Laos-China Railway
The Laos-China Railway is a 414-kilometer railway line that connects the capital city of Laos, Vientiane, to the Chinese border.
It is part of China's Belt and Road Initiative. It is expected to help economic development in Laos. It may improve transport of goods between Laos and China. The railway project began in 2016 and was opened in 2021. The line runs between Boten, on the Chinese border and Vientiane. As of 2023 there are no passenger services across the border. As to freight: In the first two and a half months of operation, about 500.000 t of goods were transported, about 100.000 t were transported across the border. Laos is a poor country, and could only cover 30% of the construction costs. China paid the remaining 70%.This debt accounts for about 80% of Laos' Gross domestic product. Estimates are that the interest for the Chinese loan make up about 20% of Laos' yearly expenses. Nevertheless, Laos says that the line is good for the economy, because transporting goods has become much easier, and cheaper.