Lao People's Democratic Republic: Market Summary
Market Summary
Local Currency Bond Market Size
The Lao People's Democratic Republic's local currency (LCY) bonds outstanding remained stable in 2024 amid slower growth in LCY bond issuance. Total LCY bonds outstanding recorded LAK29.8 trillion at the end of 2024, compared to LAK30.0 trillion in 2023 due to slightly more maturities than new LCY bond issuance in 2024. Triangular and recapitalization bonds continued to be the major instrument type among LCY bonds outstanding.
Foreign Currency Bond Market Size
Total foreign currency (FCY) bonds outstanding decreased 3.4% year-on-year to USD2.7 billion in 2024 from USD2.8 billion in 2023. All FCY bond issuance in 2024 was from the government. Consequently, the share of corporate bonds to total FCY bonds outstanding fell to 49.0% from 56.8% in 2023, while the share of government bonds rose to 51.0% from 43.2%. The Thai baht remained the predominant currency among FCY bonds outstanding, comprising 75.3% of the total. This was followed by the United States dollar at 23.3%.