Laos (lä'ōs) , officially Lao People's Democratic Republic, republic (2005 est. pop. 6,217,000), 91,428 sq mi (236,800 sq km), SE Asia. A landlocked region, Laos is bordered by China on the north, by Vietnam on the east, by Cambodia on the south, and by Thailand and Myanmar on the west. The capital and largest city is Vientiane. The country is divided into 16 provinces.

 Land and People

In general, the Mekong River, most of which flows in a broad valley, forms the boundaries with Myanmar and Thailand. For two stretches, however—one greater than 300 mi (480 km)—the Mekong flows entirely through the territory of Laos. Except for the Mekong lowlands and three major plateaus, the terrain of Laos is rugged, mountainous, and heavily forested; jagged crests in the north tower over 9,000 ft (2,740 m). In addition to the capital, important cities include Savannaket, Pakse, and Luang Phabang (the former royal capital).
Laos is one of the regions of SE Asia least touched by modern civilization. There are no railroads; roads and trails are limited; and use of the country's main communications artery, the Mekong River, is impeded by many falls and rapids. More than half the people live along the Mekong and its tributaries, and most are subsistence farmers. There is also a small class of prosperous urban elite drawn from French colonial days and the Communist bureaucracy. Health care facilities are poor, and the illiteracy rate is high.
About two thirds of the population are Lao Loum, a people ethnically related to the Thai, who live along the Mekong River valley. The Lao Theung or Mountain Mon Khmer (about 22% of the population) generally reside in upland valleys. Highland groups include the Hmong (Meo), Yao (Mien), Black Thai, Dao, and several Tibeto-Burman speaking peoples. There are also important minorities of Vietnamese and Chinese. A majority of Laotians are Theravada Buddhists; although the mountain peoples are generally animists, some have adopted Buddhism. Lao is the official language; French and English are also widely spoken.

Economy

Laos is one of the world's poorest nations. Agriculture employs most of the Laotian workforce and accounts for over 50% of its gross domestic product. Rice is by far the chief crop; corn, sweet potatoes, and vegetables are also grown. Commercial crops include coffee, tobacco, sugarcane, and cotton. Illegal opium and cannabis were long produced in a northwest region bordering Thailand and Myanmar, part of the “Golden Triangle,” but production there was largely eradicated by 2005. Fish from the rivers supplement the diet. Forests cover over half of the country; teak is cut and lac is extracted, but poor transportation and the lack of industry limit production. Although tin is mined, mineral resources, which also include gypsum, gold, and gemstones, are largely undeveloped.
Laos also has a massive hydroelectric potential and, despite a relative lack of development, electricity is a prime export. The other principal exports of Laos are timber and wood products, tin, textiles and garments, and coffee. Since most manufactured items have to be imported, there is a continuing foreign trade deficit. Leading trade partners are Thailand, Vietnam, and Japan. In an attempt to expand the nation's economy, a foreign investment law was passed in 1989; the statute was further liberalized in 1994.

History

Early History to Independence
The Laotians are descendants of Thai tribes that were pushed southward from Yunnan, China, in the 13th cent. and gradually infiltrated the territory of the Khmer Empire. In the mid-14th cent. a powerful kingdom called Lan Xang was founded in Laos by Fa Ngoun (1353–73), who is also credited with the introduction of Theravada Buddhism and much of Khmer civilization into Laos. Lan Xang waged intermittent wars with the Khmer, Burmese, Vietnamese, and Thai, and by the 17th cent. it held sway over sections of Yunnan, China, of S Myanmar, of the Vietnamese and Cambodian plateaus, and large stretches of N Thailand. In 1707, however, internal dissensions brought about a split of Lan Xang into two kingdoms: Luang Phabang in upper (northern) Laos and Vientiane in lower (southern) Laos. During the next century the two states, constantly quarreling, were overrun by the armies of neighboring countries.
In the early 19th cent. Siam was dominant over the two Laotian kingdoms, although Siamese claims were disputed by Annam. After French explorations in the late 19th cent. Siam was forced (1893) to recognize a French protectorate over Laos, which was incorporated into the union of Indochina. During World War II, Laos was gradually occupied by the Japanese, who in 1945 persuaded the king of Luang Phabang to declare the country's independence.
In 1946 the French reestablished dominion over Laos, recognizing the king as constitutional monarch of the entire country. The French granted an increasing measure of self-government, and in 1949 Laos became a semiautonomous state within the French Union. In 1951, a Communist Laotian nationalist movement, the Pathet Lao, was formed by Prince Souphanouvong in North Vietnam. In 1953, Pathet Lao guerrillas accompanied a Viet Minh invasion of Laos from Vietnam and established a government at Samneua in N Laos. That year Laos attained full sovereignty; admission into the United Nations came in 1955.