Papua New Guinea’s Bank South Pacific (BSP) plans to finalize the acquisition of its joint-venture business in Laos worth about USD 2 million.
The new business, which will be called BSP Leasing, will focus on the asset finance business in Laos.
It is not 100 percent clear when the acquisition will be completed, but BSP Chief Executive Officer Robin Fleming said it is “one of the key objectives for the bank this year.”
BSP’s move came after the company witnessed a success with its business in Cambodia where the company made a profit of USD 2.6 million last year.
Bank South Pacific currently enjoys finance businesses in Papua New Guinea, Fiji, the Solomon Islands, and Cambodia.
“It’s a small level of asset finance in those particular countries,” Mr. Robin told a local newspaper The National. “But in the sub-sector, we operate in Cambodia, we have the largest portfolio of USD 50 million recognized by finance companies from multi-million to small enterprise businesses, and then you get the larger banks.”
Mr. Robin also said the company will be spending USD 123 million over the course of the five-year period on the new banking system in every country where BSP operates, without providing further details.