Tourism remains one of Laos’ key economic pillars. Prior to the Covid-19 pandemic, the country received nearly 5 million international visitors annually, including more than 1 million Chinese tourists. At the time, Chinese visitors generated close to USD 700 million in revenue, surpassing income from several other sectors.
For 2026, the Government of Laos has set ambitious tourism targets, aiming to welcome between 5 and 6 million international visitors, up from the more than 4.5 million foreign visitors recorded in 2025, which itself represented an 11 percent increase from 2024. The government expects Chinese tourists to make up approximately 2 million of the projected 2026 arrivals, partly driven by the 65th anniversary of Lao–China diplomatic relations and rising interest in travel via the Lao–China Railway.
The Lao–China Railway has emerged as a central pillar of the tourism recovery story. Authorities credit the railway with reducing travel time and logistics costs, making cross-border tourism more convenient and encouraging regional travelers to incorporate Laos into multi-country itineraries. Plans are underway to integrate the Lao–China and Lao–Thailand railways to position Laos as a regional transport hub. Construction of the Lao–Vietnam railway connecting Khammouane Province to the Vietnamese border is expected to begin soon, and a feasibility study is underway for a Vientiane–Pakse line.
Looking ahead, the government has outlined a five-year plan (2026–2030) to attract 22 million international visitors and generate an estimated USD 8 billion in tourism revenue. Domestic tourism is also projected to reach 11 million trips over the same period, valued at approximately USD 5 billion. Officials are targeting at least 6 percent annual growth in the tourism sector through 2030, supported by growing interest in heritage sites, natural attractions, and cultural tourism, alongside continued investment in regional connectivity and workforce development.
