Laos is set to launch a new Capital Flow Management System (CMS) aimed at enhancing the monitoring and management of foreign currency flows within the country. According to a report by Lao national TV on Wednesday, the Ministry of Finance, Ministry of Industry and Commerce, and the central bank will jointly implement the CMS.
The CMS is designed to link business registration and the transactions of exporters and investors with commercial banks and the central bank. This integration will enable relevant ministries to track the value and products involved in export and import activities through a comprehensive dashboard.
The primary goals of the CMS are to manage and monitor the movement of international funds, maintain economic and financial stability, hedge risks associated with fluctuating exchange rates, and encourage investment and international trade. By providing real-time data and insights, the system aims to create a more transparent and efficient financial environment in Laos.
The new system is expected to be operational by the end of February 2024, marking a significant step forward in Laos’s efforts to strengthen its financial infrastructure and support economic growth.
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Laos to launch a new system to improve foreign currency management.
cgtn.com
