A new challenge of economic development of Laos is involving in the ASEAN Economic
Community (AEC), which is considered to be the goal of regional economic integration by
2015. AEC envisages the following key characteristics: (a) a single market and production
base, (b) a highly competitive economic region, (c) a region of equitable economic
development, and (d) a region fully integrated into the global economy. It is questionable
about the impacts of AEC on the economy of Laos. Since this country is one of the poorest
economic performances, small market in the large areas, and low human development
resource (skills shortage) compared with other ASEAN nations.