Banking

I'm not an expert on Lao banking, but it's something I've looked into and talked about with other expats. The following information is accurate to the best of my knowledge but you should probably do your own research since the industry is rapidly changing and modernizing. If anyone has anything to add or correct, email me and I'll update the article.

The basics: You can open an account in Lao kip (LAK), Thai baht (THB), or US dollars (USD). Some banks have ATMs but these only despense kip. I believe you technically need a work visa to open a savings account, but most places don't care. Only businesses can open check accounts--the people working at the bank are unable to comprehend why an individual would want a checking account, so don't even waste your time.

The main problem with banking is the lack of many things we take for granted. There is no internet banking. Only one bank (ANZ) offer debit cards. Only three banks I know ofhave ATMs away from their main branches. There are no EFTs, so no Paypal or anything similar will work.

The other problem is that the Lao banking system isn't connected to the rest of the world. If you have an account with ANZ for example, you can't access it at the ANZ branch in Laos, or vice-versa. In order to wire money, you have to first wire it to a third bank and pay 1% of the total plus normal wire fees. I've been told by my bank that an international check would take a month to clear, but I wouldn't be surprised if it took significantly longer.

Many banks will have interest rates of up to 14% for kip accounts. While this seems like a good investment, you have to realize that the money isn't insured. You have no protection if the bank goes under or runs low on funds.