crucial legislative developments in the bond market

Crucial legislative developments in the bond market

The State Bank of Vietnam (SBV) has previously issued regulations on prudential ratios and limits over banking activities while recently the ability of businesses to pay loans and interest has been severely affected by the current pandemic. As a result of these twinned developments, commercial banks have become more and more cautious in granting credit.
vingroup to issue international bonds to raise 15 billion for vinfast

Vingroup to issue international bonds to raise $1.5 billion for VinFast

Vietnam-based conglomerate Vingroup has expressed interest in raising $1.5 billion via international bonds next year for its vehicle division VinFast.
turbulence expected after fed pivot

Turbulence expected after Fed pivot

Emerging economies like Vietnam will not be immune to plans by the US Federal Reserve to reduce bond purchases and rate hikes to fight against inflation pressures, with foreign indirect investment and some import- and export-reliant businesses perhaps in the firing line.
corporate bond ban may set back ma progress

Corporate bond ban may set back M&A progress

A ban on credit institutions and commercial banks buying corporate bonds to contribute capital and acquire shares of enterprises is being considered a barrier for investors in carrying out mergers and acquisitions.
nhat tin logistics issues 217 million bonds to facilitate expansion

Nhat Tin Logistics issues $2.17 million bonds to facilitate expansion

Nhat Tin Logistics has successfully issued VND50 billion ($2.17 million) corporate bonds under a private placement to step up its expansion plan.
channels opening up to mobilise long term capital

Channels opening up to mobilise long-term capital

Government bonds may be a good measure to mobilise funds for the economic recovery plan. However, businesses may find it difficult to borrow capital in foreign currency from banks.
fruitful territory for bond issuance

Fruitful territory for bond issuance

Banks are showing strong desire in bond issuance activities, while real estate developers have lowered the extent of their bond-related capital mobilisation efforts.
hard limit for credit institutions buying corporate bonds

Hard limit for credit institutions buying corporate bonds

Credit institutions with a bad debt ratio of more than 3 per cent are forbidden to buy corporate bonds, according to the latest announcement from the State Bank of Vietnam.
considering the implications of fiscal reformations

Considering the implications of fiscal reformations

To cope with the ongoing pandemic, the central banks of many nations have significantly expanded their balance sheets by using non-traditional monetary policies by increasing money for purchasing government bonds and even corporate bonds. Meanwhile, the People’s Bank of China (PBoC) has limited balance sheet expansion but used an effective monetary policy for the Chinese economy.
offering credit caution for corporate bond players

Offering credit caution for corporate bond players

Vietnamese banks and real estate developers are foraying into the corporate bond arena as it is offering attractive yields for their portfolio diversification strategies. Thomas Kollar, partner of law firm Mayer Brown based in Hong Kong, writes about how some major risks could result in a systemic shock for developers and lenders that want to be involved.
investors cautioned over bond issuance vulnerabilities

Investors cautioned over bond issuance vulnerabilities

Credit-challenged companies, especially banks and real estate providers, are finding another way around their continuous capital needs by tapping into the corporate bond issuance market, which remains particularly vulnerable to economic downturns and incomplete legal frameworks in Vietnam.
vinpearl issues 425 million exchangeable sustainable bond

Vinpearl issues $425 million Exchangeable Sustainable Bond

Vinpearl JSC has successfully issued a $425 million Exchangeable Sustainable Bond (ESB), exchangeable into shares of Vingroup JSC. The bonds mature in 2026 and have a coupon rate of 3.25 per cent per annum.
feds fiscal tightening wont dent vietnams position

Fed’s fiscal tightening won’t dent Vietnam’s position

The US Federal Reserve warned that it will soon start to reduce, or taper, its purchases of US Treasury bonds and other securities worth $120 billion per month, also known as quantitative easing, although it has not yet announced when this will happen.
over 362 trillion vnd raised through g bond auctions in august

Over 36.2 trillion VND raised through G-bond auctions in August

The State Treasury and the Vietnam Bank for Social Policies (VBSP) mobilised more than 36.2 trillion VND (1.59 billion USD) on the primary market via 20 Government bond (G-bond) auctions on the Hanoi Stock Exchange (HNX) in August.
mof urges stricter control over risky corporate bonds in vietnam

MoF urges stricter control over risky corporate bonds in Vietnam

The Ministry of Finance (MoF) has tightened control over risky corporate bond issuance.