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Headlines:
Wind Power for Vietnam
China Power Grid Connection Nearly Complete
Fifth Friendship Bridge Opens
Forest Land Conversion Proposals
ADB Backs Forest Restoration
Party Congress and National Elections
Border Management Cooperation
Tourism Standards and Record Visitor Numbers
Ag Exports Hit $1.6 Billion
E-Com Registration Mandate Starts in Feb
Cybersecurity and Anti-Fraud Center Launch
Inflation Hits 5.6% on Utility Costs
Wind Power for Vietnam
T&T Group launched the Savan 1 Wind Power Plant in Savannakhet Province on December 26, delivering 300 MW of clean energy to Vietnam. The project has a total planned capacity of 495 MW and will require a total investment of about $768 million. In January of this year, the Lao Ministry of Planning and Investment gave T&T Group a 25-year concession contract to run the project. The plant’s transmission line, which was finished in August 2025, connects to Vietnam’s grid through a Power Purchase Agreement. The Truong Son Wind Farm project in Bolikhamxay Province is more than 80% finished and is expected to generate a further 600 megawatts for export to Vietnam.
Read more: VN Economy (Savan 1 Launch), VIR (Commercial Operation), Laotian Times (Truong Son Wind Farm)
China Power Grid Connection Nearly Complete
The Laos part of the 500kV power interconnection project with China is now four-fifths complete. It is expected to be finished by April, and to be fully up and running by the end of 2026. The project is expected to improve power system stability and support renewable energy developments, including a large solar power project in Oudomxay Province. The new transmission line will connect the Lao power grid with China’s, allowing for two-way power assistance and the export of about 3 billion kWh of clean electricity yearly.
Read more: Laotian Times
Fifth Friendship Bridge Opens
The ribbon was cut on 5th Lao-Thai Friendship Bridge on December 29, connecting Pakxan district in Bolikhamxay Province (Route 13) with Thailand’s newest province, Bueng Kan (Highway 244). President Thongloun Sisoulith, Thai King Maha Vajiralongkorn, and both Prime Ministers took part in the festivities. Local residents are hopeful that the bridge will improve trade and bring more tourists to their part of the world.
Read more: Asian News Network (Inauguration), The Star (Local Impact)
Forest Land Conversion Proposals
The government put a request to the National Assembly on December 24 to try and get approval to convert forest land for mining, energy, and infrastructure projects. The proposal includes projects for gold, rare-earth, zinc, silver, and coal mining, as well as some renewable energy. Specific projects include a rare-earth mining initiative in Khoun district, Xieng Khouang, and activities in the Longkhaw–Longkhan National Production Forest in Attapeu. Other forest area conversions are proposed in Bolikhamxay, Houaphanh, and Vientiane. Laos’ forests are divided into National Protected Areas, Conservation Forest Areas, and Production Forest Areas, and all are state-owned.
Read more: Laotian Times
ADB Backs Forest Restoration
The Asian Development Bank has given the go-ahead for $10 million for the Responsible Forestry Project Phase I, made up of a $5 million concessional loan and a $5 million grant. The project will help build protections against forest degradation and support forest-dependent communities in Bolikhamxay, Khammouane, and Vientiane Capital. ADB says that public funding alone can’t reverse forest damage and asked for more private investment to go along with its commitment. It isn’t clear how these numbers were arrived at, but the Laotian Times article claims that forests cover about 62% of Laos, employ more than 65% of the workforce, yet mismanagement is leading to economic losses of nearly 19% of GDP annually.
Read more: Laotian Times (Project Details), The Star (ADB Announcement)
Party Congress and National Elections
The 12th National Party Congress, which will create the leadership and national development plans for 2026-2030 is scheduled from January 6-8. A National Election, in which citizens will elect members of the 10th National Assembly, has been scheduled for February 22, 2026. The new National Assembly will then elect the President and Prime Minister.
Read more: Laotian Times
Border Management Cooperation
Deputy Ministers Nguyen Minh Vu of Vietnam and Maythong Thammavongsa of Laos co-chaired the 34th annual meeting for border management in Vientiane on December 25-27. In 2024 and 2025, the Vietnam-Laos Joint Border Expert Team ran 10 surveys to look into border issues, manage border demarcations, oversee construction near the border, and develop border gates. The next meeting is planned for Q4 2026 in Vietnam.
Read more: Nhan Dan (Meeting Overview), VOV (Tasks)
Tourism Standards and Record Visitor Numbers
The Department of Tourism Development ran a meeting on Christmas eve, to work on integrating ASEAN Tourism Standards into education and business operations. Luang Namtha Province welcomed almost 1.3 million tourists in 2025: ~970k from abroad and ~136k by way of the Laos-China Railway. Tourism growth was driven by festivals that reportedly generated more than $40 million in revenue. The province was able to earn two ASEAN-standard awards for excellence in Community-Based Tourism and public sanitation. For 2026, Luang Namtha wants to bring (a hilariously specific) 1,441,568 visitors and bring in about $45 million of revenue.
Read more: The Star (ASEAN Standards), Laotian Times (Visitor Numbers)
Ag Exports Hit $1.6 Billion
The Ministry of Agriculture and Environment celebrated 60 years yesterday, while announcing agricultural exports totaled about $1.6 billion for the year. The event, attended by Prime Minister Sonexay Siphandone, was intended to show off how the sector has transitioned from subsistence farming to a modern, industrial system that contributes almost a fifth of the national GDP. Recent productivity growth is the result of a shift toward group-based production and higher levels of private sector investment, along with the steady adoption of mechanization and technology.
Read more: The Star (Export Milestone), The Star (Farmer Support)
E-Com Registration Mandate Starts in Feb
The Ministry of Industry and Commerce will start enforcement of a requirement for registration of people and companies operating online businesses beginning February 1. The regulation covers all forms of online trade, including sales by way of social media, websites, and messaging apps. Non-compliance will result in fines and other legal consequences. The registration comes after earlier regulatory frameworks introduced in 2021 and 2023 to improve oversight and consumer protection in the digital economy.
Read more: Laotian Times
Cybersecurity and Anti-Fraud Center Launch
The National Internet Committee met this week to review 2025 performance and set priorities for the coming year, focusing on improved internet governance, better cybersecurity, and the fight on online fraud. The meeting was also host to the launch of the Anti-Online Fraud Center. Vilay called for improved roles and coordination among ministries, and legislative amendments concerning computer crime and online information management.
Read more: The Star (Cybersecurity Priorities)
Inflation Hits 5.6% on Utility Costs
Inflation was 5.6% in December, driven by increased electricity and water costs, up from 4.8% in November and 4.0% in October. The Consumer Price Index stands at 257.2, slightly down from 258.0 in November but higher than the 243.5 of December 2024. Housing, water, electricity, and fuel prices were up 18.1%, largely due to a more-than-doubling of electricity prices. Healthcare and medicine expenses rose by 14.4%, educational expenses 11.4%, and clothing and footwear prices 8.1%. For 2025 on the whole, the average inflation rate was 7.7%, a blessed drop from the 21.3% seen in 2024 and 31.2% suffered in 2023.
Read more: Laotian Times
That’s all for this week, thanks for reading.
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