(Reuters photo)VIENTIANE: Laos is set to open a US$6 billion Chinese-built railway on Friday, with debt concerns balanced against hopes it could boost the reclusive nation's struggling economy. Analysts have acknowledged the potential economic boost, but have queried how infrastructure-poor Laos will pay its $1.06 billion debt -- and whether it is ready to exploit the state-of-the-art transport system. The railway could boost Laos' economy, but the government needed to undertake substantial reforms -- including improving its border management systems, a World Bank report noted. Raymond noted the railway is a huge test for the country's mostly agricultural subsistence-based economy, which doesn't have a big merchant class. "The issue for Laos is whether their economy... their private sector is positioned to take advantage of this transport system," Raymond told AFP.

Source: Bangkok Post December 03, 2021 09:23 UTC