Vietnam continues topping the list of foreign investors in Laos for the second consecutive year with total registered capital of US$1.4 billion.

China ranks second with US$932 million, followed by Thailand and the Republic of Korea.

According to the Lao Ministry of Planning and Investment, foreign direct investment (FDI) flows to Laos are expected to skyrocket this year despite the global economic recession.

In the first nine months of this year, the Lao government licensed 208 projects with a total registered capital of US$4.3 billion, up US$1.2 billion compared to the same period last year. The projects focus on mining, hydropower, industrial tree planting and garment.

Houmpheng Suralay, Director of the Investment Promotion Department, attributed the sharp FDI increase investment potentials in Laos , which boasts fertile land for industrial tree planting, abundant mineral resources and a lot of rivers that are suitable for hydropower development.

In addition, the Lao government has applied a “one-stop-shop” mechanism in investment licensing, creating the most favourite conditions for both domestic and foreign investors, he added. (VNA)