As the Lao PDR moves toward the establishment of a capital market, several key participants will be involved:

• The Bank of the Lao PDR (BOL), the central bank, has the authority to issue bills and bonds to manage the exchange rate and liquidity in the economy. The BOL is also responsible for licensing and overseeing financial institutions.
  
  
• The Department of Domestic and Foreign Investment is a one-stop service that oversees investment licensing and manages investment promotion.
  

Pension funds, insurance and other nonbank financial institutions have recently started to invest in bonds. Insurance companies and social security organizations will likely be the major initial investors. The Social Security Organization (SSO) of Lao PDR oversees employees’ social security funds and began investing in Treasury bills in 2006.

Other key participants in the financial sector include state commercial banks, private banks, foreign bank representative offices, and the National Treasury under the Ministry of Finance.