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The tourism industry in Laos is developing rapidly, with several five-star resorts open or expected to open in the coming years. The major tourist destination is the world heritage site and ancient capital of Luang Prabang, but other areas including Champasak province and Vang Vieng also attract visitors, especially Chinese and Korean tourists.  Tourism’s relative share of GDP averaged 12.5 percent from 2016-1019, before the onset of the COVID-19 global pandemic.  Since Laos reopened its borders to international tourists in April 2022, the industry has seen a slow but steady recovery, buoyed by the new passenger routes on the Lao-China Railway running from Kunming in the PRC to Vientiane in Laos. Since December 2021, the Lao-China Railway has carried over 701,600 passengers between stations inside Laos. Tourism and travel contributions to GDP have not yet been tallied for 2022 or 2023, but over 1.67 million tourists visited Laos between January and June 2023, compared to only one million tourists between January and September 2022.

Information on Luang Prabang

Lao Ministry of Information, Culture and Tourism:

  • Ecotourism Laos: World Heritage Sites
  • Knoema: World Travel and Tourism  
  • Economist Intelligence Unit: Laos Country Report  

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Tourism in Laos 

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Tourism in Laos is big business for the nation. But what is the appeal of this tourist destination and how is tourism managed here? Read on to find out…

Tourism in Laos

Laos, with its serene landscapes and timeless traditions, remains one of Southeast Asia’s most untouched treasures. Nestled amidst rugged mountains and the meandering Mekong River, this country offers a retreat into a world where ancient temples meet natural wonders. In this article, we’ll journey through the diverse attractions and cultural experiences that make tourism in Laos a truly unique and enchanting voyage.

Geography of Laos

Tourism in Laos 

Laos is a landlocked country located in Southeast Asia, bordered by Myanmar to the northwest, China to the northeast, Vietnam to the east, Cambodia to the south, and Thailand to the west. It covers an area of approximately 236,800 square kilometres and has a population of around 7 million people.

The topography of Laos is characterised by high mountains, plateaus, and valleys. The Mekong River, one of the longest rivers in the world, runs through the western and southern parts of the country and serves as a major transportation route. The river valley is home to the majority of Laos’ population and the country’s capital city, Vientiane.

The northern part of Laos is dominated by the Annamite Range, a chain of mountains that forms the border with Vietnam. The highest peak in Laos, Phou Bia, is located in this region. The central part of the country is a plateau, which includes the Plain of Jars, a unique archaeological site where hundreds of large stone jars are scattered across the landscape.

The southern part of Laos is characterised by the Mekong River and its numerous tributaries, which form a vast network of wetlands, forests, and rice fields. This region is home to several national parks, including the Xe Pian National Protected Area and the Dong Phou Vieng National Biodiversity Conservation Area, which are important habitats for a variety of endangered species.

Overall, Laos is a country with diverse and stunning natural landscapes, from rugged mountains to lush river valleys, and is home to a rich cultural heritage that reflects the country’s complex history and ethnic diversity.

The tourism industry in Laos

Laos is a country with great potential for tourism, offering a unique blend of natural beauty, cultural diversity, and historical significance. The tourism industry in Laos has been growing steadily in recent years, with the country receiving around 4.6 million visitors in 2019, compared to 1.8 million in 2010.

One of the main attractions for tourists in Laos is its stunning natural scenery, which includes rugged mountains, cascading waterfalls, and lush forests. The country’s numerous national parks, such as the Nam Ha National Protected Area and the Phou Hin Poun National Biodiversity Conservation Area, offer opportunities for hiking, trekking, and wildlife watching.

Laos also has a rich cultural heritage, with over 100 ethnic groups living in the country, each with their own unique customs, traditions, and beliefs. The country’s many temples, such as the famous Wat Xieng Thong in Luang Prabang, offer visitors a glimpse into Laos’ rich Buddhist history and architecture.

Other popular tourist activities in Laos include river cruises on the Mekong River, visiting traditional handicraft villages, such as the silk weaving village of Vang Vieng, and exploring the country’s historical sites, such as the Plain of Jars.

The tourism industry in Laos is relatively underdeveloped compared to its neighbours, but the government is actively promoting the sector and investing in infrastructure to attract more visitors. However, there are still challenges to be addressed, such as improving transportation links and ensuring sustainable development of tourism activities to protect the country’s natural and cultural resources.

Overall, Laos is a country with great potential for tourism, offering visitors a unique and authentic travel experience that is both enriching and memorable.

Tourism in Laos 

Statistics about tourism in Laos

Here are a few key statistics about tourism in Laos:

  • In 2019, Laos received approximately 4.6 million international tourist arrivals, which was a 9% increase from the previous year.
  • The largest source markets for tourists to Laos in 2019 were Thailand, Vietnam, China, South Korea, and Japan.
  • Tourism contributed around 10% of Laos’ GDP in 2019, generating approximately $861 million in revenue.
  • The tourism industry in Laos employed around 150,000 people in 2019, representing approximately 2.4% of the country’s total employment.
  • The average length of stay for international visitors to Laos was around 8 days in 2019.
  • The most visited destinations in Laos in 2019 were Luang Prabang, Vientiane, and Champasak.
  • The most popular tourist activities in Laos in 2019 were sightseeing and cultural activities, followed by nature and adventure activities.
  • The average daily expenditure of international visitors to Laos was around $125 in 2019.
  • The majority of accommodation options in Laos are budget guesthouses and mid-range hotels, with limited availability of luxury hotels.
  • The government of Laos has set a target of attracting 5 million international visitors annually by 2025, and is investing in infrastructure and tourism development to achieve this goal.

Tourist attractions in Laos 

Laos has a variety of popular tourist attractions, ranging from natural wonders to cultural and historical sites. Here are some of the most popular tourist attractions in Laos:

  • Luang Prabang: This UNESCO World Heritage Site is a charming town located in the northern part of Laos. Luang Prabang is known for its well-preserved architecture, colourful temples, and beautiful natural scenery. The town is also famous for its night market, which offers a wide range of local handicrafts and souvenirs.
  • Vang Vieng: This small town in central Laos is known for its stunning karst mountains and beautiful natural scenery. Visitors to Vang Vieng can enjoy activities such as kayaking, caving, and rock climbing, as well as exploring the town’s many caves and waterfalls.
  • Plain of Jars: This archaeological site is located in the northeastern part of Laos and features hundreds of giant stone jars scattered across the landscape. The jars are believed to have been used in ancient funerary practices, but their true purpose remains a mystery.
  • Wat Phu: This Khmer temple complex is located in the southern part of Laos and dates back to the 5th century. The temple is dedicated to the Hindu god Shiva and features a series of beautiful carvings and sculptures.
  • Mekong River: The Mekong River is one of the most iconic natural landmarks in Laos, and visitors can enjoy boat tours along the river, as well as visiting traditional fishing villages and exploring the many small islands along the way.
  • Kuang Si Falls: This stunning waterfall is located just outside Luang Prabang and features turquoise blue pools that are perfect for swimming. Visitors can also take a short hike to the top of the waterfall for panoramic views of the surrounding landscape.
  • Bolaven Plateau: This highland region in southern Laos is known for its stunning natural scenery, including waterfalls, coffee plantations, and hill tribe villages. Visitors can enjoy hiking, cycling, and motorbike tours through the area.
  • That Luang: This gold-covered Buddhist stupa is one of the most important religious sites in Laos and is located in the capital city of Vientiane. The stupa is believed to contain a relic of the Buddha and is surrounded by a complex of temples and shrines.

These are just a few of the many popular tourist attractions in Laos, which offer visitors a unique and authentic travel experience that is both enriching and memorable.

Tourism in Laos 

Most popular types of tourism in Laos

Laos offers a variety of tourism activities that cater to different interests and preferences. Here are some of the most popular types of tourism in Laos:

  • Cultural tourism: Laos has a rich cultural heritage that is reflected in its numerous temples, historical sites, and traditional festivals. Visitors can explore the ancient capital city of Luang Prabang, which is known for its well-preserved architecture and colourful temples, or visit the Plain of Jars, an archaeological site that features hundreds of giant stone jars scattered across the landscape. Traditional festivals, such as the Boun Bang Fai rocket festival and the Boun That Luang festival, also offer visitors an opportunity to experience the unique culture and traditions of Laos.
  • Nature and adventure tourism: Laos is known for its stunning natural scenery, including lush rainforests, beautiful waterfalls, and scenic rivers. Visitors can enjoy a range of outdoor activities, such as trekking, kayaking, caving, and rock climbing, in places like Vang Vieng, the Bolaven Plateau, and the Nam Ha National Protected Area.
  • Ecotourism: Laos has a wealth of biodiversity and is home to numerous species of flora and fauna, some of which are endangered. Visitors can explore the country’s diverse ecosystems, such as the Nam Et-Phou Louey National Protected Area, and participate in activities such as wildlife spotting, bird watching, and eco-friendly tours.
  • Community-based tourism: Community-based tourism is a growing trend in Laos, as it offers visitors an opportunity to experience the local way of life and support sustainable development in rural communities. Visitors can stay in homestays or guesthouses run by local families, participate in traditional activities such as rice farming and weaving, and learn about local customs and traditions.
  • Spiritual tourism: Buddhism is the dominant religion in Laos, and the country is home to numerous temples and monasteries. Visitors can participate in meditation retreats, attend religious ceremonies, and learn about the Buddhist way of life at places like Wat Phu, That Luang, and the Buddha Park.

These are just a few examples of the types of tourism that are popular in Laos, and visitors can find a range of activities and experiences that suit their interests and preferences.

Economic impacts of tourism in Laos

Tourism is an important sector of the economy in Laos, contributing significantly to the country’s GDP, job creation, and foreign exchange earnings. Here are some of the economic impacts of tourism in Laos:

  • GDP contribution: According to the World Travel and Tourism Council (WTTC), the direct contribution of tourism to Laos’ GDP was 2.2% in 2019. However, when the indirect and induced impacts are taken into account, the total contribution of tourism to GDP was estimated to be around 8.2%.
  • Job creation: Tourism is a major employer in Laos, particularly in the service sector. According to the WTTC, the travel and tourism sector in Laos directly supported 165,000 jobs in 2019, which represents around 2.9% of total employment in the country. When the indirect and induced impacts are considered, tourism is estimated to have supported around 550,000 jobs, or around 9.6% of total employment.
  • Foreign exchange earnings: Tourism is a significant source of foreign exchange earnings for Laos, with international visitors spending money on accommodation, food, transportation, and souvenirs. According to the Ministry of Information, Culture, and Tourism, international tourism receipts in Laos reached $904 million in 2019, representing around 6.3% of total exports.
  • Regional development: Tourism has the potential to support regional development in Laos, particularly in rural areas. Community-based tourism initiatives and homestays, for example, can provide income opportunities for local communities and support the preservation of cultural heritage and the environment.
  • Infrastructure development: The growth of tourism in Laos has also led to the development of infrastructure such as airports, roads, and hotels, which can have positive spillover effects on other sectors of the economy.

However, it’s important to note that tourism can also have negative economic impacts, such as increasing the cost of living for locals, creating wealth disparities, and contributing to environmental degradation if not managed sustainably. Therefore, it’s essential to ensure that tourism development is sustainable and benefits all stakeholders, including local communities and the environment.

Social impacts of tourism in Laos

Tourism can have both positive and negative social impacts on the host communities in Laos. Here are some examples of the social impacts of tourism in Laos:

Positive impacts:

  • Cultural exchange and preservation: Tourism provides an opportunity for visitors to learn about the local culture, traditions, and way of life, and for locals to share their knowledge and experiences. This can help promote cultural exchange and understanding, and also support the preservation of cultural heritage.
  • Job creation and income generation: Tourism can create employment opportunities for locals, particularly in the service sector. This can help to reduce poverty and improve the standard of living in local communities.
  • Community development: Tourism can also contribute to community development, particularly in rural areas, by providing income opportunities and supporting the development of local infrastructure and services such as homestays, restaurants, and transportation.
  • Environmental conservation: Tourism can create incentives for the conservation of natural and cultural resources, particularly when it is designed to promote sustainable tourism practices and responsible tourism behaviour.

Negative impacts:

  • Culture change and erosion: Mass tourism can lead to the commercialization of culture and the erosion of local traditions and customs, as locals may alter their behaviour or traditions to cater to tourist demands.
  • Social inequality: Tourism can create income disparities and wealth gaps between locals and tourism businesses, particularly when multinational corporations or foreign investors dominate the industry.
  • Social problems: Tourism can lead to an increase in social problems, such as crime, drug use, and prostitution, particularly in areas where the industry is poorly regulated.
  • Overcrowding: The high volume of tourists can lead to overcrowding and the degradation of natural and cultural resources, particularly in sensitive ecosystems and heritage sites.

Therefore, it is important to promote sustainable tourism practices and responsible tourism behaviour to mitigate negative social impacts and ensure that tourism benefits all stakeholders, including local communities.

Environmental impacts of tourism in Laos 

Tourism can have significant environmental impacts, both positive and negative, on the host communities and natural ecosystems in Laos. Here are some examples of the environmental impacts of tourism in Laos:

  • Environmental awareness and conservation: Tourism can create incentives for the conservation of natural resources and the protection of wildlife and ecosystems, particularly when it is designed to promote sustainable tourism practices and responsible tourism behaviour.
  • Natural resource management: Tourism in Laos can contribute to better management of natural resources such as water, land, and forests, particularly in areas where tourism is the main economic activity.
  • Conservation financing: Tourism can generate revenues for the conservation of natural and cultural resources, particularly through entry fees, taxes, and donations.
  • Alternative livelihoods: Tourism in Laos can provide alternative livelihood opportunities for local communities, reducing pressures on natural resources, such as fishing or hunting.
  • Pollution: Tourism in Laos can contribute to air, water, and soil pollution, particularly when the infrastructure and services are poorly regulated, and when the waste management systems are inadequate.
  • Resource depletion: Overuse of natural resources such as water, energy, and land can lead to depletion, particularly in areas with high tourist density.
  • Habitat degradation: Tourism in Laos can lead to habitat degradation and fragmentation, particularly when it involves the construction of hotels, roads, and other infrastructure in sensitive ecosystems.
  • Wildlife disturbance: Tourism in Laos can disrupt natural habitats and wildlife, particularly when tourists engage in activities such as wildlife watching or hiking.

Therefore, it is important to promote sustainable tourism practices and responsible tourism behaviour to mitigate negative environmental impacts and ensure that tourism benefits all stakeholders, including local communities and the environment. This can be achieved through measures such as minimising waste, reducing energy consumption, promoting conservation, and supporting local economies.

Tourism in Laos 

FAQ’s for tourism in Laos 

Now that we know a bit more about tourism in Laos, lets finish off this article by answering some of the most frequently asked questions on this topic:

Do I need a visa to enter Laos as a tourist?

Yes, tourists from most countries will need a visa to enter Laos. The cost and length of the visa will depend on the country of origin and the length of stay.

What is the best time to visit Laos?

The best time to visit Laos is between November and February, when the weather is cool and dry. However, this is also the peak tourist season, so expect higher prices and crowds.

Is Laos a safe destination for tourists?

Laos is generally considered a safe destination for tourists. However, tourists should exercise caution, particularly when it comes to petty crime and road safety.

What is the local currency in Laos?

The local currency in Laos is the Lao kip (LAK). However, US dollars and Thai baht are also widely accepted in tourist areas.

What are the must-see tourist attractions in Laos?

Some of the must-see tourist attractions in Laos include Luang Prabang, the Plain of Jars, Vientiane, and the Kuang Si Waterfall.

What are the popular outdoor activities in Laos?

Some of the popular outdoor activities in Laos include trekking, kayaking, caving, and rock climbing.

Is English widely spoken in Laos?

English is not widely spoken in Laos, particularly outside of tourist areas. However, many locals in the tourism industry will have some basic English skills.

What is the local cuisine in Laos?

The local cuisine in Laos is characterised by its use of fresh herbs, vegetables, and spices. Some popular dishes include laap (a spicy meat or fish salad), khao soi (noodles in a coconut curry soup), and sticky rice.

What is the dress code for visiting temples in Laos?

Visitors to temples in Laos should dress modestly, covering their shoulders and knees. It is also customary to remove shoes before entering a temple.

How can I get around in Laos?

Tourists can get around in Laos by bus, tuk-tuk, taxi, or private transportation. Domestic flights and boat trips are also available for longer distances. However, note that road conditions can be poor and traffic can be chaotic, particularly in urban areas.

Tourism in Laos: To conclude

Laos, a hidden jewel of Southeast Asia, weaves together untouched landscapes with deep-rooted traditions. From the serene Mekong riverbanks to ancient temple spires, it offers a retreat into a world less travelled. As interest in tourism in Laos grows, travellers depart with memories of a land where time seems to pause, promising an allure that resonates long after the journey ends.

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Tourism in Laos

Development of the tourism sector in laos from 1995 to 2020.

Tourists per year in Laos

Revenues from tourism

Tourism receipts in Laos per year

All data for Laos in detail

Comparison: quality of life

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Developing Nature-Based Tourism as a Strategic Sector for Green Growth in Lao PDR

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Key Findings

Lao PDR is a country of stunning natural landscapes including spectacular limestone mountains, rainforests and waterfalls. Its lush nature and rich culture offer an opportunity to develop nature-based tourism, which can generate revenue, create green jobs and livelihood opportunities, and lay the groundwork for greener economic growth.

Lao PDR’s comparative advantage is its natural wealth

  • In the next decade, nature-based tourism could grow in Laos from 4.3% of 2019 GDP and 3.5% of jobs to the global average of about 10% of GDP and 10% of jobs.
  • This opportunity is based on developing quality nature-based tourism products that respond to international demand, and policies that enable responsible private investment and effective conservation.

Protected areas and biodiversity are an economic asset

  • The wet evergreen forests, karst landscapes, and montane forest of Laos are home to internationally significant biodiversity.
  • Fifteen percent of the country’s land area is set aside for biodiversity conservation in 23 national reserves. An additional 5 percent is in provincial or local reserves.
  • Over 840,000 people in over 1200 villages are situated within or on the boundary of the 23 national reserves. Most of these villagers, from a range of ethnic groups, are dependent upon natural resources within these reserves for nutrition and livelihoods.

Tourism can create green jobs, a green recovery, and green growth

  • Tourism has the potential to become the main foreign exchange earner, and nature-based tourism could eventually be the biggest rural employer in the country.
  • Nature-based tourism development can lead to significant increases in overall income and poverty reduction in communities near or in protected areas. In one village near Dong Hau Sao National Protected Area, poverty fell from 39% to 26% due to a Lao nature-based tourism business that partnered with the community.
  • Lao PDR can tap into a growing regional market. In 2018, tourism to Asia grew by 8%, and inter-Asian tourism grew by 10%. The Chinese, Thai, Vietnamese, and Malaysian markets have good potential for nature-based tourism in Lao PDR.

Nature-based tourism in Lao PDR has been hindered by low private investment and low public investment in natural attractions.

  • Barriers to investment include a lack of basic services, weak legal frameworks and transparency, weak management and financing of protected areas, institutional capacity, and tourism products that do not always respond to demand.
  • Investment in tourism is unlikely to increase unless the business environment is simplified.

Recommendations

Enable private investment in nature-based tourism by reducing barriers, streamlining regulations, and promoting innovation.

  • Reduce barriers related to business investment overall, and particularly tourism businesses
  • Establish regulations and procedures for tourism concessions in protected areas and other natural landscapes, with a focus on creating best practice concessions that support wildlife protection and village partnerships.
  • Support marketing and promotion of a national nature-based tourism brand, while encouraging foreign investment and improving links between domestic and international businesses.
  • Develop environmental impact assessment regulations tailored for the small businesses that underpin the Lao tourism industry.
  • Encourage voluntary sustainability practices in the private sector through solutions like international certification.
  • Provide vocational training on nature-based tourism innovation, market development, and hospitality, including training for local guides and accommodation providers.

Manage protected areas for sustainable tourism .

  • Finalize master plans for national protected areas, nature-based tourism and ecotourism
  • Enhance the skills of departments that manage protected areas, in particular concession management for tourism services
  • Create tourism working groups for protected areas.
  • Manage waste in nature-based tourism areas.
  • Establish a transparent system for fees and use of revenues in and around protected areas, as well as an investment protection mechanism.
  • Support financing of last mile tourism infrastructure and facilities in and around protected areas such as trails and other green infrastructure that can employ people.
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  • Lao Tourism Recovery Road Map (Lao Version) pdf (3.1 MB)
  • English Tourism Recovery Road Map (English Version) pdf (8.4 MB)

Lao PDR Tourism COVID-19 Recovery Roadmap for 2021-2025

October 21, 2021.

The COVID 19 outbreak has had a devastating effect on the tourism industry, causing the number of international tourists to decrease by 74%. Thus, the impacts have further disrupted businesses in the sector and deprivived 70-80% of the total revenue.

Therefore, this road-map has been developed to offer possible solution methods in order to restore the tourism industry of Lao PDR to its normal state in the upcoming years between 2021 to 2025.

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Laos Factsheet

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This factsheet highlights the importance of Travel & Tourism to Laos across many metrics, and features details such as:

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This latest report reveals the importance of Travel & Tourism to the Laos in granular detail across many metrics. The report’s features include:

  • Absolute and relative contributions of Travel & Tourism to GDP and employment, international and domestic spending
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This latest report reveals the importance of Travel & Tourism to Laos in granular detail across many metrics. The report’s features include:

This factsheet highlights the importance of T&T to this city across many metrics, and features details such as:

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Travel & Tourism in Laos (2022)

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Published: August 17, 2022 Report Code: GDTTCS-22-123-MP-L5

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Discover untapped potential in the Travel & Tourism industry with our Travel & Tourism in Laos (2022) report and make more profitable business decisions.

GlobalData’s country series report titled ‘Travel & Tourism in Laos (2022)’ provides a wealth of key data for the travel & tourism sector in Laos. The data in this report includes demands & flows data on domestic travel, international arrivals and departures. Additionally, data is provided on traveler spending patterns, the airlines, and hotel sectors. The report also identifies the key themes impacting the tourism industry.

In 2022, Laos welcomed 1.18 million international arrivals. The country also saw 0.76 million international departures over the same period. This report is based on data from databases compiled by GlobalData’s team of industry experts.

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Uncover comprehensive data on the patterns and trends of travel within Laos. Dive into information related to travel destinations, purposes, and preferences of domestic tourists.

Capitalise on business opportunities by understanding how travellers allocate their expenditures based on their spending habits on accommodation, transportation, food, and other expenses.

Access data on inbound tourists arriving in Laos and outbound trips made by residents. This section includes popular destinations, factors driving these travel trends, and visitor demographics.

Understand occupancy rates for hotels, load factors for airlines, car rental trends, and the role of travel intermediaries in facilitating bookings and reservations.

Identify opportunities within the market and tailor your strategies to target specific customer groups in the travel and tourism industry of Laos.

Leverage historical and projected performance data to gauge the trajectory of the industry. Study how it has evolved over time and determine what can be expected in the future to enhance your strategies.

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Lao News Agency

Lao News agency

Laos’ tourism recovery and sustainability, a priority for Plan International Laos and partners

tourism sector in laos

(KPL) The Department of Trade Promotion under the Ministry of Industry and Commerce (MoIC), and Plan International signed a Memorandum of Understand to support Micro, Small, and Medium-sized Enterprises (MSMEs) in the Lao tourism industry in Vientiane on Dec 15.

This will be implemented through the “SUSTOUR Laos” project which is funded by the European Union.

The project aims to improve the sustainability of the Lao tourism industry by integrating MSMEs into tourism industry supply chains through promotion and certification of sustainable consumption and production practices of local MSMEs.

“This is an important initiative in supporting the long-term recovery of a sustainable tourism sector and contribute to Laos National Green Growth Strategy, 9th Five-Year National Socio-Economic Development Plan, and the National Tourism Strategy which will focus on capacity building and promoting entrepreneurs to adopt sustainable consumption and production practices, efficient use of natural resources, and become a socially responsible business,” said Director General of the Department of Trade Promotion Xaysomphet Norlasing.

The SUSTOUR Laos project is implemented by Plan International and key partners, the Department of Trade Promotion of MoIC, and the European Centre for Ecological and Agricultural Tourism (ECEAT).

Plan International Laos, with funding from the European Union and Plan International Germany, has committed to implement the SUSTOUR Laos project in 11 districts across Luang Prabang, Vientiane (province), and Vientiane.

Running until mid-2024, the project will include the roll-out of the Travelife sustainability programme among local tourism industry MSMEs.

“The MoU for this project is very timely as Laos prepares for reopening to tourism in the coming months. The project will play an essential role in supporting economic recovery of the country from the unprecedented global pandemic that has an adverse effect on the global and domestic tourism sector, and contribute to the green transition of the sector,” expressed the EU Ambassador, Ina Marčiulionytė.

The project will develop and implement sustainability initiatives within the Lao tourism supply chain and improve conditions for tourist-host communities by adopting sustainable consumption and production practices among Lao tourism MSMEs, including travel agencies, tour operators, accommodations and their suppliers.

The project also aims to improve their operations, services, and products to become more socially, economically, and environmentally friendly and attract the growing demand of sustainable tourism among international and domestic tourists. Adoption of sustainable practices will be certified and awarded by the Travelife certification standard developed by ECEAT and recognized internationally as the leading sustainability certification system in the tourism industry.

“Plan International is both honoured and appreciative of the opportunity to be a lead organization in the SUSTOUR Laos project with the Department of Trade Promotion; the European Union and project partners. This project will create opportunities with our government partners and MSMEs and support the sustainable recovery of the tourism industry which has been significantly impacted by the COVID-19 pandemic. The project will help to develop our pathway to a greener economy and improve sustainable community based tourism practices by working closely with community members and MSMEs to reduce the social and environmental impacts of tourism. This is an important contribution in building back better and stronger,” remarked Mr. Sengsantisith Sanasisane, the Interim Country Director and Deputy Director of Operations, Plan International in Laos.

The project will generate market demand for sustainable business practices by raising awareness of sustainable MSMEs among consumers, specifically tourists (domestic and international) and international travel agents. This will ultimately benefit Lao businesses in the tourism industry that are adopting sustainable practices with a competitive advantage resulting in increased income and employment opportunities.

“We at the Lao National Chamber of Commerce and Industry (LNCCI) express our commitment and vision to create a conducive and highly competitive business environment that contributes significantly to the sustainable business growth of the Lao PDR, especially support MSMEs access to finance, Lao product marketing development, international economic integration, and sustainable investments to achieve their goals, skills development for quality which can make a huge contribution to the sustainable economic growth in the Lao PDR,” said Mr. Oudet Souvannavong, President of LNCCI.

In cooperation with government partners and representatives from the private sector, the project will seek to advocate for sustainable consumption and production practices in public and private institutions and will work closely with public and private sector representatives to address challenges and improve opportunities for sustainable tourism practices, including supporting the sustainable recovery of the tourism industry as the country begins to reopen for international tourism.

“We want to see more businesses adopting Corporate Social Responsibility (CSR) perspectives into their business operations to enhance the image and increase the competitiveness in the Lao tourism industry. In this effort, international development partners can support the development of CSR criteria into the national tourism standard. EXO Travel Laos believes in responsible tourism businesses that benefit local communities, protect the environment, and respect local cultures and animal rights. These values are reflected in tourism products of the company and we ensure that CSR is integrated into our core business value, and translated into the company’s working culture,” said EXO Travel Laos Managing Director Duangmala Phommavong.

Don Xing Su, a popular tourist destination

Don Xing Su, a popular tourist destination

4/19/2024 4:15:01 PM

(KPL) Ban Don Xing Su has become a new popular tourist destination in Vientiane yet many people don’t know where it is.

Pi Mai celebrators flock to Saravan’s Pakset

Pi Mai celebrators flock to Saravan’s Pakset

4/15/2024 11:18:31 AM

(KPL) Local people as well as domestic and foreign visitors flocked to a natural attraction Pakset in Vapi district, Saravan Province as people across the country are celebrating week-long Pi Mai Lao or Lao New Year B.E. 2567.

Phongsaly to organize Ethnic Food & Tea Festival to promote Visit Laos Year 2024

Phongsaly to organize Ethnic Food & Tea Festival to promote Visit Laos Year 2024

3/25/2024 3:36:48 PM

(KPL) Phongsaly, the northernmost province of Laos, has a population of about 200,000 people. The province borders China to the north and Vietnam to the east. Phou Fa has been revered by Phongsaly people.

Paklay trade fair opens

Paklay trade fair opens

3/21/2024 2:11:47 PM

(KPL) A trade fair of 2024 Xayabuly Phavet Phikhon Festival was opened on March 20, in Paklay district Xayabuly province with the presence of Mr. Bounmanh Sermma, Deputy Party Secretary of Paklay District, its district leaders, business units, entrepreneurs and villagers.

Laos to hold cultural festival to attract visitors during Visit Laos Year

Laos to hold cultural festival to attract visitors during Visit Laos Year

3/20/2024 9:51:28 AM

(KPL​) Laos will hold a cultural festival to show the richness of Lao culture, expecting to attract thousands of visitors as Laos steps up efforts to welcome more domestic and international tourists during Visit Laos Year 2024.

ຂ່າວ KPL Laos News

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tourism sector in laos

To Rescue Its Devastated Tourism Sector, Laos Looks to China

Editor’s Note: This is the second article in a three-part series exploring the impact of the Laos-China Railway, a major project under China’s Belt and Road Initiative that connects cities across Laos and southwest China. Read Part 1 .  

LUANG PRABANG, Laos — Winding mountain roads, sudden landslides, and unexpected halts on desolate stretches of highway. That was the daunting eight-hour bus journey from Laos’ capital, Vientiane, to Luang Prabang, the country’s UNESCO-listed tourist epicenter. 

In April, however, the travel dynamics in this part of Southeast Asia subtly began to shift. Since then, locals and tourists alike have swapped the treacherous roads for the comfort of the Laos-China Railway. 

Linking Kunming in southwestern China’s Yunnan province to Vientiane, more than 1,000 kilometers away, was once a two-day journey, but is now covered in a mere fraction of that time. And Luang Prabang? Two hours away.

Spanning Laos’s challenging terrain, the LCR, a flagship project under China’s Belt and Road Initiative, comprises 167 bridges and traverses 75 tunnels, effectively bypassing all the obstacles that once hindered rapid transit. 

And a ticket on the LCR, priced at just 72 yuan ($10), stands in stark contrast to flights, which cost seven times as much. 

Johnny, a tourism company employee from Luang Prabang, tells Sixth Tone that before the railway, he seldom traveled to Vientiane. Now, he visits monthly, often to help his family in the capital or sometimes just to reconnect with old friends.

But the LCR does more than just reduce travel time; for the first time, disparate regions of the country are now interconnected, streamlining the flow of labor, resources, and industries. 

While the long-term potential of the LCR is likely to unfold over the years, a more immediate and palpable impact Laos is banking on is the revival of its tourism sector, which accounts for over 10% of the country’s GDP. 

During the pandemic, tourism, like elsewhere across the globe, was dealt a crushing blow. In 2020, tourist arrivals plummeted by 81.5%, resulting in fewer than 890,000 visitors. And revenues shriveled to roughly 23% of the previous year’s figures. 

On average, almost half the people employed in tourism faced layoffs , with numerous hotel employees shouldering unpaid leave or salary reductions. 

Yet, this year marked a turning point. As pandemic restrictions receded, Laos’ borders reopened, and global travel began to surge again.

Fresh data paints a promising picture of this resurgence. In the first four months of 2023, Laos’ Ministry of Information, Culture, and Tourism reported that Thailand, Vietnam, and China together brought in over 878,000 visitors. While in 2022, most travelers used personal vehicles, this year, 85% of tourists opted for the LCR when heading to Luang Prabang. 

With this momentum, the Lao government has its sights set high. Using the LCR as a cornerstone of its strategy, they aim to draw in at least 1.4 million foreign tourists this year, particularly focusing on tourists from China. 

Yet, while the LCR’s potential is undeniable, experts caution that relying solely on the railway might not guarantee sustainable prosperity for Laos. 

For the country to reap the benefits of tourism, some say it’s imperative to address underlying challenges by strengthening ties between the tourism sector and the broader economy, focusing on training skilled workers, and reducing barriers to foreign investment.

Carbon copy

As the LCR pulls away from Vientiane, making one of its five daily departures, the urban vistas quickly transition to sweeping expanses of farmlands and forests. Alongside the tracks, cattle graze contentedly, fish ponds catch the sunlight, and endless paddy fields, rivers, and creeks roll out. 

The train itself bears remarkable similarities to the Chinese high-speed railway, from its aerodynamic design to the layout of the interiors and even the precise movements of the attendants at compact booths, selling snacks like banana chips, sandwiches, and assorted drinks.

Behind this attention to detail is an intensive training regime. Before officially assuming their roles on the train, members of staff undergo several months of training. Some Chinese educational institutions have even developed specialized vocational training programs for Lao students, specifically tailored for the LCR. 

On board the train, Chinese consultants mentor attendants and guide young Lao technicians through maintenance and troubleshooting. Some Chinese staff even made Laos their temporary home, living in collective dormitories in Vientiane’s suburbs for over a year.

“Without China’s involvement, Laos could never have realized such a railway,” says Johnny. 

Hu Sheng, a driver with the railway’s engineering team from 2017 to 2019, tells Sixth Tone that he lived in makeshift iron houses in the mountains, alongside a diverse group of coworkers. He now sells fish and makes short videos about his life in Laos. 

“My colleagues came from various backgrounds: Some were Chinese with long stints in Laos, others were fresh recruits from China, local Lao workers, and there were even a few from Vietnam,” he says. 

Hu, who hails from central China’s Hunan province and has lived in Laos for 13 years, played an essential part in facilitating communication between the team and the local Lao communities. Given the remoteness of the construction sites, many nestled deep amid the hills, connectivity was a constant challenge. After ensuring his team was safely at the worksite, Hu often drove his truck to areas where he could catch a signal, patiently waiting there to receive further orders.

On this journey to Luang Prabang, a glance around revealed that most of the passengers were locals, underscoring just how quickly the LCR has woven itself into the fabric of their everyday lives. 

A few rows away, 27-year-old Phetsadalin and her mother were returning home from a visit to Vientiane’s most prominent hospital. Before this train, Phetsadalin says, the daunting bus journey to Vientiane would often discourage them from seeking medical services in the capital, forcing them to rely on facilities closer to Luang Prabang.

Nearby, Hannah, an American working for the World Bank who’d lived in Laos for nine years, was visiting for the first time since the pandemic. Traveling with her baby, she says the new railway intrigued her. 

In under two hours, Luang Prabang beckoned. As the erstwhile royal capital and a UNESCO World Heritage site, the city — devoid of traffic lights, taxis, and skyscrapers — has perennially drawn those seeking to escape the urban rat race. 

Numerous temples dot its landscape, quaint cafés host conversations with globetrotters, and along the Mekong River, boatmen entice tourists in fluent English with river tour offers. 

Luang Prabang’s appeal and newfound connectivity have not gone unnoticed on Chinese social media platforms. Throughout 2023, searches related to Laos have surged on Baidu, the country’s top search engine, particularly among middle-aged and elderly tour groups.  

And on platforms like Xiaohongshu, a favorite among the urban young, dozens of content creators have enthusiastically documented journeys across Laos. 

Amid the uptick in interest from China and neighboring countries like Vietnam and Thailand, the Lao government is banking on the railway to catalyze a tourism revival. To this end, Laos has positioned it as a top economic priority, while the World Bank projects that by 2030, tourists will dominate the majority of all rail traffic. 

Lost and found

Across Luang Prabang, the nation’s premier tourism hub, signs of that revival are gradually increasing. Hotels are reinstating former staff members and onboarding new talent, occasionally offering higher salaries. 

Noy, a receptionist, told Sixth Tone that though July isn’t considered a peak tourist season, her hotel saw remarkable progress. Almost all 30 rooms were reserved, a significant increase from the typical 10-room bookings during low seasons.

“There were even more tourists before May,” says Vanmee, a 39-year-old van driver, who lives near the airport. Given the surge at the railway station, he predominantly shuttles visitors from there. 

Amid the 2022 economic downturn that arose due to the pandemic, he shifted to driving vans for additional income. Though his family owned a gas station, economic challenges, including Laos’ dependence on imported gasoline and a depreciating currency, escalated their operational costs.

“In the high season (September-April), I can sometimes earn over 40 million kip per month ($2,050), and during the low season (when there are monsoons), it’s around 7 million,” he says, underscoring that his earnings are above average.

While some like Vanmee navigate their way through the new norm, others rue lost opportunities. 

“2020 was poised to be a landmark year for tourism in Laos, had it not been for the pandemic,” says Li Runzhi, the general manager of Lao Happy International Development, a tourism company. 

For that year alone, they had anticipated over 1.5 million Chinese tourists. And with the introduction of the LCR and more direct flights to Laos, they estimate it could have surged to almost 6 million visitors.

“When the tourism company first registered in Laos in 2014, there were barely any Chinese tourists in Laos,” says Li. “China had just announced the BRI, and there were talks about the pan-Asian railway network. We found that there were many Korean tourists but barely any Chinese travelers. It seemed that Laos was a ‘blue ocean’ of tourism,” Li said.

Over the next few years, Li’s intuition in recognizing Laos as an untapped tourism market brimming with potential proved prescient. 

While Thailand continues to retain its position as the primary source of tourists, the tide is slowly turning in favor of Chinese arrivals. Just before the pandemic, Chinese tourist numbers doubled, eclipsing the 1 million mark in 2019 and even surpassing arrivals from Vietnam. 

Capitalizing on the recent surge in tourism, driven in part by the LCR and renewed global interest, the Lao government is charting an ambitious path forward. Under the “Visit Laos Year 2024” campaign, Laos hopes to attract at least 4.6 million visitors, targeting a revenue of $712 million — figures reminiscent of the successes achieved in 2019.

Balancing act

While the national government charts ambitious plans, the recovery process is unfolding more gradually on the ground in Luang Prabang. 

The pandemic significantly altered the workforce dynamics of this historic city, with many locals transitioning to other sectors or seeking opportunities in places like Bokeo, known for the Golden Triangle — a region where the borders of Laos, Thailand, and Myanmar intersect. 

At the moment, Luang Prabang has a pressing need for more skilled workers, not only to accommodate more tourists but to foster long-term growth and sustainability. Phouphet Kyophilavong, an associate professor at the National University of Laos, underlined this predicament in his 2017 research. 

Speaking to Sixth Tone, Kyophilavong argued that expanding tourism in isolation would not ensure lasting economic advancement for Laos. He added that strengthening the link between tourism and other economic avenues, training more skilled workers, and softening barriers to foreign investments were equally essential, along with visa policy reforms. 

To this end, the Lao government and private enterprises have launched training programs for skilled workers. Li’s company, in partnership with both Lao and Chinese authorities, has initiated similar training programs for Chinese tour guides and tourism managers. 

However, these efforts are still insufficient. The company still finds it necessary to assign at least one Chinese tour guide alongside local staff for their tour groups, as the latter’s proficiency in Chinese and expertise don’t yet match the required standards.

Yet, amid these challenges lies the potential to diversify tourism. 

Also aboard the LCR to Luang Prabang was a small tour group designed for family education. Their choice of Laos stemmed from its distinctiveness and relatively untapped status as a Chinese tourist destination. 

A guide from China, who had previously visited Laos, says, “I sought out a country that few others had explored because I thought the novelty was cool.” This emerging interest is further underscored by the China International Mountain Tourism Alliance’s choice to host its annual conference in Laos this year. 

While emerging tourism experiences point towards a brighter future, not all industry players are experiencing an immediate resurgence. For example, Li’s company, once boasting a workforce of around 250, is now managing fewer than 20. 

According to Li, the absence of direct flights from a broader range of Chinese cities could limit the railway’s influence to only the southwestern regions of China neighboring Laos. This could potentially exclude a substantial tourist base from the more affluent eastern provinces, hindering full recovery and reach.

Additionally, with flight costs surging by 30%, the elevated travel expenses might deter potential tourists.

For many Chinese enterprises venturing out, navigating the business landscape of Laos is not merely about tapping into economic opportunities but also understanding and appreciating a cultural tapestry vastly different from theirs. 

Having spent years in Laos, Li’s sentiments about life and work there are complex. “I find the people here incredibly warm-hearted. There’s a distinct absence of overwhelming financial pressures, and a remarkable openness and absence of rigid power and wealth hierarchies,” says Li. “These very qualities, I believe, are what draw tourists here. And they’re also the very reasons why I’ve developed a deep affection for Laos.”

Years in Laos have given Li a nuanced perspective on life and work in the country. “The warmth of the people here stands out. They’re free from the weight of intense financial pressures, and seem untouched by rigid power dynamics or wealth hierarchies,” says Li. “I believe these very qualities not only attract tourists but have also endeared me deeply to Laos.”

“They value freedom, especially in the workplace,” says Li. “Criticize Lao employees too severely, and they could choose to leave immediately. While many in China are used to tight deadlines, such a rhythm doesn’t resonate in Laos. The very concept of Key Performance Indicators seems alien here.” 

Having spent so much time in Laos, Li says he’s now more sensitive to their nuances, and has perhaps even adopted some. “Yet, more often than not, I find myself striving to bridge the gap. Truly embracing their way of life and work is quite the challenge.”

Editor: Apurva.

(Header image: Monks walk past a temple in Luang Prabang, Laos, July 2023. Wu Huiyuan/Sixth Tone)

tourism sector in laos

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tourism sector in laos

Global Insights - Local Solutions

  • Matthew Willis
  • Mar 31, 2022

Development Opportunities for Lao Tourism Sector – Insights from the Field

For tourists hoping to travel to the Southeast Asia region, the Lao People’s Democratic Republic (Lao PDR, or Laos) has not often been a first choice. In fact, according to the ASEANstats data portal , the landlocked nation of just over 7.1 million people ranks near last in visitor arrivals within mainland Southeast Asia. There is a particularly dramatic difference between Laos and neighboring Thailand, where cities like Bangkok and Chiang Mai have become powerhouses of international tourism and hospitality.

Still, the Lao PDR’s relatively small tourism sector might be seen not as a permanent condition, but rather as a matter of untapped potential. This is why IBI, as the implementing partner for USAID’s Laos Business Environment Activity, has identified the tourism industry as a key sector in the country’s future development.

tourism sector in laos

To this end, IBI has supported the Government of Laos in promoting a brand of sustainable tourism, or eco-tourism . This leverages some of the country’s unique characteristics, such as lower population density, community-based volunteer opportunities, and the ecological features of its 21 National Protected Areas. Officials at the Ministry of Industry and Commerce, as well as the Lao National Chamber of Commerce and Industry (LNCCI), look to position the country as a place where travelers can experience yet-undiscovered nature while escaping the region’s urban centers.

According to Ecotourism Laos , a government-supported marketing campaign, one advantage of eco-tourism is its decentralized nature. Rather than converging upon a few cities, tourists can travel and stay in villages throughout the country. By staying overnight, purchasing traditional handicrafts, and enjoying local cuisine, tourists will contribute to broader and more inclusive economic growth in Laos. These factors make eco-tourism an attractive target for USAID and other international development programs.

Since 2019, the IBI team implementing the LBE Activity has been working to support eco-tourism businesses, as part of a broader focus on enhancing the competitiveness of small and medium-size enterprises (SMEs). When the project began in late 2019, IBI sought to strengthen eco-tourism SMEs by proposing enhanced standards of marketing and management, as well as by better integrating tourism enterprises with the agricultural sector and handicraft markets. Such an approach is creating a positive feedback loop by increasing the demand for certain specialty goods produced in Laos, such as coffee beans.

These tourism initiatives, as well as other activities under LBE, were profoundly affected by the onset of the COVID-19 pandemic and related closures. However, even as travel was restricted and international arrivals came to a near-halt, IBI was quick to adapt its approach. By mid-2021, the team had collaborated with the LNCCI to draft an Eco-tourism SME Action Plan in anticipation of the country’s re-opening. The plan offers guidelines for product development and marketing, as well as infectious disease preparedness. IBI’s staff helped to operationalize the plan by hosting training sessions for women-led eco-tourism SMEs. They have also assisted Laos’s Ministry of Information, Commerce and Tourism in collecting digital records on tourism-related data.

More recently, IBI has worked to promote the Lao Green Travel Zone, a government plan to incrementally re-open the country to travelers. IBI has also supported the use of web platforms to connect local handicraft producers with overseas buyers. Eventually, the team at IBI hopes that Laos will be prepared to accept more foreign visitors than ever, showcasing an economy which is increasingly competitive in today’s world.

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Tourism industry  fuels economic growth in Laos

Tourism industry  fuels economic growth in Laos

The Lao tourism industry is not only playing a significant role in boosting economic growth, but is also creating a huge number of job opportunities for local people, experts have noted. 

The United Nations’ World Travel and Tourism Council unveiled its latest report recently, which indicated that tourism has directly resulted in 114,000 jobs being created in Laos. This is expected to rise to 121,000 jobs in 2028, which will represent about 3 per cent of total employment. As a whole, tourism and related services have generated more than 385,000 jobs in the country, helping to improve per-capita income for the Lao people, particularly the poor. The country’s deputy minister of information, culture and tourism, Ounthuang Khaophanh, said recently that tourism was one of the top five income earners for Laos, driving economic growth and contributing to poverty alleviation.  In addition, tourism has resulted in the improvement of services and infrastructure including roads, as well as the construction of new hotels, restaurants, airports and other facilities. According to a report in The Asean Post, improving the tourism sector will certainly help the country gain much needed additional revenue. “The growth of the tourism sector would also be key in developing tourist related infrastructure such as airports and road links,” stated The Asean Post. In 2017, the total contribution from travel and tourism to Laos’ gross domestic product (GDP) was around US$2 billion (Bt64 billion), which accounted for 13.7 per cent of total GDP. This figure is expected to rise to US$3.3 billion by 2028. Given that tourism plays a significant role for the Lao economy, the government launched the “Visit Laos Year 2018” campaign to attract more tourists. All provinces are holding activities as part of a nationwide effort to bring at least 5 million tourists to the country and generate revenue of about US$900 million.    The government expects that tourist arrivals will exceed 6 million by 2020 and generate income in excess of US$993 million, as well as creating more job opportunities. Although Laos is a small country with a population of just 6.5 million people, the Asian nation is one of the fastest growing economies in East Asia and the Pacific according to the World Bank, recording an average growth rate of about 7 per cent per year.

Improving Laos has fascinating tourist attractions in all provinces, ranging from areas of natural beauty to cultural and historical sites. However, the main challenge for the nation’s tourism industry is the lack of road access to many of these sites. Over past decades the government has invested a huge amount in improving tourist sites and road access and facilitating investment by the private sector in the tourism industry, all with the goal of boosting tourist numbers. But the government is aware that even more money needs to be pumped into infrastructure development to further boost tourism growth and the continued growth of the Lao economy.

The Borgen Project

Nature-Based Tourism in Laos

Nature-Based Tourism in Laos

About Nature-Based Tourism

Tiger Trail Travel defines ecotourism as “ tourism activity in rural and protected areas that minimizes negative impacts and is directed towards the conservation of natural and cultural resources, rural socio-economic development and visitor understanding of, and appreciation for, the places they are visiting.” According to the World Bank, Lao’s “lush nature and rich culture offer an opportunity to develop nature-based tourism, which can generate revenue, create green jobs and livelihood opportunities and lay the groundwork for greener economic growth.”

The Overall Issue

The Asian Development Bank advocates “raising competitiveness and strengthening the links between agriculture and tourism” in order for the Lao PDR to recover from the COVID-19 pandemic. An ADB report found that tourism in Laos also supported growth in several sectors including livestock, fisheries and organic vegetables, potentially creating new “agricultural value chains.” Travel due to the COVID-19 pandemic forced around 180 tourism businesses the ADB surveyed to temporarily close, furloughing 70% of workers. Support for the tourism sector could include financial assistance and increases in vaccination, and reopen travel with “transparent, effective, and clear communication of health and safety protocols.”

Measures Laos Can Implement

The World Bank has found that the Lao PDR has beautiful landscapes of rainforests, waterfalls and mountains, all of which offer an opportunity to generate revenue and green jobs through greener economic growth. The World Bank claims, “in the next decade, nature-based tourism could grow in Laos from 4.3% of 2019 GDP and 3.5% of jobs to the global average of about 10% of GDP and 10% of jobs.” Laos has around 15% of the country set aside for conservation purposes on 23 national reserves, having more than 1,200 villages with 840,000 people residing within the boundaries. Additionally, because of international demand, Laos has the opportunity to develop nature-based tourism, as well as have “policies that enable responsible private investment and effective conservation.”

The World Bank gives two recommendations for strengthening nature-based tourism in Laos such as facilitating private investment and managing protected areas. To facilitate private investment, they suggest reducing barriers to tourism businesses for investment, creating regulations pertaining to small businesses in the tourism industry, establishing regulations and procedures in protected areas and giving “vocational training in nature-based tourism and innovating market development, and hospitality.” For managing protected areas, they suggest creating and finalizing plans for those areas, elevating the skills of departments protecting those areas, managing waste in protected areas and establishing a system involving fees and revenues around protected areas.

What Laos is Doing

The Global Climate Change Alliance Plus Initiative recognizes tourism has been a large part of Laos’ economy since the mid-2000s and the country has a lot of untouched nature. GCCA+ reported that for nature-based tourism in Laos, innovations have occurred that include the banning of chemical cleaning products in order to preserve water, wildlife and plants. Some local markets sell only organic foods to local restaurants, creating full-time jobs such as sustainability managers. GCCA+ also recognizes other organizations such as LuxDev, “which runs a ‘ skills for tourism’ programme in Laos.” LuxDev recognizes that by having local and young people involved in the sustainable tourism industry in Laos, everyone benefiting is less likely to trash the environment.

LuxDev is an organization that “manage[s], monitor[s], and support[s] Luxembourg developing efforts in Laos,” after first setting up an office in Vientiane in 2016. It is an agency that supports skills development in Laos’s tourism sector, helping the poorer and more vulnerable groups in remote areas of Lao PDR.  

Looking Ahead

Laos has many options to enhance its tourism industry, especially in a region so rich and prosperous in nature. Through strong nature-based tourism in Laos, more people will see the country’s beauty, thereby creating more jobs and further helping the agricultural sector. With a stronger focus on tourism, Laos’s economy can continue to grow.

– Jerrett Phinney Photo: Flickr

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Sustainable travel in Laos: Make responsible choices with these 5 tips

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tourism sector in laos

Laos is often overshadowed by its tourism powerhouse neighbours such as Thailand and Vietnam, but unbeknownst to many this land-locked nation is rich with lush green mountains, ancient temples, and unique culture and heritage making it an interesting place to visit.

Like many countries, Laos is also facing the challenges of climate change, but Laos champions sustainability, especially in travel and tourism. Sustainable tourism is a way to travel that minimizes the negative impact on the environment and local communities. A growing number of hotels, tour operators, and businesses strive to be more sustainable by adopting “green” practices.

However, sustainable tourism is a two-way street. While businesses are becoming more sustainable, travellers are also encouraged to make responsible choices. It is about being mindful of your choices and supporting local businesses and initiatives. If you are planning a trip to Laos any time soon, here are five tips for sustainable travel:

tourism sector in laos

Check in certified properties

When choosing a hotel or resort, look for properties that are certified by Travelife. The Travelife certification programme consists of standards which are supported by the global travel sector as the leading sustainability system for the tourism industry. The Travelife criteria are highly comprehensive, locally adapted and include environmental components (climate change, carbon offset, waste management, plastic reduction, energy efficiency, water conservation, etc.), social components (human rights, gender awareness, child rights, community relations, labour rights, etc.) and economic components (decent jobs, employment conditions, buying local, etc.). This certification is awarded to properties that meet this rigorous set of sustainability criteria.

Here are a few certified properties in Laos:

  • Salana Boutique Hotel
  • Inthira Hotel Vang Vieng
  • Maison Dalabua

Embark on a scenic journey via train

One of the best ways to experience the natural beauty of Laos is by train. The Boten–Vientiane railway is the Lao section of the Lao–China Railway (LCR), running between the capital Vientiane and the northern town of Boten on the border with Yunnan, China. The railway opened in December 2021 and offers stunning views of the countryside. The train journey from Vientiane to Luang Prabang takes approximately two hours.

Indulge on authentic Lao cuisine

Lao cuisine is a delicious blend of Thai, Vietnamese, and Chinese influences. It is known for its use of fresh ingredients and unique flavours. When dining in Laos, be sure to try some of the local dishes, such as laap (minced meat salad with herbs and spices) and their everyday staple of khao niew (sticky rice) with jeow .

Here are a few restaurants where you can try authentic Lao cuisine:

  • Kualao Restaurant
  • Khob Chai Deu Restaurant
  • Manda de Laos

Immerse yourself in sustainable tours and activities

Sustainable tours and activities play a pivotal role in today’s travel industry, offering a responsible and ethical way for travellers to explore the world while minimizing their environmental and social footprint. These experiences prioritize the preservation of local ecosystems, cultures, and communities. There are a number of sustainable tours and activities available in Laos. These tours and activities are designed to minimise environmental impact and support local communities.

Here are a few sustainable tours and activities in Laos:

  • Different Facets of Vang Vieng Tour : This journey offers a multifaceted insight into the town. From its stunning natural attractions to its vibrant local communities, this tour showcases the town in all its diversity. Dive deep into the cultural, historical, and natural wonders of Vang Vieng.
  • Lao Pottery House : This tour teaches you about the traditional Lao pottery-making process. You can also try your hand at making your own pottery.
  • Living Land Farm : This tour takes you to a sustainable farm where you can learn about the traditional Lao farming practices. Experience hands-on farming activities and gain insight into Laotian agriculture.

Purchase eco-friendly souvenirs

When buying souvenirs in Laos, look for products that are made from sustainable materials and by local artisans. This helps to support local livelihoods and keep traditional crafts alive. Support businesses certified by Lasting Laos, which is a local sustainability programme for supplier businesses in the tourism industry that have demonstrated sustainable environmental, social and economic practices.

Here are a few places where you can buy eco-friendly souvenirs in Laos:

  • Lao Textile Museum : This museum sells a variety of traditional Lao textiles, such as scarves, sarongs, and blankets.
  • Ock Pop Tok : This social enterprise sells a variety of handicrafts made by local artisans.
  • Make a donation to COPE Center : COPE Center is a non-profit organization that provides prosthetics and rehabilitation services to people who have lost limbs from landmines and other accidents. You can make a donation to COPE Center at their centre in Vientiane or online.

tourism sector in laos

Embarking on a sustainable travel in Laos is easy. By following these tips, you can help reduce the negative impact of your travels on Laos and support the local communities. Always look for the Travelife and Lasting Laos certification . These certifications are awarded to businesses that meet a set of sustainability criteria because being sustainable is more than removing plastic straws and using organic ingredients, it also involves other criteria such as ethical business practices. The SUSTOUR Laos Project is funded by the European Union and implemented by Plan International Laos. By supporting sustainable businesses in Laos, you can help to create a more sustainable and equitable tourism industry in the country.

Laos vies to be Asia’s greenest destination, one business at a time

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COMMENTS

  1. PDF 2021 Statistical Report on Tourism in Laos

    2021 Statistical Report on Tourism in Laos Source of data: Ministry of Information, Culture and Tourism, Tourism Development Department. 2 Since 1995, data on international tourists have been collected only from embarkation / disembarkation cards of the immigration department. Data on regional tourists were collected from tabulations sent to the Tourism

  2. Laos

    The tourism industry in Laos is developing rapidly, with several five-star resorts open or expected to open in the coming years. The major tourist destination is the world heritage site and ancient capital of Luang Prabang, but other areas including Champasak province and Vang Vieng also attract visitors, especially Chinese and Korean tourists. ...

  3. Tourism In Laos

    The tourism industry in Laos. Laos is a country with great potential for tourism, offering a unique blend of natural beauty, cultural diversity, and historical significance. The tourism industry in Laos has been growing steadily in recent years, with the country receiving around 4.6 million visitors in 2019, compared to 1.8 million in 2010.

  4. PDF 2020 Statistical Report on Tourism in Laos

    Table 23: Tourist Arrivals to Laos, Revenue from Tourism, Average Length of Stay by Time Trend from 1993-2025 30 Table 24: Tourist Arrivals Forecast by Season from 2020 to 2025 31 Table 25: Number of Laos Travel Agents 2016-2020 32 Table 26: Number of Tourist Sites in Laos in 2020 32

  5. Development and importance of tourism for Laos

    In 2021, Laos generated around 5.70 million US dollars in the tourism sector alone. This corresponds to 0.037 percent of its the gross domestic product and approximately 0 percent of all international tourism receipts in Southeast Asia. Worldwide comparisons: › International tourism › List of safest travel countries Back to overview: Laos

  6. PDF TOURISM DEVELOPMENT PLAN LAO PDR 2021

    activities that are relevant to the tourism sector. It is part of the wider information, culture and tourism development plan for 2021-2025 and the vision to 2030. The plan is designed to guide and break through the implementation of the Lao PDR's tourism activities aimed at developing sustainable tourism and promoting economic growth.

  7. PDF LAO

    CHALLENGES FOR THE TOURISM SECTOR GLOBALLY ... visitors came to Laos and spent $934 million dollars. This makes for a contribution of tourism spend to the Lao economy of 9.1%. It also created employment for 300,000 people in Lao PDR. COVID-19 has paralysed the tourism industry, with a decline of international tourism arrivals around ...

  8. Lao Tourism 2023 Highlights: A Year of Recovery, Growth

    4765. As 2023 draws to a close, Laos celebrates a notable recovery in tourism after the COVID pandemic left a seemingly permanent scar. Anticipating continued growth, the country has now launched "Visit Laos Year 2024" to further boost the industry in the upcoming year. Here's a snapshot of key moments from the tourism scene in Laos in 2023.

  9. Impacts of COVID-19 on Tourism in the Lao PDR

    In 2024 the Government of the Lao PDR launches Visit Laos Year, which it hopes will attract at least 4.6 million tourists to the country. This represents a significant economic opportunity: tourism already accounts for about 5 percent of the country's gross domestic product, while the World Bank estimates that tourism can grow to about 10 percent of GDP with the right investments and reforms.

  10. Developing Nature-Based Tourism as a Strategic Sector for Green Growth

    Lao PDR's comparative advantage is its natural wealth. In the next decade, nature-based tourism could grow in Laos from 4.3% of 2019 GDP and 3.5% of jobs to the global average of about 10% of GDP and 10% of jobs. This opportunity is based on developing quality nature-based tourism products that respond to international demand, and policies ...

  11. Agriculture and Tourism Key to Lao PDR's Sustainable and Shared

    Tourism was growing fast in the Lao PDR before the pandemic. International tourist arrivals reached 4.1 million in 2018, contributing 12% of the country's gross domestic product. However, average spending for each international tourist in the country was the lowest in Southeast Asia at $200, pointing to a need to upgrade tourism infrastructure.

  12. Lao PDR Tourism COVID-19 Recovery Roadmap for 2021-2025

    Lao PDR Tourism COVID-19 Recovery Roadmap for 2021-2025. The COVID 19 outbreak has had a devastating effect on the tourism industry, causing the number of international tourists to decrease by 74%. Thus, the impacts have further disrupted businesses in the sector and deprivived 70-80% of the total revenue.

  13. Tracing Toll of Covid-19 Pandemic on Tourism Industry in Laos

    A new report by the World Bank indicates the impact on the tourism industry in Laos of the Covid-19 pandemic. Data from the World Bank report showed a steady rise in domestic and international travel from 2016-2020, before coming to a sudden halt as an effect of the pandemic.. Before the strict domestic and international travel restrictions in 2020, Laos' tourism market was steadily rising ...

  14. Laos

    This factsheet highlights the importance of Travel & Tourism to Laos across many metrics, and features details such as: Contribution of the sector to overall GDP and employment. Comparisons between 2019 and 2023. Forecasts for 2024 and 2034. International and domestic visitor spending. Proportion of leisure vs business spending. Top 5 inbound ...

  15. Exploring the Travel and Tourism Market in Laos

    The data in this report includes demands & flows data on domestic travel, international arrivals and departures. Additionally, data is provided on traveler spending patterns, the airlines, and hotel sectors. The report also identifies the key themes impacting the tourism industry. In 2022, Laos welcomed 1.18 million international arrivals.

  16. Boosting Lao's tourism sector

    Boosting Lao's tourism sector. With more than 3.3 million travellers in 2012, Lao People's Democratic Republic is experiencing a significant increase in tourist arrivals. Out of the many destinations, the town of Luang Prabang, a UNESCO World Cultural Heritage Site, has become a special attraction for visitors from all over the world.

  17. Laos' tourism recovery and sustainability, a priority for Plan

    "This is an important initiative in supporting the long-term recovery of a sustainable tourism sector and contribute to Laos National Green Growth Strategy, 9th Five-Year National Socio-Economic Development Plan, and the National Tourism Strategy which will focus on capacity building and promoting entrepreneurs to adopt sustainable ...

  18. To Rescue Its Devastated Tourism Sector, Laos Looks to China

    In the first four months of 2023, Laos' Ministry of Information, Culture, and Tourism reported that Thailand, Vietnam, and China together brought in over 878,000 visitors. While in 2022, most travelers used personal vehicles, this year, 85% of tourists opted for the LCR when heading to Luang Prabang.

  19. Development Opportunities for Lao Tourism Sector

    This is why IBI, as the implementing partner for USAID's Laos Business Environment Activity, has identified the tourism industry as a key sector in the country's future development. A view from Paksong, Champasak province. To this end, IBI has supported the Government of Laos in promoting a brand of sustainable tourism, or eco-tourism.

  20. Tourism industry fuels economic growth in Laos

    "The growth of the tourism sector would also be key in developing tourist related infrastructure such as airports and road links," stated The Asean Post. In 2017, the total contribution from travel and tourism to Laos' gross domestic product (GDP) was around US$2 billion (Bt64 billion), which accounted for 13.7 per cent of total GDP.

  21. Nature-Based Tourism in Laos

    The World Bank claims, "in the next decade, nature-based tourism could grow in Laos from 4.3% of 2019 GDP and 3.5% of jobs to the global average of about 10% of GDP and 10% of jobs.". Laos has around 15% of the country set aside for conservation purposes on 23 national reserves, having more than 1,200 villages with 840,000 people residing ...

  22. Sustainable travel in Laos: Make responsible choices with these 5 tips

    Support businesses certified by Lasting Laos, which is a local sustainability programme for supplier businesses in the tourism industry that have demonstrated sustainable environmental, social and ...

  23. MIGIP Laos

    The project creates jobs and income opportunities in the tourism sector, thereby contributing to poverty reduction. Edit locations. invalid. Pakse, Laos. 15.1171823. 105.8159045. Laos. Project duration. 2017 - 2020. ... After 8 years of supporting sustainable tourism in Southern Laos, Swisscontact held a project closing event on December 23 ...

  24. ONYX Hospitality Group Launches Roadshow in South Korea to ...

    April 18, 2024. ECONOMY. BANGKOK, THAILAND - Media OutReach Newswire - 19 April 2024 - ONYX Hospitality Group, a leading hotel management company, is delighted to announce its inaugural roadshow event in South Korea, aimed at expanding its presence in this rapidly growing market. The roadshow is taking place on 16 th - 19 th April 2024 in two ...

  25. Thailand's extended Songkran festival sees millions celebrate

    Foreign tourists enjoy the Songkran celebrations by participating in the public water fights, Asoke, Bangkok, Thailand, April 13, 2024. The industry provides around 20% of jobs in the Southeast ...