Cost of living in Laos

The cost of living in Laos is fairly affordable for most expats. Although expenses can vary depending on lifestyle, generally Laos prices are similar to or slightly lower than in Thailand and higher than in nearby Cambodia and Vietnam. With 80 percent of Laotians living modestly as farmworkers, the typical expat lifestyle is comparatively lavish.

Laos is a landlocked and largely unindustrialised country, so imported and luxury products go for a premium. Although local produce and basic amenities are cheap, you may be surprised at the cost of internet access, some foods, and high-quality accommodation.

Cost of accommodation in Laos

Given the low population density in Laos, it's not surprising that the price of accommodation throughout the country is largely affordable. That said, the price increases in popular destinations like Vientiane and Luang Prabang, especially in the city centres.

The quality of accommodation in Laos varies, but housing with adequate amenities and utilities is available, although you may need to search carefully. We recommend hiring a real-estate agent who is familiar with the local accommodation market and has experience working with expats.

Renting Expat Accommodation in Laos

Cost of transport in Laos

Although rough roads generally make bus trips uncomfortable and lengthy, buses are the most widely used and affordable type of transport in Laos. Travelling via boat on the country’s many waterways is also a common and cheap, if somewhat adventurous, mode of transport.

Taxis and tuk-tuks are abundant and fairly affordable, while costly domestic air travel is available for longer hauls. The Boten-Vientiane railway presents a more cost-effective alternative to air travel, although tickets can be hard to come by on short notice.

Driving in Laos can be risky and expensive, and many expats choose to hire a personal driver. If you do decide to drive, a four-wheel-drive vehicle and comprehensive insurance are essential.

Getting Around in Laos

Cost of groceries in Laos

In Laos, basic grocery staples like fruit, vegetables, meat, fish, and milk are widely accessible and largely inexpensive. Shopping for fresh produce at local markets is a good way to cut down on grocery costs. Imported goods, on the other hand, are only available at certain supermarkets, usually at eye-watering prices.

Cost of entertainment and eating out in Laos

Laos's stunning natural landscape and beautiful culture offers plenty of affordable or free outdoor activities. You can go hiking, cycling, rock climbing or swimming at next to no cost. It’s also possible to explore the country's many temples, river viewpoints, and elephant sanctuaries fairly cheaply. Art and music lovers can also purchase film, theatre and concert tickets at reasonable prices.

Lao cuisine is influenced by Indian and Chinese food, and Laos is known for its trifecta of sticky rice, larb (a spicy meat salad) and green papaya salad. These authentic, affordable Lao foods are readily available at markets and restaurants across the country. In Vientiane and Luang Prabang, various upmarket French and European restaurants cater to the tourist population, although eating at these establishments can be pricey.

Cost of education in Laos

Public education in Laos is free, but the standard may be lower than what most expats are willing to accept. In addition to this, the language of teaching is Lao, making private or international schooling all but a necessity.

International schools in Vientiane offer a higher standard of education, but at elevated costs. If you are relocating for work, it’s a good idea to try to negotiate educational costs into your contract.

Education and Schools in Laos

Cost of healthcare in Laos

Public healthcare in Laos is considered significantly underdeveloped. The government plans to introduce universal healthcare, but quality facilities and care are generally scarce. As such, private health insurance that offers medical evacuation to a nearby country, such as Thailand, is strongly recommended.

Try to ensure that your employer includes private health insurance in your package, as costs can be high.

Healthcare in Laos