Economic policies and interventions for boosting growth and driving the process of structural transformation are therefore critical.

Source : The Star

You may also like

Hanoi Observer is a global leader in the online news. We seek to inform and engage with our readers. Staffed 24 hours, seven days a week by a dedicated team around the globe, we deliver news from journalists around the world. We are contrarian truth-seekers and truthtellers. We are journalists united by a mission to inform and engage with our readers.

We bear witness to history as it unfolds and explain not just what happened, why it happened and what it means to our readers and the public.

We are contrarian, we are committed to the news, speaking truth to power.

Hanoi Observer, A Media Company – All Right Reserved.