Sacombank sets up subsidiary in Laos

18:04 | 02/04/2015

VGP – Governor of the State Bank of Viet Nam (SBV) Nguyen Van Binh has approved the Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) to upgrade its branch in Laos to a subsidiary wholly owned by Sacombank.

The new bank, named Sai Gon Thuong Tin Bank Lao Ltd. (Sacombank Lao), will be headquartered in Vientiane’s Hengboun Street, holding charter capital of US$39 million.

 

Sacombank is obliged to complete the opening of the Lao subsidiary’s operations within 24 months of the SBV’s approval.

 

The bank will be part of the transformation of the existing branch of Sacombank in Laos, which was opened in late 2008.

 

Under Laos’ regulations, foreign banks are allowed to establish a wholly-owned subsidiary bank only after a year of its branch being operational in Laos.

 

Sacombank was among Viet Nam’s first banks to do business in Laos. The other Vietnamese banks operating in Laos include Vietcombank, BIDV, Vietinbank, and Sai Gon Ha Noi Bank (SHB).

 

                                                                                                                                  By Vien Nhu