ACLEDA bank eyes expansion in northern Laos
ACLEDA bank eyes expansion in northern Laos
ACLEDA Bank Lao Ltd expects to launch additional service offices in four northern provinces within the next few months, after already opening service units in the provinces of Luang Prabang and Bokeo.
The new service offices will be in the provinces of Xayaboury, Xieng Khuang, Oudomxay and Luang Namtha.
The bank's CEO and Managing Director, Mr Narin Phon, said in an interview at a Pi Mai Lao ceremony recently that the bank will open an office in Xayaboury next month.
Mr Narin said the Xieng Khuang office building is now under renovation and they plan to open that service unit in May, while the Oudomxay building is being redecorated and will start offering services soon.
Currently the bank has 31 offices, including both service units and branches, in the central and southern provinces and Vientiane. “We will have 40 offices by August,” Mr Narin said.
“Now we have 632 staff and plan to have 894 by the end of this year. We are also training about 40 people, who will become new staff at the bank.”
The bank expects to spend almost 64 billion kip (US$8 million) on opening more service units and branches as well as ATMs in both Vientiane and the provinces, and plans to employ about 300 additional staff this year. Installing the IT systems and ATMs alone is expected to cost over 16 billion kip (US$2 million).
By the end of 2012, the bank had 590 employees working at 28 service offices in Vientiane and the provinces, including the country headquarters.
The bank now has a total capital of 220 billion kip and plans to have total capital of 300 billion kip by October next year to meet customers' needs and comply with government policy.
Laos currently has 33 banks, with the sector having grown rapidly in recent years, according to Laos' central bank, the Bank of the Lao PDR (BOL).
Many banks have improved their services while others are still in need of improvement. The banking sector is rapidly upgrading services to international standards, to enable them to compete with overseas banks.
BOL Deputy Governor Mr Sonexay Sithphaxay said recently this development is necessary because Laos is now a member of the World Trade Organisation (WTO) and will become part of the Asean Economic Community (AEC) in 2015 as the region furthers economic integration.
ACLEDA Bank Lao Ltd opened for business in July 2008. It was the first Cambodia-based commercial bank to operate in Laos. Its shareholders comprise ACLEDA Bank Plc (Cambodia), International Finance Corporation (World Bank Group) and the Netherlands' Development Finance Company, Triodos-Doen and Triodos Fair Share Fund.
vientiane times
