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BANKING & FINANCE

Focus on fine-tuning
Problems surrounding the development of Vietnam’s corporate
bond market are to be addressed under recent new planning.
By MINH CHAU

he Ministry of Finance (MoF) has geted to come through government bonds. bond forward contracts, elevating invest-
recently disclosed plans to coordinate The issuance of corporate bonds, mean- ment thresholds for funds above 10 per
T with various ministries and sectors while, hinges on the long-term capital cent, specifying audit requirements for
on introducing cohesive strategies during requirements of businesses and demand credit institutions post-issuance, asset val-
2024 to stabilize and perfect Vietnam’s among investors. uation methodologies on corporate bonds,
corporate bond market. This endeavor and the selection of domestic and inter-
would involve refining the legal framework, Seeking national credit rating agencies.
strengthening infrastructure, and fostering sustainable growth In response, regulatory bodies reaf-
a more sustainable investor base. Insights shared at the Conference on firmed their commitment to managing,
Vietnam’s economic landscape in 2024 the Implementation of Bond Market Activ- operating, and nurturing the bond market
brings with it a multitude of challenges. ities in 2024, held recently in Hanoi by sustainably, securely, and robustly. The
With several macro-economic indicators the Hanoi Stock Exchange (HNX), under- MoF pledged to collaborate with relevant
posing significant obstacles, there is a scored stakeholders’ interest in new prod- ministries to enact cohesive measures
pressing need for State budget mobilization ucts, investment rules, and bond trading aimed at stabilizing and advancing the
totaling VND655 trillion ($25.74 billion), regulations. This would encompass ini- corporate bond market, with a focus on
with VND400 trillion ($15.72 billion) tar- tiatives such as introducing government refining legal frameworks, enhancing infra-

36 Vietnam Economic Times May 27, 2024 en.vneconomy.vn