Naung Tung Lake sits at the western edge of the old town, ringed by pagodas and shaded by trees. In the early morning, monks from nearby monasteries take their alms-gathering routes around the lake's edge, and local families come to feed fish in the shallows — the fish are considered sacred and are not harmed. The lake is a pleasant place to sit, watch the light change on the water, and observe the rhythms of daily life in Kengtung.
A paved path runs most of the way around the lake, passing small shrines and offering fine views back across the town toward the hills beyond. A cluster of tea shops near the lakeside is a good spot for a bowl of mohinga or sweet milk tea in the morning.