Laos Rwanda

Updated 2026-02-25

Laos

Minimum Wage

₭10,417 /hr

$0.48 USD

Avg. Gross Salary

₭4,000,000 /mo

Rwanda

Minimum Wage

FRw14.08 /hr

$0.01 USD

Avg. Gross Salary

FRw73,948 /mo

Min wage: +4920% Laos vs Rwanda Avg. salary: +267% Laos vs Rwanda

The minimum wage in Laos is roughly 50 times higher than in Rwanda in USD terms, reflecting the gap between a lower-middle-income and a low-income economy. Average gross salaries diverge further: $186/mo in Laos versus $51/mo in Rwanda, a 3.7:1 ratio. GDP per capita (PPP) in Laos is 2.6x that of Rwanda, underscoring the structural economic divide.

From Laos' perspective: adjusting for purchasing power, Laos' minimum wage buys more than Rwanda's. The PPP-adjusted hourly rate in Laos is $2 international dollars, compared to $0 in Rwanda. Laos has higher GDP per capita ($9,776 vs $3,711). Laos' unemployment rate is 1.2% compared to Rwanda's 11.4%.

Detailed Comparison

Detailed wage comparison between Laos and Rwanda
Metric	Laos	Rwanda	Diff
Minimum wage /hr	₭10,417 $0.48	FRw14.08 $0.01	+4920.5%
Minimum wage /mo	₭2,500,000 $116.12	FRw2,440 $1.67	+6852.7%
Avg. gross salary /mo	₭4,000,000 /mo $185.79	FRw73,948 /mo $50.61	+267.1%
Avg. net salary /mo	₭3,600,000 /mo $167.21	FRw62,000 /mo $42.44	+294.0%
Median individual income /yr	₭18,000,000 /yr $836.04	FRw240,000 /yr $164.27	+408.9%

Percentage differences are based on USD equivalent values. Positive means Laos is higher.

Work Week

Laos: 48 hrs/wk standard

Max 48 hrs/wk

Overtime : 1.5x pay

Standard workweek is 48 hours (8 hours/day, 6 days/week). Workers in dangerous conditions are limited to 6 hours/day or 36 hours/week. Overtime is limited to 45 hours/month or 3 hours/day. Overtime compensation: 1.5x regular rate on normal days, 2.5x on weekly rest days during daytime, 3x on rest days at night. Governed by the Labour Law.
Rwanda: 45 hrs/wk standard

Max 55 hrs/wk

Overtime : 1.5x pay

Standard workweek is 45 hours per Law No. 66/2018 Regulating Labor in Rwanda. Overtime limited to 2 hours/day and 10 hours/week (max 55 hours total). Overtime permitted for urgent, exceptional, or seasonal work. Overtime compensation varies by sector agreement. Daily working hours typically 9 hours over 5 days.

What This Means for Workers

A minimum wage worker moving from Rwanda to Laos would see a 4920% increase in USD-equivalent hourly earnings. Standard work weeks differ: Laos mandates 48 hours while Rwanda mandates 45 hours. A minimum wage worker's weekly earnings in Laos are $23 vs $0 in Rwanda.

See this comparison from Rwanda's perspective: Rwanda vs Laos

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Frequently Asked Questions

Is the minimum wage higher in Laos or Rwanda?

In Laos, the minimum wage is ₭10,417/hr ($0.48 USD). In Rwanda, it is FRw14.08/hr ($0.01 USD). Laos has the higher rate by 4920% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Rwanda may retain a larger share of their earnings if prices there are lower.

How much more does the average worker earn in Laos compared to Rwanda?

The average gross salary in Laos is ₭4,000,000/mo ($185.79 USD), compared to FRw73,948/mo ($50.61 USD) in Rwanda. In USD terms, workers in Laos earn approximately 267% more. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Laos and Rwanda is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Laos earn more in nominal terms, though how far that income stretches depends on local prices in Rwanda.

Which country has better purchasing power for minimum wage workers, Laos or Rwanda?

After adjusting for local prices using purchasing power parity (PPP), minimum wage workers in Laos can afford more than those in Rwanda. The PPP-adjusted rate is $2 in Laos and $0 in Rwanda. PPP converts wages into equivalent US dollar buying power, accounting for what a unit of currency actually buys locally. The 5896% purchasing power gap means that even if the nominal wage in Rwanda appears competitive, minimum wage workers there face greater constraints on day-to-day spending.

How do work hours compare between Laos and Rwanda?

Laos has a longer standard work week at 48 hours, compared to 45 hours in Rwanda. Workers in Laos work 48 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Rwanda working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.

What is the cost of living difference between Laos and Rwanda?

While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Laos has the higher GDP per capita at $9,776, which is 2.6x that of Rwanda at $3,711. From Laos' perspective, this means goods and services are priced at a higher economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.