Deputy Minister of Finance Mr Soulivath Souvannachoumkham (third from right) presents a certificate to the CEO of Lao Bullion Bank, Dr Chanthone Sitthixay (left), on March 21.

Lao Bullion Bank secures official gold certification

Lao Bullion Bank (LBB) has achieved a significant milestone by securing the Official Gold Status Certificate, a move that establishes gold as a legally recognised collateral asset in Laos.
The announcement was made at a news conference attended by senior government officials, financial leaders and industry representatives.
The event was attended by Deputy Minister of Finance Mr Soulivath Souvannachoumkham, who is also the Chairman of the Lao Bullion Bank’s Board of Directors, the Deputy Governor of the Bank of the Lao PDR, Mr Aloun Bounyong, the ministry’s Director General of the State Asset Management Department, Mr Phoutthasine Heuangthavong, the CEO of Lao Bullion Bank, Dr Chanthone Sitthixay, and representatives of commercial banks and financial institutions in Laos.

Representatives of commercial banks and financial institutions in Laos gather for a photo with ministry officials, the Board of Directors of the Lao Bullion Bank, and other financial leaders.

Before handing over the certificate, the Director General of the State Asset Management Department, Mr Phoutthasine Heuangthavong, explained the legal basis for the bank’s certification.
He cited key legislative instruments that govern the bank’s registration and enforceability, including Presidential Decree No. 2, dated June 17, 2021, which outlines the framework for gold-backed financial instruments, the amended Law on Contractual Guarantees No. 6/NA, dated May 20, 2005, which defines asset-based collateral regulations, and Submission Letter No. 31/LBB, submitted by Lao Bullion Bank on March 13, 2025, requesting certification.
Mr Phoutthasine said the State Asset Management Department had registered the certificate with the Ministry of Finance’s official registry and digitally recorded it in the debt settlement verification system.
These steps guarantee the certificate’s legal enforceability, allowing it to be used as collateral by commercial banks and financial institutions across Laos.
“This instrument will empower businesses to expand operations while strengthening financial stability,” Mr Phoutthasine said.
The certification is expected to bring multiple benefits to financial institutions, businesses and investors.
By recognising gold as a secure collateral option, the government aims to increase access to credit for businesses in the gold industry, strengthen financial stability by introducing a legally enforceable asset-backed guarantee, reduce lending risks for banks and financial institutions, and encourage economic expansion by improving capital circulation and liquidity.
“This certificate will enhance accessibility to credit, fostering capital circulation and supporting Laos’ economic growth,” Mr Phoutthasine said, adding that this milestone will enable the certificate’s use as a collateral asset under Lao law, expanding access to capital and fostering sustainable growth in the gold industry.
Certification is expected to broaden financial opportunities for individuals and businesses involved in the gold sector, making it easier to access credit and investments. By legally recognising gold as an asset-backed guarantee, the Lao government is enhancing financial stability and promoting long-term economic development.
Deputy Minister of Finance Mr Soulivath, commended Lao Bullion Bank for its compliance with legal and regulatory requirements.
He noted that the Official Gold Status Certificate was formally registered with the Ministry of Finance and digitally integrated into the electronic debt settlement verification system, ensuring its full legal validity.
While the certification provides new financial opportunities, Lao Bullion Bank and other institutions must also adhere to regulations around administrative fees set by the Ministry of Finance.
This ensures that the financial system remains transparent and compliant with national laws.
Both Deputy Minister Soulivath and Director General Phoutthasine expressed confidence that this initiative will increase investor confidence, improve financial security, and contribute to sustainable economic development in Laos.
The Official Gold Status Certificate marks a significant step forward for Laos’ finance. By integrating gold into the banking system as a collateral asset, the government is expanding credit accessibility, strengthening financial stability, and fostering investment.
With this certification in place, Lao Bullion Bank is set to play a key role in the evolution of gold-backed finance in Laos, ensuring long-term economic growth and financial security.

By Times Reporters
 (Latest Update March 24, 2025)