More investment projects to be developed in Vientiane
More investment projects to be developed in Vientiane
The Vientiane Planning and Investment Department reported recently that it has approved land concessions for both local and foreign investors to operate 25 investment projects since 2008 to January this year.
The 25 projects have a combined investment cost of 13.28 trillion kip (US$1.66 billion) and a combined concession area of 11.67 million square metres, according to the department.
The investors are mostly investing on real estate, property, modern trade centres, new town development, mining, construction, telecommunication and energy distribution.
The department also signed memorandums of understanding (MOU)s for investors to conduct feasibility studies into an additional 12 investment and development projects.
Meanwhile another three additional projects are under negotiation for land concessions with the related state sectors.
The department also reported that the Ministry of Industry and Commerce and the Vientiane Industry and Commerce Department had issued business licences for 5,694 local and foreign companies in the two fiscal years of 2011-12 and 2012-13.
The 5,694 companies had a combined registered capital of over 1,018 trillion kip (US$127.31 billion)
With its status as capital and proximity to the Thai border Vientiane is a major economic development area.
The department expects economic growth in Vientiane to be no less than 12.8 percent in the 2014-15 fiscal year. The 12.8 percent growth will be a slight increase from the expected 12.7 percent this fiscal year [2013-14].
The economic projections for next fiscal year would see GDP value reach 35.4 trillion kip, which would equate to an average of around US$4,390 per person per year.
This fiscal year's GDP was around 29,912 billion kip – an average of around US$3,800 per capita per year – which is lower than the projection for 2014-15.
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