Kip now exclusive currency

PUBLISHED : Monday, 30 June, 1997, 12:00am
UPDATED : Monday, 30 June, 1997, 12:00am

The Bank of the Lao PDR has issued a notice prohibiting payment for goods and services in foreign currencies.

Until the announcement, the use of US dollars and Thai baht instead of the Lao kip was commonplace, particularly in border regions.

Recently, the use of foreign currency had increased due to the decline of the kip against the dollar and the baht. The devaluation of the kip is believed to have been the motivation for an official crackdown on black market money-changers last month.

The notice, which was issued last Tuesday, prohibits payment in foreign currency except in designated places such as border checkpoints.

Organisations and individuals who wish to use foreign currency for payments must now have written permission from the bank.