On 6 October, the Bank of Laos (BOL) officially partnered with 11 commercial banks to launch the Lao Foreign Exchange Market Company Limited, an initiative aimed at enhancing foreign exchange services, streamlining currency exchange processes, and improving public access to these services.
The participating banks include Banque Pour Le Commerce Extérieur Lao Public (BCEL), Agricultural Promotion Bank, ST Bank, BIC Bank, Joint Development Bank, Lao-Viet Bank, Lao Development Bank, Indochina Bank, Banque Franco-Lao, Phongsavanh Bank, and Maruhan Japan Bank Laos.
According to local reports, the Lao Foreign Exchange Market Company Limited is expected to be fully operational by the end of October. Services will be accessible online through mobile applications and websites, reflecting the growing demand since the platform’s soft launch.
Initially, the market will focus on facilitating transactions involving the US dollar, Thai baht, and Chinese yuan. At this stage, only spot buying and selling transactions will be allowed, with no cross-currency exchanges. This gradual rollout will ensure that the system runs smoothly while accommodating future expansions.
This recent development builds on efforts made earlier in August, when 15 banks signed an agreement to establish a foreign exchange market and integrate it into their banking systems.
Fongchinda Sengsoulivong, Deputy Director General of the Monetary Policy Department, highlighted the progress made so far. By 22 August, seven banks, including BCEL, Agricultural Promotion Bank, BIC Bank, Joint Development Bank, Lao Development Bank, Lao-Viet Bank, and ST Bank, had already begun offering foreign exchange services through their mobile platforms.
