The mayor of Vientiane Capital has reported an annual economic growth of 4.83%, with the gross domestic product of the city crossing LAK 62 billion (USD 3 million).
The agricultural sector, which made up 13.77% of the GDP, grew by 3.91%. The industrial sector, which made up 49.05% of the city’s GDP, made up 6.54%, while the services sector grew by 2.52%, making up some 36.36% of the capital’s GDP.
Vientiane Capital Mayor, Mr. Atsaphanthong Siphandone, reported on the city’s economic growth in accordance with the 2022 socio-economic plan at the 4th Ordinary Meeting of the Second Vientiane Capital People’s Assembly on Wednesday. He also spoke about the city’s plan for 2023.
He said that the city’s economic growth had been affected by global issues, such as the spread of Covid-19, and regional political instability, which caused the global economy to shrink by 6% in 2021, and grow by just 3.2% in 2022.
He also said that Laos, and Vientiane Capital in particular, had continued to face challenges such as longstanding economic difficulties, the depreciation of the Lao kip, the spread of Covid-19, and the increase in the price of commodities imported from neighboring countries.
Meanwhile inflation in Laos hit 39.27% in December 2022, the highest rate of the year, according to the Lao Statistics Bureau (LSB).