Vietnam-Lao joint venture

Vietnam-Lao joint venture

HANOI (AFP): The central banks of Vietnam and Laos have signed a contract to create a joint venture bank in the Laotian capital of Vientiane, the State Bank of Vietnam said Wednesday.

State-owned Vietnam Bank for Development and Investment has teamed up with the Lao Foreign Trade Bank to create the bank which will be capitalized at US$10 million, an official said.

The accord to establish the Lao Vietnam Bank (LVB) was signed here Tuesday between Vietnam's deputy central bank governor Le Duc Thuy and Lao central bank deputy governor Phouphet Kham Phounvong.

The joint venture must await licensing from Lao authorities, an official from the governor's office of the State Bank of Vietnam said.

The creation of the new bank comes during a period of restructuring in the Lao banking sector.