Pursuant to Instruction No.666/PSD dated 24 August 2021 on Providing Electronic Money Services ("Instruction"), the Payment Systems Department of Bank of Lao PDR ("BOL") issued on 8 February 2022 Notice No.134/PSD on Opening a Guarantee Account for Electronic Money Services ("Trust Account") ("Notice"). The Notice replaces Notice No.537/PSD dated 16 July 2020. The Notice requires non-commercial bank electronic money providers to open a Trust Account with a commercial bank for the purpose of depositing a sum of money which will serve as a collateral for electronic money issuance as specified in the Instruction.
The Notice sets out the following guidelines on opening a trust account:
- A non-commercial bank electronic money provider must open a Trust Account (account number 2131160) ("new Trust Account") with a commercial bank pursuant to Notice No.133/PSD on Adding an Account Number Associated with Providing Electronic Money Services, for the above-stated purpose and the Instruction.
- The interest earned from the new Trust Account must not be added to the Trust Account. The non-commercial bank electronic money provider holding the savings account which is newly opened shall certify such interest.
- A non-commercial bank electronic money service provider which opened a Current Account-type Trust Account before the issuance of the Notice must close such Trust Account by transferring the money therein to the new Trust Account. This must be reported to BOL in writing within February 2022.
- A non-bank electronic money service provider which opened a Fixed/Term Deposit Account-type Trust Account before the issuance of the Notice may continue to deposit into such Trust Account until the maturity of the deposit. Thereafter, it needs to close the Trust Account by transferring the money therein to the new Trust Account. This must be reported to BOL in writing within five working days after closing the Trust Account.
