Congestion in Laos' capital of Vientiane worsened in the wake of increasing vehicle ownership, with more than one registered motor vehicle per two citizens, according to local media.

Statistics from the Vientiane Public Works and Transport Department showed that the number of registered vehicles in Vientiane stood at 577,891, while Vientiane's total population is approximately 850,000.

A total of 39,300 cars and 2,492 motorbikes were registered this year between January and July alone. 6,225 vehicles were registered in July with an average of over 5,000 vehicles being registered monthly.

A Lao official, who was quoted in local media, attributed the increase in vehicle ownership to an improving economic landscape and thereby increased purchasing power in the population.

"Our short term plan to tackle traffic jams is to increase the number of traffic police," Vientiane Vice Mayor Keophilavanh Amphaylath told state-run newspaper Vientiane Times earlier this year. Other short-term solutions suggested involved banning people from parking along busy streets or stopping heavy trucks from entering the city center during rush hour.

Keophilavanh also said that improved public transport and car parks were being considered by the city and that media cooperation would be useful in spreading awareness of the need to adhere to new regulations.

According to state-run newspaper KPL, many major motorways are already being upgraded in order to reduce congestion, which can be particularly devastating during daily rush hours.

In order to combat increasing infrastructure costs of the growing country, Lao government is considering an adjustment to excise tax levied at vehicles, which coincided with Laos' commitments to ASEAN Economic Community, ASEAN Free Trade Area and the World Trade Organization.

The Lao Ministry of Finance has been quick to quell concerns that a new tax system would adversely affect buyers in the region, adding that vehicle prices would not change under a new system. Endi

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