The Bank of the Lao PDR has announced that LAK 1 trillion in special bonds* will be available for people in Laos to purchase starting Monday, 9 January.
A notice issued by the Bank of the Lao PDR states that the second portion of a LAK 1 trillion (approximately USD 59 million) bond will have a 6-month maturity and a one-time non-transferable interest payment rate of 20 percent per year.
The bond will be scripless, issued directly as a “BOL Bill Certificate” from the representative banks to distribute to the holders.
The bond will be distributed to seven representative banks from the Bank of the Lao PDR including Banque Pour Le Commerce Exterieur Lao Public, Lao Development Bank, Agriculture Promotion Bank, LaoViet Bank, Joint Development Bank, Industrial, Commercial Bank of China, and BIC Bank.
Individuals and legal entities residing in Laos for one year and more will be eligible to purchase the bonds, except for commercial banks and depository financial institutions.
The minimum bond issue amount is LAK 100,000, and individuals may purchase up to LAK 2,000,000,000 (LAK 2 billion) and legal entities up to LAK 10,000,000,000 (LAK 10 billion).
The central bank of Laos PDR issued LAK 5 trillion in savings bonds to individuals and legal entities residing in the Lao PDR in 2022.
*Laotian Times has been instructed by BOL to refer to the bonds as “BOL Bonds”.