Connect with us
CGIF-10th-Year-Anniversary

Vietnam

Vietnam Government bond sales surpass target by 11%

Avatar

Published

on

VietNamNet Bridge – Capital mobilization through Government bond sales beat the target by 11% and set a record in terms of volume last year.

By the end of December, the State Treasury had raised more than VND281.7 trillion from G-bond issues for the State budget, while the plan for the year was only VND250 trillion.

That is why the primary G-bond market was relatively quiet in the final weeks of December. There were times when the State Treasury temporarily stopped bond auctions.

All credit institutions accomplished their business objectives for 2016, so they felt little pressure to take profits, impacting on supply and demand on the primary and secondary bond markets.

The liquidity of the G-bond market in the final month of 2016 was negligible. Apart from the exchange rate rising to new highs, this is attributed to the fact that investors are looking for directional cues from interest rates in 2017.

Inaction seems to be pervasive on the primary G-bond market in the final sessions of the year.

On December 29, Vietnam Development Bank invited bids for some VND1.5 trillion worth of five-year and 10-year G-bonds. The auction attracted only three participants with VND1.54 trillion worth of bids, and none of them won.

A day earlier, the State Treasury raised VND456 billion from VND4 trillion worth of bonds put up for tender.

Five-year bonds lured 15 participants with VND5.6 trillion worth of bids, but none of them won. The winning coupon remained unchanged at 7.2% and 7.98%.

On the secondary market, the yields for three and seven-year tenors went up, whereas the remaining maturities had the same rates as in the previous week.

Banks said caution dominated the market in the context of exchange rate volatility, less liquidity in the banking system at the end of the year and expectations for a new trend to form in the new year.

Before the Christmas and New Year holidays, the trading volume of foreign investors, as in previous years, stayed low.

One week earlier, from December 19 to 23, the trading volume of G-bonds on the secondary market rose slightly, from VND3.8 trillion to VND4 trillion. The five-year tenor attracted the most transactions.

Foreign investors net sold VND354 billion of bonds last week. However, in all of 2016, they net bought over VND12.1…

Source link

Comments

Vietnam

Foreign capital still heads to Vietnam

As many as 798 projects added a combined over 5.11 billion USD to their investment capital, down 23 percent year-on-year in project number but up 6.8 percent in value.

Avatar

Published

on

Hanoi (VNA) – The total amount of foreign investment poured into Vietnam this year to September 20 reached 21.2 billion USD, equivalent to 81.8 percent of the same period last year, reported the Ministry of Planning and Investment.

(more…)
Continue Reading

Trade

Why Vietnam Has Become a Promising Alternative for US Businesses in Asia

Vietnam Briefing discusses trends in the Vietnam-US relationship, growing economic ties, and how US businesses can leverage and benefit from moving their production to Vietnam.

Avatar

Published

on

Following four decades since the end of the Vietnam War, Vietnam’s relationship with the US has changed significantly.

(more…)
Continue Reading

Cambodia

CLMV’s economic growth crashes to two-decade low due to COVID-19

The COVID-19 crisis has caused the rate of economic growth in the CLMV bloc to be at its lowest in two decades, the CLMV economies could grow at 3.4 percent this year

Avatar

Published

on

The COVID-19 pandemic is having a negative impact on CLMV economies through their dependency on foreign-sourced revenue from tourism and exports says KResearchCenter.

(more…)
Continue Reading
Advertisement

Latest

Most Viewed

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 13,413 other subscribers

Trending