Agro-Bank improves service through electronic transactions

(KPL) The Agricultural Promotion Bank (APB) has joined the Lao Central Payment Network (LCPN) aiming at improving international service and providing electronic transactions.

An MOU to the connection was signed at the APB on 25 August, between Director General of the APB, Mr. Bouangeun Phongsavath and Chairman of the LCPN, Mr. Arnold Khoo.

The APB is one of the three state-run banks of Laos and the oldest one in Laos, which was established in 1993. The APB is a development bank focussing on loan release to the agricultural sector, handicraft and processing activities in Laos. It has developed a universal presence throughout Laos with over 70 representative offices, said the Director General of the APB, Mr. Bouangeun.

Since 2007, the Lao government has approved a new vision of the APB of business operation in line with market-oriented mechanism. The bank is financially self-sufficient and contributes to socio-economic development and poverty reduction in Laos.

In the first seven months of this year, 1,413 billion kip has been loaned and its asset totalled 1,783 billion kip. The majority of customers are farmers, he said. The APB always tries to improve its customer service and provide electronic transactions.

He added that the APB looks forward to the support of the Bank of the Lao PDR and the LCPN.

Mr. Bouangeun said that joining the LCPN allowed us to focus on our core business of banking and essentially outsource elements of technology, which is industrial practice in more developed banking countries. This project will be implementing in 2011.

Mr. Khoo, Chairman of the LCPN, said this is a historic day for Laos and for the LCPN. It means that both organisations can begin to help a widespread cashless transaction in Laos from now on. As a network, the more the number of member banks, the greater benefit to society, and we look forward to many more banks following the footstep of the APB in joining the LCPN.

The APB is one of the state-run banks of Laos in joining with the LCPN and this is a landmark of development in customer service to be as competitive as international companies.

We believe that the collaboration with other banks in Laos through the LCPN will help build a stronger financial sector and will benefit Laos.

The LCPN is the central electronic network for Laos, which provides the service of clearing electronic transactions including: debit, credit, ATMs, and also providing clearing services to banks and other financial institutions.

back