The Lao People’s Democratic Republic (Lao PDR) continues to develop at a
commendable pace. On the back of such growth, it graduated to the rank of lowermiddle-income
country in 2006. It is now enjoying the fruits of its investment in
infrastructure, economic and social development, as well as regional co-operation and
integration. Robust growth has helped alleviate poverty, but more needs to be done to
ensure that such growth is sustainable and inclusive. In other words, Lao PDR is now at
the crossroads of development: the economy needs to balance economic growth with
equity and sustainability to ensure that current and future generations can participate
in and benefit from economic growth.