An Analysis Of The Problems In Attracting FDI In Laos Electric Power Industry

Electric Power development is one of the important industries of national economic development in Laos. With the rapid growth of the Laos economy, unbalanced industrial structure, urbanization and improved living standards rise in demand for electricity. Lao People’s Democratic Republic(Lao P.D.R) is the only inland country located in Southeast Asia. Laos is respectively at the junction of five countries, Thailand, Vietnam, Myanmar, Cambodia and Yunnan province of China. Laos national population in 2015 is 6.47 million, covers an area of 236,800 square km; Population Density is 27 person / km, within which, Laos has diverse natural resources, vast Northern land and long narrow southern area, north high low-lying south, northwest to southeast tilt, the mountainous plateau occupies 80% of the national area. Laos has 20 rivers which are more than 100 km. The longest river running cross the country is Mekong River which is 1.877 kilometers long.Laos has abundant natural resources, high forest cover rate, Laos is rich in water power resources, coupled with Laos Geographic mountainous plateau, making it suitable for the development of hydro power projects. Which is rich in natural resources, how to play a diverse country with a great potential installed capacity of 26500 MW of power has the ability in theory Laos country, in 2015, actually about 18000 MW 12500 MW of which has not been developed. The Lao Government attaches great importance to the water resources development and utilization. The government aims at becoming "the battery Indochina", so that the country can get rid of poverty and achieve its goal of industrialization and modernization. As there is a developing need, Lao’s economy has a bright future. Under this circumstance, the Lao government wants to attract more foreign investment into hydro power and ago-forestry product processing areas.In recent years, the Lao power sector in the development of the Lao government "Out of Poverty" Lao Lao government’s goal is to develop electricity export sales to neighboring countries to get more revenue. The Government encourages the use of their own natural resources, and promote the efficiency of investment and create comprehensive infrastructure Lao power sector institutions.This article points Laos Electricity Industry Problems in attracting FDI. Analyzing the electricity industrial and economic structure, the investment projects, the project on migrants, and the export of electric power, it can be seen Laos electricity industry has advantages and weaknesses, opportunities and threats, and a great development potential. The Lao government hopes to solve the existing problems of electronic power industry, so that the country can attract foreign investment into Laos, and maintain the sustainable development trend. Moreover, electricity exports will be the strategic core element of Laos economic policy. Through the trend of electronic industry, it can be found the solution of current problems, which is good for electronic industry development and economic growth. development of power in Laos Laos industries. With trends electricity, proposed the development of the power industry in Laos countermeasures and suggestions conducive to promoting economic growth in the future development of the power industry and the Lao Lao society.