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Travel & Leisure

New railway from China boosts tourism in Laos' ancient capital

Sector is on the rise, but high inflation is threatening economic recovery

Luang Prabang, the historic royal capital and spiritual heartland of Laos, is a prime tourist destination in the Southeast Asian nation. (Photo by Kenya Akama)

LUANG PRABANG, Laos -- In the scenic ancient capital of Luang Prabang, tucked away in the northern part of Laos, the local tourism industry is seeing a significant upswing thanks to an influx of Chinese tourists following the full opening of a cross-border railway in April 2023.

This railway, a pivotal link between China and Laos, has catalyzed a surge in visitors eager to explore the city's rich cultural and architectural heritage and picturesque temples. But this boon to tourism, crucial for the local economy, is juxtaposed with the challenge of rising inflation, posing a substantial hurdle to Laos' broader economic recovery.

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