BANGKOK, July 7 (TNA) - The Stock Exchange of Thailand (SET) on Monday inked an agreement with the central bank of Laos (Bank of Lao) to provide training to assist the socialist country open a stock market, according to SET chairman Pakorn Malakul Na Ayudhya.
Under an earlier agreement, South Korea's stock exchange will be assigned to develop an electronic quotation system as it will be allowed to hold 51 per cent of the Lao bourse, a stake worth about US$10 million, while the Laos side will hold the remainder of the shares.
The Lao Peoples Democratic Republic is a new player on the international financial scene, with the Bank of Lao itself only having been established in 1990.
The Thai-Lao agreement would allow the SET and Bank of Lao to exchange information and for SET to provide knowledge on bourse operations to Laos, Mr. Pakorn said.
Firms with joint investments between the two countries may be allowed to list on both bourses, he said.
Meanwhile, Bank of Lao PDR governor Phouphet Khamphounvong said trading over the counter would begin later this year with shares from the state-owned power firm, a telecom and the Bank of Lao on offer.
The Lao bourse will officially open in October 2010, Mr. Phouphet said. (TNA)
