BCEL teams up with int'l financial consulting company
BCEL teams up with int'l financial consulting company
Banque pour le Commerce Exterieur Lao Public (BCEL) and Ernst and Young Lao Limited Company on Monday reached an agreement on the BASEL II Assessment Project for the provision of technical consultancy to BCEL.
Basel II is a set of international banking regulations put forth by the Basel Committee on bank supervision, which leveled the international financial regulation field with uniform rules and guidelines.
The goal of the project covers various important frameworks related to capacity building for BCEL to apply BASEL II standards. For example, the project will assess BCEL's current financial status, evaluate and prepare the bank's regulatory readiness and assist with risk management and staff training in accordance with BASEL II regulations.
The technical assistance for the BASEL II Diagnostics was signed by BCEL's General Managing Director, Mr Phoukhong Chanthachack, and Leader of Financial Services for Ernst and Young Laos, Cambodia and Vietnam, Ms Duong Nguyen.
According to the bank, the technical assistance for the BASEL II Diagnostic Project will be implemented and completed within 12 months after signing the contract.
Speaking at the signing ceremony, BCEL's General Managing Director, Mr Phoukhong Chanthachack, said The decision to upgrade from BASEL I t o BASEL II is an outstanding decision for BCEL, which will help close the gap with international standards.
He claimed the project will be beneficial for BCEL because the bank wil l meet the Minimum Capital Requirement imposed by the BASEL II regulations, which will safeguard BCEL from insolvency and increase the reliability of BCEL's financial status.
In addition, the bank will focus on risk management analysis in all areas of the bank's business performance.
This will support the bank in maximising its business performance capacity and reduce potential risks, he said, adding that the move to achieve international standards will prepare the bank for Asean Financial Integration.
The agreement is also aimed at achieving the vision of BCEL to become a modernised bank that meets international standards, Mr Phoukhong reiterated in his speech.
Ms Duong Nguyen also congratulated BCEL for the implementation of the project and believes that the measures will help to recognise and encourage developments in risk management and supervisory practices.
With the enormous experience of Ernst and Young in providing BASEL II consultation services to many leading banks in Vietnam, as well as to other banks in Laos and the surrounding region, we are confident that the project will be successful, she said.
Deputy Governor of the Bank of the Lao PDR, Mr Sonexay Sithphaxay, Chairman of BCEL's Board of Directors, Dr Bounleua Sinxayvolavong, CEO of Lao Securities Exchange, Mr Vankham Voravong and other guests witnessed the signing ceremony.
