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Asia
The historical roots of present-day Laos go back to the 14th century when Prince Fa Ngum united a number of principalities to form Lan Xang, the Kingdom of a Million Elephants. For centuries the country was subjected to the expansionist ambitions of its powerful neighbours Burma, Siam (Thailand) and Viet Nam. In 1893, France finally annexed the country as part of its colony of Indochina. Laos gained independence in 1954 but then plunged into twenty years of civil war, which finally ended in 1975 when the communist people's front Pathet Lao took power. The Lao People's Revolutionary Party, the successor to Pathet Lao, remains the only legal political party in the Lao People's Democratic Republic.
During the Vietnam War, Laos was officially neutral. However, since the supply routes for the communist Viet Cong passed through the country, Laos was heavily bombed by the USA. In terms of its population and size, Laos is said to be the most heavily bombed country in the world. Around one tonne of explosives was dropped per inhabitant, and minefields and unexploded ordnance still pose a major problem to this day.
The only landlocked country in south-east Asia, Laos is remarkable for its great diversity. Lao society has 49 officially recognised ethnic groups.
Laos has remained largely cut off from the dynamic economic development of its neighbouring countries Thailand and Viet Nam. It is one of the least developed countries in the world. About one quarter of the population lives below the national poverty line. Nearly 85 per cent of public investment comes from the international donor community.
But since Laos joined the Association of Southeast Asian Nations (ASEAN) in 1997 the country has been progressing. The government is pursuing a policy of opening the economy to market forces. The country has achieved annual economic growth rates of seven to eight per cent in the last few years in spite of the global economic crisis, exports have seen a marked rise, the inflation rate has consistently remained in single digits, and the percentage of poor households has fallen.
Lao-German relations
The Federal Republic of Germany and Laos have maintained diplomatic relations for 50 years. Despite their different political systems, the relationship is cordial. After the communists seized power in Laos, bilateral development cooperation with the "old" Federal Republic of Germany was suspended from 1975 to 1990. During this period, however, Laos was a partner country of the German Democratic Republic (GDR). Several thousand Laotians obtained a university-level education in the GDR. This provided a basis for continuity when the Federal Republic resumed cooperation in 1990.
The overarching goal of Lao-German development cooperation is poverty reduction. Priority areas of cooperation are rural development and sustainable economic development.
German Embassy

German Embassy in Laos
Sokpalouang 26
P.O. Box
Vientiane
Laos
Phone: +856 / 21 / 31 21 10
Fax: +856 / 21 / 35 11 52






