laobali

AMERICANS NEED NOT APPLY.

Why ?

Because , people Laos , not like Americans .

I was in Cambodia a few years ago , i made the mistake of wearing a baseball cap ,

they gave me hasle big time , until I showed them my UK ID .

When I visit Laos or Cambodia , I wear a Trilby , and,, I am treated with due respect.

Bttopic , good info on investment in Laos ,thx.

in UK , you are lucky to get 2 percent interest , a sure sign that UK economy growth is zero. .

I don't know (or want to) the circumstances of your baseball cap experience, but it's nonsense to think that the Lao do not like Americans; many families have relatives living there anyway. The Vietnam war is long forgotten and Americans are treated no differently from other foreigners. Admittedly, (like Thailand) the urban locals seem to have reservations about the black/dark skins of Africans or to a lesser degree, South Asians; Dark skins denote 'low class' (like rice farmers), but it's hardly an issue. And nearly everyone wears baseball caps!

I think those 14/6% rates mentioned applied in Cambodia. Although it may have changed since, while I was living in Laos, the personal tax rate was 10% with a minimum salary of $500 per month; that increased to $800. For the several years I held a Business Visa (the 'friendly package'), that tax was never asked for or collected.

The cost of this 'friendly' business visa used to be $500 for a year, of which I think $350 went to the ministry, $100 or so to the middleman and the rest to the 'sponsor'. It rose to about $600 a few years ago, and then became more difficult. You do rely on the sponsor continuing to be willing to offer this on an ongoing annual basis.

Very interesting reading, nevertheless. I think after having lived in Laos for 8 years and I had $100,000 to invest, I'd go for fixed deposits for different terms in more than one bank.

A trustworthy Lao business partner (if you can find one) would certainly increase your chances of success.

Google "stay in Lao for a year" (include the quotes) to learn more about the one year business visa.

The 11% rate is there for a reason. It's called risk. The risk of expropriation of foreigner-owned assets, or being dudded by currency depreciation i.e. printing money, is priced into the rate.

You could probably get a 60% interest rate on your money in Zimbabwe, but that doesn't mean any sane person would invest there.

Rule No. 1, as previously posted, is if it sounds too good to be true, it probably is.

Rule No. 2 is never invest in anything you don't understand.

It's not a realistic comparison. Zimbabwe no longer has its own currency; now uses the USD. The Lao kip is a non-convertible currency; it can only be exchanged within Laos at rates controlled by the government. The term interest rates in Laos are kept relatively high to encourage mostly foreign cash investment which is then converted to kips and lent out at much higher rates for local mortgages and business loans; secured by property. Real estate prices have risen significantly in the past few years.

I was trying to illustrate the principle of risk with the Zimbabwe example. OK, are you going to send your US dollars to a Zimbabwe bank if it's offering a 60% interest rate?

If the Lao kip is a non-convertible currency, how do you get your principal and interest back in US dollars when the term deposit matures?

Rates controlled by the government? Secured by property? Yeah right. Where have I heard this before?

The 60% high risk analogy is still nonsense; the Lao deposit rates have only been around 10-15%, not unrealistic in a developing country, with a so-far reliable and better-regulated banking system.

For many years it's been possible to change or swap kips, baht and US dollars into cash at the daily published rates, and hold accounts in those currencies at Lao banks; probably others now too.

Also make transfers between Laos and foreign banks in certain major currencies. However, there are a limited number of overseas banks that transact business directly with Lao banks. Most use intermediary or correspondent banks which often increases the cost of transfers.

I don't know if this is still happening, but in the past year several of my friends living in Laos reported that it was becoming increasingly difficult to obtain Thai Baht or U.S. Dollars there, one friend actually told me he was at an exchange booth and the worker there told him " you need to go to an exchange place"....he said he just pointed up at the sign above his head and asked them "what are you then?"

If this is still true of the exchange offices, then is it also true of interest accounts? I don't know the answer...but it would pay to find out. (literally)

Apart from the banks' own exchange booths, there are unofficial money changers used by local traders, some between Talat Sao and the BFL building; they may offer slightly better rates too.

hi there in cambodia you dont need to have visa for u can keep your deposit rate , l spend only 15 days or less in cambodia and l can keep my deposit

the diffrent is if you are not resident you pay 14 % tax and if ur resident u pay 6 %

as l said ABA BANK and phnom phen comercial bank ask only passeport ,

l saw ur post about canadian bank , they ask same bu llshit about 6 month or 1 years visa , and cambodia public bank also asked me a work permit ,

u can open with acelda bank , if u can have certificat of resident , if u have adress and 1 year visa

l think its best bank rate in cambodia , u can also find better bank but a small bank branch

the good thing its l keep my money in USD USA

If the staff at the bank (or the rules) change, you might have a problem withdrawing it at the end of the term. It won't make any difference what currency your deposit is in.

For someone living/working in Laos (or at least with the right documentation) with spare cash which will most likely be spent there anyway, could consider this as a low risk investment. Anyone else, probably not. By the sound of it Cambodia and Vietnam are making it more difficult for foreigners, and Laos will follow.

The 11% rate is there for a reason. It's called risk. The risk of expropriation of foreigner-owned assets, or being dudded by currency depreciation i.e. printing money, is priced into the rate.

You could probably get a 60% interest rate on your money in Zimbabwe, but that doesn't mean any sane person would invest there.

Rule No. 1, as previously posted, is if it sounds too good to be true, it probably is.

Rule No. 2 is never invest in anything you don't understand.

It's not a realistic comparison. Zimbabwe no longer has its own currency; now uses the USD. The Lao kip is a non-convertible currency; it can only be exchanged within Laos at rates controlled by the government. The term interest rates in Laos are kept relatively high to encourage mostly foreign cash investment which is then converted to kips and lent out at much higher rates for local mortgages and business loans; secured by property. Real estate prices have risen significantly in the past few years.

I can see Acleda ( Lao ) branch are offering very good rates. can anyone tell me which is the biggest bank in Lao PDR as the other banks are not being upfront with their deposit rates or at least they aren't where I am looking online.

BCEL is the main commercial bank, owned by the Lao government. Their deposit rates are not the highest, but possibly lowest risk, although I don't think any Lao bank has failed for quite a few years due to stricter regulation. Good info at www.retire-asia.com/lao-bank.shtml Also a list of Lao banks.

I had no problems whatsoever with term deposits in several Lao banks (ANZ, JDB, PSV from when the rates were up to 15% a few years ago). LAK earns much better interest than THB or USD and you can exchange freely between them whenever you want. You need a Work Permit to open a fixed deposit account in your own name. Kip rates are stable and haven't changed much for several years.

You'd be better off just throwing your money in the trash can - it would save you all the paperwork, hassles, bribes, and intimidation which will take place before your restaurant fails and you're left with nothing.

Tend to agree. It was not that difficult or risky when I started a small restaurant in the late 90s. Just a lot of hassle, endured for the need for financial survival at the time. I wouldn't consider it now. If you've the capital to start this, avoid the trash can and keep it outside Thailand!

Ask as many Thais as you can what 6x7 is and report back your findings ( no calculators allowed)

This is an anomaly because those of us know our 'times tables' were taught by rote (constant repetion until indelibly in your mind). 6 times 7 is 42. 6 7s are 42. We were taught that way long before calculators existed. The Thai education system is based on rote but as everyone has calculators I'm sure the times tables are not even in the curriculum. Sad.

But as someone commented: how can it change? Who teaches the teachers?

Hi there, as mentioned above there are many trials and tribulations to be negotiated by a Foreigner investing and opening a business in Thailand.

As many have mentioned the love affair may not last, so do your research and be sure you understand exacting what is required and what the RISKS are currently and may be over a period of time.

Stop and think logically then research, test the information gathered, think again, do further research if after thinking you decide you require more information.

A very important comment, only made once that I saw, is -

• ASEAN commences on 31 December 2015
• you said you are from Malaysia, are you Malaysian?
• if you are Malaysian you will have benefits that are common to all the members of ASEAN from 31 December this year
• determine if those benefits are to your advantage in opening a business and living in Thailand
• gather all the information both Pros and Cons
• decide if you still want to live and work in Thailand
• ask for advice from friends or professionally, perhaps both
• do all the research that you feel will allow you to make a clear and logical decision
• STOP and THINK AGAIN
• make your decision

Good luck with which ever decision you make, but do think it all through before taking the steps.

Remember - "He did plan to Fail but simply Failed to Plan"

The way you earn income in Malaysia will have a big effect on your success. What do you do for a living?

Those paddles look jolly useful.

Especially when you're up the creek without one.

Im referring to Thai elder helping Thai younger person.All clear so far from your replies, but what if the Guarantor gets into a cash flow prob too, and cant make the payments either after a while .All rather "iffy" to me , this borrowing business.

OP: I've been told if i act as Guarantor on Car Finance im stupid.!!.. If He cant pay so I will pay the monthly installments to Toyota but will never have any claim on the Vehicle, it remains in His name , he can keep it ,and I loose , is that correct.?..

So you are a Thai elder?

In any event, just say no (politely).

What about our names for Thais. My name is Phil Ross. Above where I sit right now my wife Pim has put my name and moblie number 082...................... Few.

Yep after 10 years I am not Phil but Few. Not only this but Ross has become Rocks. The house name on the gate is Few Rocks I kid you not.

Surprised it isn't Few Locks but maybe that might encourage burglars!

Who is noone?

Let's hope he/she wasn't injured too badly

I recently bought a MINIX Neo mini PC (£130 Amazon) with Win 8.1 included, and HDMI'd it to a 40" TV. Wireless keyboard/touchpad.

Very impressed with both hardware and OS and it boots almost instantly.

The tiles are meant for a touchscreen, but a normal desktop is there too. Still use Win 7 and XP on laptops. 8.1 seems a decent improvement; stable and faster.

Twenty years ago, at the same age as you, I had similar ideas about leaving the UK for a new life in Thailand. I had little capital, but some self-employed business experience. I made it work within a few years, but it was a continuous struggle. You really need to think seriously about your future. At this stage, the visa is the least of your worries. Best of luck; you're sure going to need it – as well as the right partner! Don't burn your UK bridges as that would be your biggest mistake so far.

Simple rule to follow if it sounds to good to bet true then it is scam.

Sounds simple, but not everyone has the same idea of what is "too good to be true". That's why these scams can work until they're exposed.

I wonder at how some wander off topic when they really have nothing to say.

And the problem is? In New Guinea they created a new language when they accepted Pidgin! In VN during the war if you didn't speak Vietglish you just didn't communicate as Vietnamese is more difficult to pronounce than Thai!

It's pretty boring trying to speak perfect Thai when the locals don't even try!

Oh, so that's why they still don't understand you; your Thai is too perfect!