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LAOS: At the Crossroads

Introduction

There was no diversion in 2007 from the policy directions set down by the Eighth Congress of the ruling Lao People's Revolutionary Party (LPRP) in March 2006. The Lao People's Democratic Republic will remain a one-party state with old-style, Soviet-era political institutions, while encouraging free enterprise and foreign investment. The outcome has been a remarkable political stability, and an impressive economic performance. The economy has been booming at over 7 per cent growth for the past two years, due largely to massive foreign investment in the development of hydroelectric power and gold and copper mining as well as a rapidly expanding tourism industry.

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