Laos Kip
Laos uses the kip as its currency. Each kip is then sub-divided into 100 att. The kip is denoted on the international scene as the LAK, hence why sometimes it may be referred to as the LAK.
Issued by the very grand sounding Bank of the Lao People's Democratic Republic, the currency comes as both notes and coins. As coins it is issued in the form of 10, 20 and 50 att. In notes it comes as 1, 5, 10, 20, 50, 100 and 500 kip, but these are not in frequent use.
The more common notes are the 1,000, 2,000, 5,000, 10,000, 20,000 and 50,000 kip notes.
Inflation in Laos hovers at around 7%, but the economy is growing quite quickly and as a result, it is hoped that the economy will actually stabilise and inflation will soon be cut.
History of the Kip
The first kip to be used in Laos was the kip introduced I 1945, when the Free Kip government issued money in the form of kips. However, soon after, in 1946, the French took control of the region.
Then the kip was reintroduced as the local currency in 1952, replacing the French Indonesian piastre at the same value.
Since then the kip has been in constant circulation, although it has been known as the Royal kip, the Pathet Lao kip and finally, following a devaluation in 1979, it was issued as the Lao People's Democratic kip and this is the kip that is still in use today.
Getting Hold of Laos Kips
Laos does not have a huge number of ATM machines and you will also find that the maximum amount of kip that you can withdraw from an ATM is around 700,000 which is the equivalent of £35 British sterling or US$ 70, so if you were to be reliant on taking money out of a cash machine, you would have to make several withdrawals and in addition, you should be aware that the biggest note available is the 50,000 kip note. All the rest are in smaller denominations.
However, you will find that there are plenty of places that will accept the US dollar, in fact in the touristy areas, the US dollar almost seems to be the preferred currency and so you will pay for the privilege, usually getting about 5 or 10% less than the official rate of exchange, but at least you don't have to carry round huge bundles of cash, just to get by.
In Vientiane, the capital, you will also find that the Thai bath is readily accepted as well as US dollars.
In tourist hotspots, even euros are accepted, so if you are going to be doing the tourist trail, then bring along some euros and or US dollars.
That being said, if you are going to go to some of the remote areas, then bear in mind that the kip will be the only form of currency that is acceptable and there are precious few ATM facilities available in the small villages and remote areas, so it makes sense to take plenty of kip with you when venturing out into the wilderness.
Many banks as well as guest houses and hotels will let you get a cash advance on your credit card, but be aware that you will pay extra for the privilege!
If you want to either exchange dollars or euros or British sterling at a bank, you will find that banks have really strange opening hours, so upon arrival, check out when the banks will be open and make sure that you get to the bank in good time before it shuts, so that you don't get caught out by turning up five minutes before they are due to shut, only to find out that they have indeed closed up and are not going to open the next day.
Safety Issues
Crime is not a huge issue in Laos and crime rates are actually refreshingly low, which makes it a very safe country to visit and generally, you will be safe and do not have to worry about going out at night or getting around in public transport.
There are some things that you should be aware of however, just to maintain your safety and security. The first is an interesting law which makes it illegal for a foreigner and a local (or more specifically a Lao national) to have sexual relations, unless they are married. Whilst this law is not rigorously upheld, it is something to be aware of, if you do meet someone who 'catches your eye'. Whilst you may not be arrested, taking someone back to your hotel room, may at the least get you some funny looks, or it could lead to trouble, so be cautious.
The government in Laos have a very fixed idea about drug use and that is that it will not be tolerated and what is more, if you are caught with drugs, the authorities may wish to make an example out of you. At best this could mean a short spell in prison, a middling rated punishment would be a long term in prison and the worst case scenario….the death sentence. So be aware and mindful of the risks.
There are some risks of minefields, but these are not really too much of a risk for tourists and travellers. If you ensure that you keep well away from any area marked as minefields, not even to stand some way behind the sign and have your photo taken, since the risks are real, then you should be ok. Just make sure that you only travel on paved roads (which will have been cleared) and if you aren't sure if an area is safe either avoid it or ask a local, who usually know where the worst spots are.
Spending Kip
Laos is not an expensive country and so for Westerners it offers exceptionally good value for money, but it is not 'dirt cheap'. In particular, Vientiane, the capital can be quite pricey, but this is mainly because it is a destination for tourists and travellers and many items have to be imported.
If you go into the villages and smaller towns, then the choice of items available may not be as extensive but they will generally be cheaper.
One thing that you need to be careful of in Laos is hygiene. This applies both to you and to where you eat. Always choose somewhere to eat that looks clean and where there are lots of locals eating and where the staff look clean. If there is a very little restaurant that is booming with trade and one with more or less empty tables, opt for the busy one, even if you have to wait, since the locals will know that it is clean inside. Sometimes you may be offered food from roadside vendors: it may look good, but the meat may not have been stored correctly and it is really easy to pick up a slight case of food poisoning.
Next, boring as it may sound, always try to wash your hands before you eat. It does feel like advice that is given to children, but it really can help cut the chances of you being laid low with a stomach bug for a few days of your trip, which is not just unpleasant, but can also leave you quite weak.
If you are staying for some time, then you will acclimatise to the various bugs and cultures that may abound, but until this happens, just take care.
Out and About in Laos
Laos is often described as an undiscovered gem, since it really does have a lot to offer.
Culturally it is very different to the West and sometimes you may see sights that are disturbing to Western eyes. Some women keep birds locked up in tiny cages, asking for money to set the birds free, although in reality, the birds are kept semi-dehydrated and emaciated, so that they can easily be caught again. Yet life in Laos is hard and this kind of exemplifies how hard life is for humans, let alone birds.
Two areas that most travellers go to when they arrive in Laos are the city of Vientiane and the UNESCO World Heritage Site of Luang Prabang, which has a vast array of colonial type buildings, jostling with Buddhist temples.
Vientiane, as the capital is more like a rather big town than a capital and it is actually small enough to walk around and has some extremely interesting architecture.
But Laos also has a number of interesting sights, such as the Lao version of Stonehenge, which is a range of literally thousands of stone monoliths at the Plain of Jars: a truly stunning sight and one that should not be missed, for its special atmosphere and air of spirituality. Some of the 'jars' are up to 3 metres or 10 feet in height, so they aren't small, but no one actually knows what they were actually for.
Overview
Laos is a wonderful place to visit since it really is undiscovered and yes, you will encounter a lot of travellers and people visiting the country, but no where near as many as you find on some parts of Asia.
This gives the country a real feeling of being special and really being hidden away from the pressures of day to day life. The fact that there is such a big Buddhist presence here also gives the country a real spiritual air and one that seems oblivious to some of the less savoury aspects of modern life.
So before too many people start discovering this hidden gem, make sure that you go soon, or else its charm will start to wane as it becomes just another destination on the Asian trail.
For further information about Laos and its sights, as well as an interesting take on its history, philosophy and the history of Buddhism, why not check out the official Lao tourism site at http://www.visit-laos.com which gives some useful information about all aspects of visiting Laos, even though it is from the point of view of people who want you to go there.
What a strange name for a currency – the kip! Mind you I suppose every currency sounds a bit weird to someone.
It sounds like it could be a possible place to go on holiday though. I’m not sure it is for me though – that bit about the birds being locked in cages and left there to try and get money off people, that doesn’t sit right at all with me. I’m not sure I could handle seeing that in reality.
It’s obviously a very different way of life but that doesn’t make all of it right just because it is different.
— Ben · Dec 18, 04:40 PM · #
I certainly agree with the person above – this is a weird name for a currency. I think there are always currencies like this that just aren’t quite what you expect them to be. It makes me think of kippers! Maybe that would be a good nickname for this one? I’d love to see some articles on nicknames for currencies though, because there must be a heck of a lot of them around.
I am very tempted to look into this as a holiday opportunity though. It seems strange that there are places on earth that are ideal as holiday opportunities that we haven’t heard of. Very strange, but I guess this is not the only location on earth that is like that. There must be plenty more.
— Kate · Jun 29, 08:29 PM · #