Laos speeds up ATM service integration
Laos speeds up ATM service integration
The banking sector in Laos is speeding up the process of launching ATM pool system integration after seeing many Asean and other countries' banks having already implemented similar services.
Banque pour le Commerce Exterieur Lao Public (BCEL)'s General Managing Director, Mr Vanhkham Voravong, said on Thursday that it expects to complete the integration of the ATM pool system with seven banks within the next year, allowing customers of each bank to use the others' machines.
Banks to be part of the ATM network inc lude BCEL, Lao Development Bank (LDB), Agricultural Promotion Bank (APB), Lao Viet Bank (LVB), Joint Development Bank (JDB), ST Bank Co. Ltd (STB), Indochina Bank Ltd and Banque Franco-Lao Ltd.
Currently thr ee banks' have their ATMs integrated. Card users of BCEL, APB and LVB can use the services of any of their respective ATMs as the systems of all three banks are integrated.
BCEL launched the ATM pool system with LVB last September and with APB early this month.
Mr Vanhkham said BCEL will officially launch the ATM pool system with another three banks soon; LDB, JDB and STB who are undergoing IT system improvements now.
“We expect that the ATM pool system integration with LDB will conduct a test launch next month,” Mr Vanhkham said.
The network integration project is a service preparation readying the Lao banking sector for the Asean Economic Community (AEC) which comes into being in 2015.
Mr Vanhkham said currently many countries have used such service system integration. These include many Asean countries such as Thailand, Vietnam, Singapore, Philippines and Indonesia.
Currently there are more than 30 banks in Laos, including representative banks from overseas.
BCEL signed a memorandum of understanding with seven domestic banks regarding the development of an ATM pool system on November 23, 2012.
“So the eight banks will be the preliminary group to launch the integration of the ATM pool system,” Mr Vanhkham said.
“Currently some other banks have expressed their interest in the project.”
The integration will provide clients with more convenient services, allow the banks to retain more cash and allow customers to access it when needed, attracting more card use.
The ATM integration certifies that banks have upgraded their core banking systems and electronic card services.
The pool system will create a centralised ATM network, cutting unnecessary costs and saving time for customers as they will no longer have to seek out the ATM of a particular bank. The system will also help maintain an appropriate level of cash flow in keeping with real needs.
The system reflects the strong ties between the banks that together are trying to simplify their services for customers, thereby increasing satisfaction with domestic banks.
The ultimate aim is to provide convenience to ATM card users and engender pride in Lao banks.
Many bank customers use ATM cards for their convenience but the number of ATMs is inadequate to meet demand.
The banks see that in some significant business areas and communities clients have to queue up to access ATMs.
ATM integration should be able to remove the delays and customers may be prepared to pay a small fee to get quick service.
The banks believe the system will not only provide more options for clients but also provide incentives to participating banks.
The wider the system the higher customer satisfaction would be. This will also boost the banking business and increase the competitiveness of domestic banks.
vientiane times
