Vietnam Gold Investment and Trading Co Ltd officially opened an import-export branch in Vientiane to provide advanced and professional gold trading products and services in Laos.
An official from the Bank of the Lao PDR, Mr Oth Phonhxiengdy, said “The company's services will provide a new choice for Lao businesses and people. It is the first Vietnamese company to obtain a licence from the central bank for the import and export of precious metals.”
Company representative Dr Nguyen The Hung said at the opening ceremony “Our business expansion to Laos is a good opportunity for gold business cooperation with Lao gold businesses and traders. It also increases business cooperation between the two countries.”
The world economy tends to change and fluctuate, but investment in gold is still seen as the safest and most steady form of investment. “So the demand for and investment in gold is increasing,” Dr Nguyen The Hung said.
Vietnam Gold Traders Association representative Mr Nguy En Thanh Long said the company's business expansion and investment in Laos will boost gold market development in the country.
“It will also be a bridge in gold business cooperation between Lao and Vietnamese gold and jewellery associations,” he said.
“Currently the purchase of gold is getting more popular in Laos, including gold bullion,” Mr Oth said. “This is because of the financial and economic crises in America and Europe in 2008 and 2010.”
One of the impacts of these crises was the fall in the value of the dollar and the euro, so businesses turned to investing in gold.
“Many countries globally have increased their investment in gold for the benefit of their national coffers, as well as Laos,” Mr Oth said.
Laos and Vietnam have enjoyed good economic cooperation for many years, which has proved fundamental for economic development in Laos.
This cooperation includes finance, and banks that have recently opened branches in Laos. “This cooperation has led to the growth of the Lao banking sector,” he added.
“However, financial pro-duct investment is still small in Laos; there are only money deposits and share purchases on the Lao stock exchange. So Lao and Vietnamese economic cooperation will help to boost our company's operations in Laos.”
