VLV microfinance eyeing SME financial services
VLV microfinance eyeing SME financial services
VLV Non-Deposit Taking Microfinance Institution is set to provide financial services to various business customers, especially small and medium enterprises (SMEs) in a bid to boost economic growth.
Speaking at the institution's opening ceremony yesterday VLV Managing Director, Mr Vanthakone Dejvongsa said it was targeting to provide 5 billion kip in loans during its first year of operations.
�We actually have a plan to expand to at least three service units within our third year of service in Laos. In addition, we hope domestic households will be able to access all forms of our financial services,� he said.
He also added the institution not only intended to back steady socio-economic development growth in Laos but would also help people avoid illegal lenders' exorbitant interest rates.
Meanwhile, the Bank of the Lao PDR's Financial Institution Supervision Department, Director General Dr Akhom Praseuth said the institution would play a significant role in Laos' socio-economic development.
�I am very glad to see many Lao businesspeople joining hands in establishing the VLV institution with the aim of providing financial services, and I'm quite confident these experienced financial providers will be able to achieve their goals,� he said.
Dr Akhom also advised that VLV's management board was required to strictly implement its business operations in accordance with the laws regulations.
�In addition, VLV staff must also give the right advice to customers ensuring the money they borrow from your institution will produce great success for their businesses as well,� he stressed.
According to Dr Akhom, Laos had 172 financial institutions throughout the country that were registered with the BOL including 59 non-deposit taking microfinance institutions.
Xaysettha district alone has 29 institutions, and located in Nongbone village VLV is the 10th non-deposit taking microfinance institution of the district.
The opening ceremony was also attended by Minister of Labour and Social Welfare Dr Khampheng Saysompheng, and other invited guests.
