(KPL) The Lao government has confirmed that it is giving full support to domestic and foreign investors who want to operate banks in Laos. This was said by Mr Phouphet Khamphounvong, the governor of the Bank of the Lao PDR in Vientiane yesterday.

The ACLEDA Bank Lao Ltd, which was named as a private bank, was officially opened on 8 July 2008 in Vientiane. Hundreds of representatives from state bodies and private organisations attended the opening ceremony
Mr Phouphet Khamphounvong, the Governor of the Bank of the Lao PDR, and Mr Vann Saroen, General Manager & CEO of the ACLEDA Bank Lao Ltd., were present at this occasion.

Mr Vann Saroen said that the ACLEDA Bank Lao was the first commercial bank from Cambodia to operate in the Lao PDR. It has a registered capital of 100 billion kip and its four shareholders are: the ACLEDA Bank Lao Plc, Cambodia, holding 47.50% shares, FMO, the Netherlands, holding 30% shares, Triodos-Doen, the Netherlands, holding 11.25% shares, and Triodos Fair Share Fund, the Netherlands, holding 11.25% shares

He said his newly opened bank would provide loans to micro, small and medium entrepreneurs who had the capability to manage their financial resources effectively and in doing so improve the quality of their lives.

By achieving these goals, “we will ensure a sustainable and growing benefit to our shareholders, our staff and the community at large. We will observe at all times the highest principles of ethical behaviour” he said. He added that the ACLEDA Bank Lao was planning to expand to other provinces of Laos, Savannakhet and Champassak provinces. Mr Phoupheth Khamphounvong, the governor of the Bank of the Lao PDR, who was also at the press conference, said that the Lao government had a clear policy regarding the promotion of domestic and foreign investors in banking to invest in Laos, with minimum conditions as long as they demonstrate genuine willingness in mutual cooperation.

He said that last year the Lao government allowed the Phongsavanh Bank to invest in Laos as it is supportive of the government’s Poverty Eradication Plan. This bank is paying special attention to providing loans at reasonable rates for farmers and this will result in the reduction of poverty of local people.He explained that he was adopting an open door or a non-stop green light policy for investors in the banking sector in Laos because this will make the country more competitive.

The ACLEDA Bank Lao is offering a full range of commercial and retail banking services to customers from “family businesses,” small and medium enterprises to corporations.

The bank will offer other services such as saving account, current account, fixed deposits, local fund transfer, money exchange, trade finance, overseas fund transfer, traveller cheques and payroll services.