New bank an upgrade of its existing transaction office.
The Sai Gon Hanoi Commercial Joint Stock Bank (SHB) officially opened its fully-owned SHB Limited Bank in Laos on January 15.
The opening was approved by the Vietnamese and Lao governments and the central banks of both countries.
The new bank is an upgrade of the SHB transaction office, which opened in 2012. It will have charter capital of $50 million and one branch, in Champasak.
It will conduct independent business activities and have its own organizational structure.
SHB is the third Vietnamese bank to open a subsidiary in Laos, following Vietinbank and Sacombank.
In the first five years SHB will work on expanding the bank to 15 transaction points, branches and offices. It will target having over 300 high quality staff and profit before tax of $9.15 million after five years.