The Lao Development Bank and PTI Insurance of Vietnam yesterday agreed to jointly establish the Champa Insurance Company in Vientiane to provide indemnity products in Laos. A memorandum of understanding between the two parties was signed in Vientiane by General Managing Director of Lao Development Bank, Ms. Bounta Daravy, and General Director of PTI Insurance, Mr Pham Anh Tuan. Champa Insurance will begin operations within three months and will offer property and vehicle insurance products. The venture is the first time the Lao Development Bank has worked with PTI Insurance and it hopes to serve as a model for collaborative foreign investment in Laos. The joint investment will contribute to national development and illustrates the special solidarity between the Lao and Vietnamese governments. The Lao Development Bank is a state-owned enterprise established in April 2003 by the merging of the Lao Mai Bank and Lane Xang Bank. The Ministry of Finance is the only stakeholder in the bank, which has 18 branches around the country. The current number of insurance businesses in Laos is unable to meet demand and Champa Insurance hopes to claim a good market share in the sector. PTI Insurance’s 2010-12 development plans involves broadening its involvement in insurance sectors in the region and around the world.
Source: Vientiane Times
