Covid-19 FAQ in Laos
What do German entrepreneurs in Laos need to know?
Current economic situation under pandemic conditions
The COVID 19 pandemic has hit the manufacturing sector hard, leading to significant job losses. In the wake of the pandemic, economic growth fell to an estimated 0.4 per cent in 2020, the lowest level in three decades. The services sector, including travel and tourism, was hit hard by the lockdown measures. External debt has increased from 59 per cent in 2019 to 65 per cent of GDP in 2020. Laos has onerous debt service obligations, which amount to about US$1.1 billion per year for 2020-23.
Measures for exit and restart/restart of the economy
A change in leadership in early 2021 has brought several pressing issues to the forefront of the Lao government's socio-economic planning. The new prime minister announced seven priorities in March, promising to tackle public debt and revenue shortfalls, boost exports, fight corruption and create more job opportunities. The government also pledged to promote quality growth and reduce dependence on the extractive sector, improve access to basic public services, especially in health and education, and put more emphasis on human resource development.
Mobility of people
Entry for business travellers is only possible under strict conditions. The following requirements are necessary to apply for a business visa: A letter of invitation, a special permit from Immigration or a local employment contract, and a letter of justification stating compelling reasons for entry. These entry requirements are expected to remain in place until the end of 2021. Upon entry into Laos, two weeks of hotel quarantine and a PCR test are required.
Logistics in the country and international movement of goods
The national movement of goods functions with COVID-related restrictions. International trade in goods has declined sharply due to a sharp drop in demand for exports.
» Here you find current Covid-related figures: Laos - COVID-19 Overview - Johns Hopkins (jhu.edu)
» For more information: Laotian Embassy in Berlin
Travel Information for Laos
Can I still travel to Laos?
1. Until 31 May 2021, flights to Lao People's Dem. Rep. are suspended.
- This does not apply to humanitarian, medevac and repatriation flights.
2. Passengers must have a negative COVID-19 RT-PCR test result issued at most 72 hours before departure from the first embarkation point.
3. Passengers must have a reservation confirmation for 14 days at a designated hotel and transportation arrangements.
4. Passengers are subject to COVID-19 RT-PCR test upon arrival at their own expense; and
- subject to medical screening upon arrival; and
- subject to quarantine for 14 days.
5. A completed health declaration form must be presented upon arrival.
6. Airline crew are subject to medical screening and quarantine until their next flight.
7. Only visas with a written authorization from Task Force Committee of Ministry of Foreign Affairs are considered valid.
(Source: IATA - International Air Transport Association) Published 06.04.2021
International Business Relations
Are there currently restrictions in imports and exports?
Currently, there are no corona-related, country-specific import or export restrictions. The probability that the corona virus could be transmitted by (imported) objects is currently estimated by the Federal Institute for Risk Assessment to be extremely low.
However, there are considerable logistical problems and delays. Furthermore, it is to be expected that individual target countries of German exports will issue supplementary regulations, for example on disinfection.
What applies to the export of medical equipment to a non-EU country?
In connection with the spread of coronavirus, restrictions on the export of medical protective equipment have entered into force
With the implementing regulation (EU) 2020/402 of the Commission of 14 March 2020 on the introduction of an obligation to present an export licence when exporting certain products, an authorisation requirement for the export of medical protective equipment to non-EU countries was introduced. The implementing regulation entered into force on 15 March 2020 with its publication in the Official Journal of the European Union (OJ L 77I, 15.3.2020, page 1-7).