Lao kip facts for kids

Quick facts for kids Lao kip
[[Image: |252px|1000 kip issued in 2003]] 1000 kip issued in 2003
ISO 4217 Code	LAK
User(s)	Lao People's Democratic Republic
Inflation	25.69%
Source	Bank of the Lao P.D.R, September 2023.
Subunit
1⁄100	att
Symbol	₭ or ₭N
Coins
Rarely used	10, 20, 50 att
Banknotes
Freq. used	1000, 2000, 5000, 10,000, 20,000, 50,000, 100,000 kip
Rarely used	1, 5, 10, 20, 50, 100, 500 kip

The kip (Lao: ກີບ, romanized: kib; code: LAK; sign: ₭ or ₭N) is the official money of Laos. It has been used there since 1955. The word "kip" comes from a Lao word meaning "ingot".

In the past, one kip was split into 100 smaller units called att (ອັດ). However, these smaller coins are not used much anymore in daily life.

History of the Kip

The money used in Laos has changed several times throughout history. Each change reflects important moments in the country's past.

French Indochina's Money

Before the kip, the piastre was the main money in French Indochina. This was a large area that included Laos, Cambodia, and Vietnam. The piastre was used from 1885 to 1952.

The First Free Lao Kip (1946)

For a short time in 1945–1946, a special government in Vientiane called the Free Lao government made its own paper money. They printed notes in small amounts like 10, 20, and 50 att, and also 10 kip. This happened before French rule returned to the area.

The Royal Kip (1955)

The kip was brought back in 1955. It took the place of the French Indochinese piastre at the same value. This kip was also known as a piastre in French. It was divided into 100 att (Lao: ອັດ) or cents.

At first, the kip's value was linked to the French franc. This meant 10 French francs were worth one kip. Later, on October 10, 1958, the kip's value was linked to the US dollar. Its official value changed from ₭35 to ₭80 for one US dollar. However, the real market value was often different. By the end of 1963, one US dollar could be exchanged for ₭600 in unofficial markets.

Laos changed the kip's value again on January 1, 1964. The official rate became ₭240 per dollar. There was also a "free market" rate of about ₭505 per dollar. This free market rate later dropped to ₭600 per dollar on November 8, 1971. The official rate was then removed on April 4, 1972.

The Pathet Lao Kip (1976)

A group called the Pathet Lao introduced their own money, the "liberation kip," on October 12, 1968. This money was used in the areas they controlled. These liberation kip banknotes were printed in China. They came in values of ₭1, ₭10, ₭20, ₭50, ₭100, ₭200, and ₭500.

On August 20, 1975, just before the Pathet Lao took over Vientiane, one liberation kip was worth 6 royal kip. In 1976, the new government of Laos replaced the royal kip with the liberation kip. The exchange rate was 20 royal kip for one liberation kip. People could exchange a certain amount of their old money for the new liberation kip.

The Lao PDR Kip (1979)

On December 16, 1979, the Pathet Lao's "liberation kip" was replaced by the current Lao kip. The new kip was valued at 100 liberation kip for 1 new kip. This is the currency still used in Laos today.

Coins

Coins have been part of Laos's money system, though they are not commonly used now.

Royal Kip Coins (1955)

The first coins for the Royal Kip were made in 1952. They came in values of 10, 20, and 50 att or cents. These coins had both French and Lao writing on them. They were all made of aluminum and had a hole in the middle, similar to old Chinese cash coins.

Pathet Lao Kip Coins (1976)

After 28 years, new coins were made in Laos in 1980. These were for the Pathet Lao Kip. They were 10, 20, and 50 att coins, all made of aluminum. The front of these coins showed the country's emblem, and the back showed pictures of farming.

In 1985, special commemorative coins were made for the 10th anniversary of the Lao People's Democratic Republic. These were 1, 5, 10, 20, and 50 kip coins. However, because of economic problems and ongoing chronic inflation, these coins are rarely seen in use today.

Obverse	Reverse	Value	Obverse	Reverse	Composition	Date of issue
		10 att	Value, farmer	Emblem of Laos (1975-1991 version)	Aluminum	1980
		20 att	Value, farmer ploughing with ox	Emblem of Laos (1975-1991 version)	Aluminum	1980
		50 att	Value, fish	Emblem of Laos (1975-1991 version)	Aluminum	1980

Banknotes

Banknotes are the paper money we use. Laos has issued many different series of banknotes over the years.

100 kip, 1957 issue.

In 1953, the Laos branch of a special bank (the Institut d'Emission des États du Cambodge, du Laos et du Vietnam) printed notes. These notes showed their value in both piastre and kip. Notes were made for 1, 5, 10, and 100 kip/piastres.

In 1957, the government started printing notes only in kip. These included 1, 5, 10, 20, and 50 kip notes. A special 500 kip note was also printed. More notes like 1 and 5 kip, and 10 kip, were added in 1962.

In 1963, larger notes of 20, 50, 200, and 1000 kip were introduced. Then, in 1974–75, 100, 500, and 5000 kip notes were added. Some 10 kip and 1000 kip notes were printed but never put into use.

Pathet Lao Kip Banknotes (1976)

The Pathet Lao group issued their own banknotes in 1975 or earlier. These were used in the areas they controlled. The values were 1, 10, 20, 50, 100, 200, and 500 kip.

Lao PDR Kip Banknotes (1979)

In 1979, new banknotes were introduced for the Lao PDR Kip. These came in values of 1, 5, 10, 20, 50, and 100 kip. Over the years, higher values were added.

• 500 kip notes were added in 1988.
• 1000 kip notes in 1992.
• 2000 and 5000 kip notes in 1997.
• 10,000 and 20,000 kip notes in 2002.
• 50,000 kip notes on January 17, 2006.

On November 15, 2010, a 100,000 kip banknote was released. This was to celebrate two big events: the 450th anniversary of Vientiane (the capital city) and the 35th anniversary of the Lao People's Democratic Republic.

Kaysone Phomvihane (1920–1992), an important leader, is shown on the front of the 2,000, 5,000, 10,000, 20,000, 50,000, and 100,000 kip banknotes.

In 2012, the Bank of Laos decided to make the 100,000 Kip banknote a regular part of their money. This was done to encourage people in Laos to use their own currency more, instead of U.S. dollars and Thai baht. As of 2019, the ₭500 note is the smallest banknote you will commonly see.

Current Series
Image		Value	Description		Date of issue
Obverse	Reverse		Obverse	Reverse
		₭1	Militia unit at left, arms at upper right.	Classroom at left.	1979
		₭5	Shopping	Elephant-logging	1979
		₭10	Lumber mill at left, arms at upper right.	Hospital at left.	1979
		₭20	Arms at left, tank with troop column at center.	Textile mill at center.	1979
		₭50	Rice-planting	Hydroelectric dam	1979
		₭100	Harvesting	Bridge	1979
		₭500	Irrigation	Coffee bean harvesting	1988
		₭500	Irrigation	Coffee bean harvesting	2015
		₭1,000	Women from the three major ethnic groups of Laos: Lao Lum, Lao Sung and Lao Theung, with Pha That Luang in the background.	Cattle herd	1992-1996
		₭1,000	Women from the three major ethnic groups of Laos: Lao Lum, Lao Sung and Lao Theung, with Pha That Luang in the background.	Cattle herd	1998-2020
		₭1,000	Women from the three major ethnic groups of Laos: Lao Lum, Lao Sung and Lao Theung, with Pha That Luang in the background.	Cattle herd	2008
		₭2,000	President Kaysone Phomvihane (1920–1992), Wat Xieng Thong in Luang Prabang	Hydroelectric complex in Xeset	1997-2003
		₭2,000	President Kaysone Phomvihane (1920–1992), Wat Xieng Thong in Luang Prabang	Hydroelectric complex in Xeset	2011
		₭5,000	President Kaysone Phomvihane; Pha That Luang	Cement factory in Vang Vieng	1997-2003
		₭5,000	President Kaysone Phomvihane; Pha That Luang	Cement factory in Vang Vieng	2020
		₭10,000	President Kaysone Phomvihane; Pha That Luang	Lao-Nippon bridge	2002-2003
		₭10,000	President Kaysone Phomvihane; Pha That Luang	Lao-Nippon bridge	2020
		₭20,000	President Kaysone Phomvihane; Haw Phra Kaew Temple	Theun Hinboun hydroelectric power plant	2002-2003
		₭20,000	President Kaysone Phomvihane; Haw Phra Kaew Temple	Theun Hinboun hydroelectric power plant	2020
		₭50,000	President Kaysone Phomvihane; Pha That Luang	Presidential Palace	2004
		₭50,000	President Kaysone Phomvihane; Pha That Luang	Presidential Palace	2020
		₭100,000	President Kaysone Phomvihane; Pha That Luang	President Kaysone Phomevihane Statue and Museum [1] in Vientiane	2011
		₭100,000	President Kaysone Phomvihane; Pha That Luang	Viengxay caves in Houaphanh Province	2020

Commemorative Banknotes
Image		Value	Description		Date of issue	Series Designation
Obverse	Reverse		Obverse	Reverse
		₭100,000	Statue of King Setthathirath, Pha That Luang, Dok Champa flower and Nāga.	Haw Phra Kaew Temple	2010	P-40

Lao Kip Exchange Rate

The exchange rate tells you how much one currency is worth compared to another. For example, how many Lao kip you can get for one US dollar. This rate changes over time based on many economic factors.

See also

• Institut d'Émission des États du Cambodge, du Laos et du Viet-nam