BFL Loan (IFC-38024)

Countries
  • Laos
Where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Completed
Bank Risk Rating
FI
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
May 10, 2016
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
BANQUE FRANCO-LAO LTD
The holder of the loan, grant, or other investment.
Sectors
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Loan Amount (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 15.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Mar 25, 2019

Disclosed by Bank Mar 21, 2016


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Project Description

According to IFC website, the Project consists of a senior loan of up to US$15 million to be provided to the Banque Franco-Lao Ltd. with a up to 7-year maturity in order to support the Bank to further extend loans to the SME sector in Lao PDR. The project is expected to: 
1. Increase access to credit for SMEs and individual clients in Laos where banking penetration is still very low.
2. Demonstration effect: this will be the second loan of IFC in a commercial bank in Laos thus far and provide a role model for commercial banks keen to strengthen their corporate governance and better serve their customers and save cost.

Investment Description
  • International Finance Corporation (IFC)

BFL has two shareholders: French bank BRED Banque Populaire (“BRED”) holding 54% stake and Banque Pour le Commerce Exterieur Lao (“BCEL”) holding 46% stake.

Private Actors

The Banque Franco-Lao Ltd. has two shareholders: French bank BRED Banque Populaire holding 54% stake and Banque Pour le Commerce Exterieur Lao holding 46% stake. It provides personal and corporate banking services. Its personal banking services include current accounts, saving products, credits and loans, debit cards, and BFL VISA international debit cards; and corporate banking services include current accounts, saving products, credits and loans, debit cards, Internet banking, money transfer, and IFC loan programs.

Contact Information

Project Contact: Guilaume Perdon
Executive Managing Director, Banque Franco-Lao Ltd.
Office Address: Lane Xang Avenue, Hatsady Village Chanthabouly District P.O. Box: 5720
Viantiane Capital, Lao PDR
Telephone No.: +856 21 285 111
Fax No.: + 856 21 285 222

ACCOUNTABILITY MECHANISM OF IFC

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/