Inflation in Laos dropped to 11.2 percent in March, down from 12.7 percent in February, according to the latest report from the Lao Statistics Bureau.

The highest price rise in March was recorded in the cost of housing, water, electricity and gas category, which stood at 28.6 percent, according to the report on Friday.

This was followed by the cost of medical care and medicines category at 21.4 percent, the household goods category at 19.1 percent, and the education category at 18.1 percent.

The decline in the inflation rate is attributed to several factors, including a stable supply of agricultural products and improved exchange rate stability, according to the report.

The Lao central bank, the Bank of the Lao PDR (BOL), is set to intensify efforts to address pressing economic and financial challenges to achieve a single-digit inflation rate within 2025.