| Author | Senesakoune Sihanouvong |
| Call Number | AIT RSPR no.SM-05-80 |
| Subject(s) | Investments, Foreign--Laos
|
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration. School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-05-80 |
| Abstract | Foreign direct investment has played a vital role in economic growth and development of Laos since the country embarked on an economic transition and business liberalization programme in 1986. However, the scale of FDI inflow into Laos is relatively small compared to its neighbours. This study attempts to identify the key determinants of FDI in Laos along with the policy measures for further attracting FDI. At first, the study examined the overall situation and the present government policy and regulatory framework toward FDI. Then it analyzed the main factors that determine FDI, limitations and challenges are also discussed. After that it identified the strengths, weaknesses of Laos as the host country for FDI. And finally, based on the analysis, the study suggested policy measures for further attracting FDI inflow to the country. It is found out that the important factors determining FDI in Laos were the available of natural resources, cheap labor. These were followed by social and political stability, investment incentives. It is also found out the main obstacles to FDI were poor and undeveloped physical infrastructure, unskilled labor, poor banking and financial system. These made Laos less attractive as a location for FDI. For further success in attracting FDI inflow into the country, the study suggested the policy measures that should be used. Firstly, developing, improving and building the physical infrastructure within the country and more importantly the transportation network that connects its neighbors to each others. Secondly, enhancing and developing human resources especially developing and building skilled labors. Finally, regarding the policy framework for FDI, FDI targeting should be implemented, privatization should be continued and investment promotion agencies such as DDFI should play more active role in investment promotion campaign. |
| Year | 2005 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-05-80 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Tang, John, C.S. |
| Examination Committee(s) | Zimmermann, Willi;
Singha Chiamsiri |
| Scholarship Donor(s) | Government of France;AIT Fellowship |
| Degree | Research report (M.Sc.) - Asian Institute of Technology, 2005 |