Malayan Banking Bhd (Maybank) has expanded its network in Laos with a second branch in the capital Vientiane, thus establishing a greater presence in one of the fastest expanding economies in Asean.
The branch, located in the commercial district of Nongduang, offers a full spectrum of banking services, and aims to serve the needs of the local community as well as customers from across the region having trade and investment links in the country.
The new branch was officially launched by Bank of the Lao PDR (central bank) deputy governor Vathana Dalaloy at an event hosted by Maybank chairman Tan Sri Megat Zaharuddin Megat Mohd Nor.
Maybank international CEO Pollie Sim said the opening of the Nongduang branch will strengthen Maybank’s presence in Indochina and enhance its ability to meet the banking needs of customers, particularly the growing investor base into the country.
“Laos is among the strongest performing economies in the region, with steady economic growth of around 8.5% for the past four years and is anticipated to achieve 7.5% real gross domestic product growth on average from 2016 to 2020, according to the government’s eighth development plan.”
Sim said the first Maybank branch in Vientiane, which was opened in 2012, has experienced encouraging growth with loans and deposits rising at an annual average of 46% and 78% respectively over the last two years.
“We anticipate that the opening of this second branch will further boost our franchise in the country and lift our loans and deposits growth to over 70% and 100% respectively by end of 2016,” she added.
Services offered by the two Maybank branches in Laos include retail and business banking, foreign exchange, remittances, treasury as well as ATMs. The retail offerings include mortgages and personal loans while business banking services include term financing and trade financing.
The two branches have a paid-up capital of LAK200 billion (about RM100 million) a staff strength of 30 in total.