Changes

==People==

==People==

Laos' population was estimated at 6.5 million in mid-2007, dispersed unevenly across the country. Most people live in valleys of the Mekong River and its tributaries. Vientiane prefecture, the capital and largest city, had about 711,919 residents in 2006. The country's population density was 27/sq. km.  

Laos' population was estimated at 6.5 million in mid-2007, dispersed unevenly across the country. Most people live in valleys of the Mekong River and its tributaries. Vientiane prefecture, the capital and largest city, had about 711,919 residents in 2006. The country's population density was 27/km².  

About half the country's people are ethnic Lao, the principal lowland inhabitants as well as the politically and culturally dominant group. The Lao are descended from the Tai people who began migrating southward from China in the first millennium A.D. Mountain tribes of Hmong-Yao, and Tibeto-Burman (Kor and Phounoy) as well as Tai ethno-linguistic heritage are found in northern Laos. Until recently, they were known as Lao Sung or highland Lao. In the central and southern mountains, Austro Asiatic (Mon-Khmer and Viet-Muong) tribes, formerly known as Lao Theung or mid-slope Lao, predominate. Some Vietnamese and Chinese minorities remain, particularly in the towns, but many left in two waves-after partial independence in the late 1940s and again after 1975.  

About half the country's people are ethnic Lao, the principal lowland inhabitants as well as the politically and culturally dominant group. The Lao are descended from the Tai people who began migrating southward from China in the first millennium A.D. Mountain tribes of Hmong-Yao, and Tibeto-Burman (Kor and Phounoy) as well as Tai ethno-linguistic heritage are found in northern Laos. Until recently, they were known as Lao Sung or highland Lao. In the central and southern mountains, Austro Asiatic (Mon-Khmer and Viet-Muong) tribes, formerly known as Lao Theung or mid-slope Lao, predominate. Some Vietnamese and Chinese minorities remain, particularly in the towns, but many left in two waves-after partial independence in the late 1940s and again after 1975.  

In 1989, the Lao Government reached agreement with the World Bank and the International Monetary Fund on additional reforms. The government agreed to expand fiscal and monetary reform, promote private enterprise and foreign investment, privatize or close state firms, and strengthen banking. In addition, it agreed to maintain a market exchange rate, reduce tariffs, and eliminate unneeded trade regulations. A liberal foreign investment code was enacted and appears to be slowly making a positive impact in the market. The process of economic reform continues.  

In 1989, the Lao Government reached agreement with the World Bank and the International Monetary Fund on additional reforms. The government agreed to expand fiscal and monetary reform, promote private enterprise and foreign investment, privatize or close state firms, and strengthen banking. In addition, it agreed to maintain a market exchange rate, reduce tariffs, and eliminate unneeded trade regulations. A liberal foreign investment code was enacted and appears to be slowly making a positive impact in the market. The process of economic reform continues.  

These reforms led to increased availability of goods and economic growth that has continued since the early 1990's, despite short-term economic setbacks resulting from the 1997 Asian financial crisis. The economy continues to be dominated by an unproductive agricultural sector operating largely outside the money economy, and the public sector continues to play an important role. Tourism is a growing industry and important source of foreign exchange. The Government of Laos is promoting infrastructure development, especially in the hydropower and mining sectors. Several large hydropower projects currently under construction are expected to increase national revenue significantly once completed.  

These reforms led to increased availability of goods and economic growth that has continued since the early 1990s, despite short-term economic setbacks resulting from the 1997 Asian financial crisis. The economy continues to be dominated by an unproductive agricultural sector operating largely outside the money economy, and the public sector continues to play an important role. Tourism is a growing industry and important source of foreign exchange. The Government of Laos is promoting infrastructure development, especially in the hydropower and mining sectors. Several large hydropower projects currently under construction are expected to increase national revenue significantly once completed.  

International indices rate Laos poorly on transparency and ease of doing business. Corruption continues to hamper economic development. Laos has begun the World Trade Organization accession process, with the intention of joining that organization by 2010.  

International indices rate Laos poorly on transparency and ease of doing business. Corruption continues to hamper economic development. Laos has begun the World Trade Organization accession process, with the intention of joining that organization by 2010.  

[[Category:Communist States]]

[[Category:Communist States]]

[[Category:Police State]]

[[Category:Police State]]

[[Category:Asia]]

[[Category:Asia]]

[[Category:Southeast Asia]]

[[Category:Southeast Asia]]