On 13 January 2023, Notice on Terminating the Currency Exchange Business of the Currency Exchange Shop Representatives of the Commercial Banks No.01/BOL ("Notice 01") was issued by the Bank of Lao PDR ("BOL") to commercial banks and currency exchange shop representatives ("Representatives"). To implement the amended Law on Foreign Exchange No.15/NA dated 7 July 2022, Notice 01 provides the following:
- BOL will terminate the currency exchange business of all 113 Representatives which are currently under Lao PDR's six commercial banks.
- Commercial banks that have Representatives will not renew their currency exchange shop representative contracts ("Contracts"). They will (i) cancel their Contracts with all their Representatives; (ii) proceed to close the deposit accounts issued in the name of the Representatives at the relevant commercial banks; and (iii) send memoranda on the cancellation of the Contracts between the commercial banks and the Representatives. The business licenses of the Representatives belonging to the commercial banks should have been returned to the Department of Currency Policy or relevant branches of BOL by 31 January 2023.
- Commercial banks intending to establish a currency exchange unit must comply with the Decision on Currency Exchange Service No.1026/BOL dated 28 December 2022.
