Lao, Malaysian Business Cooperate in developing Fintech and Digital Park towards the Emerging Gateway to Asian

Lao and Malaysian companies signed series of Memorandum of Understandings (MOU) and Memorandum of Agreements (MOA) on Monday to develop Fintech and Digital Park towards the Emerging Gateway to Asia.
The move marks a closer relationship between Laos and Malaysia after the two sides agreed to leverage on Digital Economy as one of the several impetuses for bilateral cooperation.
Focusing on “Laos FinTech & Digital towards the Emerging Gateway to Asian Economy”, this very first initiative among the two countries will serve as a pathfinder to complement existing efforts towards realising the Economic Gateway to Asian for FinTech and Digitalisation. This collaboration will create opportunities for promotions, investments and to facilitate and advise on FinTech & Digital policy matters beyond neighboring borders. 

YB Dato’ Sri Mustapa Mohamad, Minister in the Prime Minister’s Department (Economy) in his official speech has acknowledged that the 2 countries  will form a joint venture to undertake projects (1) to develop digital government applications (2) to manage innovation sandbox and develop FinTech solutions and (3) to develop Lao Digital Park and FinTech Valley in Vientiane.
Deputy Minister of Technology and Communication Dr Santisouk Simmalavong, said demand for FinTech solutions in Asean is underpinned by the rapid adoption of technology, high-levels of blockchain, mobile usage and rising rates of internet penetration, an increasingly urban, literate and young population, as well as a segment of consumers and small- and medium sized enterprises (SMEs) underserved by traditional banking solutions.
“These factors and the economic potential of Asean have also attracted large numbers of investors to the region where Asean continues to provide a large number of adoptions from younger generations” he said.
The signings were done between the following parties:
The first one is MLBCO (Malaysia-Laos Business Council Organization) and ALA / WLN - ALA (ASIAN Legal Alliance). MLBCO is established in 2019 as a private non-profit organisation that facilitates, promotes and enhances the continuation of commercial relationship between Malaysia and Laos in promoting social, cultural, education and welfare work in these countries.
ALA was formed to bring together law firms from each of the 10 member states to provide a truly ASIAN wide legal network.  The second one is iBees Capital & ALO Technology Group 
-  iBees Capital was established to undertake collaborations with Lao Government and to venture into businesses that will unlock Laos economic potentials for regional benefit.
-  This is joint venture agreement between both parties to develop the Lao Digital Park, the new special Economic Zone (SEZ) and FinTech Valley in Vientiane and to also jointly incorporate an SPV, namely Lao Digital Economy Corporation (LDEC) - the lead developer and manager of Lao Digital Park.
On collaboration between LDEC and LICA, it is an understanding on the planning and implementation of the digital government and digital economy initiatives, to execute all forms of business or functionalities endorsed by the Lao Government to LICA, through LDEC which will be formed with the participation of LDEC as a key stakeholder.  Initial flagship initiatives approved to be implemented under LDEC include: Fintech Sandbox with Bank of Laos and Digital Government (including funding digitally and technology innovation Sandbox with the Lao Ministry of Technology and Communications.
Other MOU/MOA signings were done between MLBCO and BAIAC, MLBCO and GXWY, LDEC and LICA, iBees Capital & XinXinLai Shanghai International, MdLBCO and iBees Capital, MLBCO ans RTS, iBees Capital and Median Digital, iBees Capital and Quad Destiny, iBees Capital and Revenue Monster, iBees Capital and Webshariah and iBees Capital and GIA Technology Limited.

ByAdvertorial Desk
(Latest Update January 19, 2021)