Laos 1990: Socialism Postponed but Leadership Intact

Abstract

In 1990 Laos underwent significant change, both in internal and external affairs. Although the revolutionary changes of the communist systems in Eastern Europe and the Soviet Union were not duplicated in Laos, its political and economic systems were marked by them. However, the veteran communist leadership in Laos remained in control ? probably the longest-serving remaining communist leadership in the world. On the domestic scene, the trend towards liberalization continued, with advances more marked in the economic than the political sphere. Market incentives were emphasized. Attempts were continued to decentralize responsibility for government economic enterprise. Private investment and joint ventures were encouraged. Per haps the reform welcomed most by the Lao was the abandonment of agricultural collectives in favour of family-run farms. Although the Communist Party retained unchallenged control, both political freedom and participation were enlarged. A draft constitution, absent since the founding of the Lao People's Democratic Republic (LPDR) in 1975, was published, with the possibility of its promulgation in 1991. Party and government spokesmen seemed more willing than previously to acknow ledge their errors in attempting to achieve socialism too rapidly. Lao citizens were permitted to move about their country more freely, and even to cross the Mekong River to Thailand with fewer impediments. In external affairs, the most signficant change was the diminution of Vietnamese political and military presence and control. Concurrently, Lao relations with its southern neighbour, Thailand improved notably, and there was a moderate warm ing of relations with its northern neighbour, China. As the transformation of the Soviet Union and Eastern Europe proceeded, Laos was obliged to rely less on the Soviet Union, its former primary donor of economic assistance. In addition, Lao relations improved with France, the European Community, and the United States.