Will trade liberalization in least developed countries help during the crisis? Evidence from the Lao People’s Democratic Republic

Even though the financial system of the Lao People’s Democratic Republic is not directly linked to the global financial system, the global financial crisis is having a negative effect on the country’s economy. According to International Monetary Fund (IMF) projections, in 2009 the world economy was expected to experience negative growth (about -2 per cent) while the growth in emerging and developing economies would decline to 2 per cent. In addition, according to the IMF forecast the economy of the Lao People’s Democratic Republic was expected to grow by 4.5 per cent in 2009 and 5.50 per cent in 2010 (International Monetary Fund, 2009a).

Related Subject(s): Economic and Social Development

Countries: Lao People's Democratic Republic