World Bank2012-06-152012-06-152006-11https://hdl.handle.net/10986/8169The basic framework for the background study on building export competitiveness in Laos is based on the National Growth and Poverty Eradication Strategy (NGPES), which appropriately stresses the need to: (i) improve the business climate by creating a predictable and transparent policy environment; (ii) streamline administrative procedures and regulations that are an obstacle to domestic and foreign private investment; and (iii) strengthen market institutions, including most notably those related to dispute resolution and contract enforcement. This paper focuses on three key priority areas: (a) Strengthening fiscal management is a first priority area. Progress in strengthening fiscal management is likely to require reforms to the broader framework of center-province fiscal relations; (b) Establishing a functioning banking system is a second priority area. Laos needs an efficient banking system to achieve the government's development goals and meet the competitive challenges of regional integration; and (3) Improving competitiveness is a third priority area. Conventional macroeconomic assessments of competitiveness using real effective exchange rates do not suggest any major competitiveness concerns. Other approaches, involving a more detailed assessment of the various elements that make up the investment climate, suggest that competitiveness is a major impediment to attracting investment to Laos. This study addresses the main elements of the reform agenda to strengthen Laos' competitiveness, placing special emphasis on trade facilitation and reforms to the business environment.CC BY 3.0 IGOADVERSE CONSEQUENCESAGRICULTURAL PRACTICESAGRICULTUREAIRPORTSAIRWAYSARTERIAL ROADBARRIERS TO IMPORTSBARRIERS TO TRADEBILATERAL AGREEMENTBILATERAL AGREEMENTSBILATERAL TRADEBORDER CROSSINGBORDER CROSSINGSBUSINESS LAWCAPACITY BUILDINGCAPITAL INVESTMENTCDCENTRAL BANKCENTRAL PLANNINGCOLLATERALCOMPARATIVE ADVANTAGECOMPETITIVENESSCONTRACT ENFORCEMENTCONTRACTUAL RELATIONSHIPSCURRENCYCUSTOMSCUSTOMS ADMINISTRATIONCUSTOMS AUTHORITIESCUSTOMS CLEARANCECUSTOMS DUTIESCUSTOMS PROCEDURESCUSTOMS VALUATIONDEBTDEVALUATIONDEVELOPED COUNTRIESDEVELOPING COUNTRIESDEVELOPMENT STRATEGIESDEVELOPMENT STRATEGYDOMESTIC CREDITDOMESTIC MARKETDOMESTIC PRODUCERSDRIVINGDUTY DRAWBACKDUTY DRAWBACK SCHEMEECONOMIC COMPETITIVENESSECONOMIC COOPERATIONECONOMIC RESEARCHECONOMIC SECTORSECONOMIES OF SCALEENVIRONMENT FOR INVESTMENTENVIRONMENTAL IMPACTSEXCESS DEMANDEXCHANGE RATEEXPENDITUREEXPORT COMPETITIVENESSEXPORT DEMANDEXPORT DIVERSIFICATIONEXPORT EARNINGSEXPORT GROWTHEXPORT LICENSINGEXPORT MARKETSEXPORT PROCEDURESEXPORT PROCESSINGEXPORT PROCESSING ZONEEXPORT PRODUCTSEXPORT PROMOTIONEXPORT REGIMEEXPORT REVENUEEXPORT SECTOREXPORT TAXESEXPORTERSEXPORTSFAIR TRADEFINANCIAL CRISISFINANCIAL SYSTEMFLEET MANAGEMENTFLEETSFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN INVESTMENTFOREIGN INVESTORSFOREIGN MARKETSFOREIGN TRADEFREE TRADEFREE TRADE AGREEMENTFREE TRADE AREAFREIGHTFREIGHT TRAFFICFUELGDPGENERAL AGREEMENT ON TRADE IN SERVICESGENERAL SYSTEM OF PREFERENCESGENERALIZED SYSTEM OF PREFERENCESGINI COEFFICIENTGOVERNMENT POLICYGROSS DOMESTIC PRODUCTGROWTH POTENTIALHIGH TRANSPORTHIGH TRANSPORTATIONHUMAN DEVELOPMENTHUMAN RESOURCESIMPORT DUTIESIMPORT LICENSESIMPORT LICENSINGIMPORT LICENSING REQUIREMENTSIMPORT PLANNINGIMPORT PROCEDURESIMPORT PROHIBITIONIMPORT REQUIREMENTSINEFFICIENCYINEQUALITYINSPECTIONINSTITUTIONAL CAPACITYINSTITUTIONAL DEVELOPMENTINSTITUTIONAL DEVELOPMENTSINTELLECTUAL PROPERTYINTERNATIONAL AGREEMENTSINTERNATIONAL DEVELOPMENTINTERNATIONAL ECONOMICSINTERNATIONAL MARKETSINTERNATIONAL PORTSINTERNATIONAL STANDARDSINTERNATIONAL TRADEINTERNATIONAL TRANSITINVESTMENT CLIMATEITCJOURNEYLAND TRANSPORTLDCSLEGAL FRAMEWORKLEGAL SYSTEMMACROECONOMIC INSTABILITYMACROECONOMIC MANAGEMENTMARKET ACCESSMARKET ECONOMYMERGERSMONETARY FUNDMONETARY POLICYMOST FAVORED NATIONMULTILATERAL AGREEMENTSMUTUAL RECOGNITIONNATIONAL INCOMENON-TARIFF BARRIERSNORMAL TRADE RELATIONSORGANIZATIONAL STRUCTUREPER CAPITA INCOMEPREFERENTIAL ACCESSPREFERENTIAL TARIFFPREFERENTIAL TREATMENTPRIVATE INVESTMENTPRODUCTION INPUTSPROPERTY RIGHTSPROPERTY RIGHTS PROTECTIONRAILWAYREGISTRATION FEESREGISTRATION SYSTEMREGULATORY SYSTEMRESTRICTIVE PRACTICESRETURNSROADROAD CONNECTIONSROAD INFRASTRUCTUREROAD NETWORKROAD TRANSPORTROUND TRIPROUTEROUTESRULES OF ORIGINRURAL ROADSSAFETYSKILLED LABORSOURCINGSTATE BANKSTARIFF BARRIERSTARIFF ESCALATIONTARIFF LINESTARIFF POLICYTARIFF PREFERENCESTARIFF RATETARIFF RATESTARIFF SCHEDULETAXTAX SYSTEMTAXATIONTECHNICAL ASSISTANCETECHNICAL BARRIERSTECHNICAL COOPERATIONTELECOMMUNICATIONSTOURISMTOURISM INDUSTRYTRADE CENTERTRADE FACILITATIONTRADE INTEGRATIONTRADE LOGISTICSTRADE NEGOTIATIONTRADE POLICYTRADE PREFERENCESTRADE REGULATIONTRADE ZONESTRADE · CAPACITYTRANSITTRANSIT CORRIDORSTRANSIT FACILITIESTRANSPARENCYTRANSPORT CORRIDORSTRANSPORT INFRASTRUCTURETRANSPORTATIONTRANSPORTATION COSTSTRIPSTRUCKSTRUEVALUATIONVALUE ADDEDVEHICLESWORLD TRADEWORLD TRADE ORGANIZATIONWTOWorld Bank10.1596/8169