Time Period: 1893-1954

Timeline

  • 1945-1946
  • Issuance of paper money by the Lao Issara government in the liberated areas, denominated 10 Kip and 50, 20, 10 At (possibly at par with Indochinese Piastre). Not known if the notes were exchanged after the re-establishment of the French rule.


Time Period: 1955-1976

Currency: 1st Laotian Kip


Timeline

  • 25.12.1954
  • Royal decrees [No. 415 & 416] on the establishment of the central bank and issuance of a national currency; effective 01.01.1955
  • 01.01.1955
  • Start of currency exchange:
    - 05.05.1955: Start of issuance of the new banknotes and coins
    - 25.10.1955: Demonetization of the Indochinese currency.
  • 07.10.1968
  • Establishment of the financial administration for the areas under control of the Pathet Lao movement during the civil war (the date was determined ex-post by a government resolution after the Pathet Lao victory in 1975)

Valuation Regimes

  • 1955-1958
  • Fixed rate against French Franc, did not follow the devaluation of 27.12.1958
  • 1958-1975
  • Fixed rate against US Dollar, official rate became inoperative on 31.03.1975

Rate Arrangements

  • 01.01.1955
  • Fixed
  • French Franc (1803) at 10 : 1
  • ±0.0%
  • 24.07.1958
  • Fixed
  • US Dollar at 1 : 35
  • ±0.0%
  • 10.10.1958
  • Fixed
  • US Dollar at 1 : 80
  • -56.3%
  • 01.01.1964
  • Fixed
  • US Dollar at 1 : 240
  • -66.7%
  • 03.04.1972
  • Fixed
  • US Dollar at 1 : 600
  • -60.0%
  • 31.03.1975
  • Fixed
  • US Dollar at 1 : 1'200 - Effective rate
  • -50.0%


Time Period: 1976-1979

Currency: 2nd Laotian ("Liberation") Kip


Timeline

  • 15.06.1976
  • Government resolution on the currency reform; effective immediately
  • 16.06.1976
  • Start of currency exchange:
    - 16.06.1976: Start of the issuance of the new banknotes (some notes had already been produced around 1968 for use in the Pathet Lao controlled areas during the civil war, but were never issued)
    - Partial confiscation: Per person a maximum of 100'000 old Kip was exchanged, per business a maximum o 1'000'000 old Kip, excess cash had to be deposited in a blocked account and could be withdrawn at monthly installments of 5'000 new Kip
    - 30.06.1976: Demonetization of the former currency (?).

Valuation Regimes

  • 1976-1979
  • Fixed rate against US Dollar, the official rate became inoperative after the end of the exchange period on 30.06.1976

Rate Arrangements

  • 16.06.1976
  • Fixed
  • US Dollar at 1 : 60 - Official rate
  • ±0.0%
  • 30.06.1976
  • Fixed
  • US Dollar at 1 : 200 - Effective rate
  • -70.0%
  • 01.05.1978
  • Fixed
  • US Dollar at 1 : 400 - Effective rate
  • -50.0%


Time Period: 1979-

Currency: 3rd Laotian Kip


Timeline

  • 09.12.1979
  • Government resolution on the currency reform; effective immediately
  • 10.12.1979
  • Start of currency exchange:
    - 10.12.1979: Start of issuance of the new banknotes and coins
    - ??.12.1979: Demonetization of the former currency.

Valuation Regimes

  • 1979-1988
  • Fixed rate against US Dollar. The official rate was inoperative and reserved for government accounting purposes only. Transactions occurred at effective rate which were transformed into preferential rates by help of differentiated premiums.

Rate Arrangements

  • 10.12.1979
  • Fixed
  • US Dollar at 1 : 16 - Effective rate
  • -75.0%
  • 15.01.1980
  • Fixed
  • US Dollar at 1 : 24 - Preferential rate
  • -33.3%
  • 15.05.1981
  • Fixed
  • US Dollar at 1 : 35 - Preferential rate
  • -31.4%
  • 01.04.1988
  • Variable
  • initially: US Dollar at 1 : 352.50
  • -93.2%


End-year Forex Rates (Units per US Dollar)