Laos will remain politically static in 2015-16. The Lao People's Revolutionary Party will win nearly all of the seats in the 2016 legislative election, owing to the lack of political opposition in a one-party state.
Work on the Xayaburi and Don Sahong hydropower dams will support investment spending throughout the forecast period. Further expansion in Visitor arrivals will be another driver of economic growth.
Inflation will slow to just 1.5% in 2015, owing to fiscal consolidation and the impact of lower global oil prices, before rising to 2.4% in 2016.

Summary 7

Basic data 8

Political structure 9

Economic structure 10

Annual indicators 10

Quarterly indicators 11

Comparative economic indicators 12

Outlook for 2015-16 13

Political outlook 13

Democracy index 15

Economic policy outlook 16

Economic forecast 17

Recent analysis 20

Politics 20

Economy 24

International assumptions summary 17

Forecast summary 19

Consumer prices 11

Foreign trade 11

Gross domestic product 19

Consumer price inflation 19

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