Vietnam holds investor roadshow in US to strengthen global financial engagement

MoF delegation working with financial institutions and investors in the US. Photo: Thanh Binh

The MoF delegation has held direct meetings with financial institutions and investors in the US. The investor engagement programme comes as a series of diplomatic activities in the US has delivered strong messages about Vietnam’s commitment to reform and deeper international integration.

Party General Secretary and State President To Lam stated Vietnam’s determination to accelerate reforms, improve its institutional framework, and create the most transparent and favourable investment environment possible for international financial institutions and investors.

The consistent direction from the Party and State leadership to boost economic interests and strengthen the country’s financial standing serves as a guiding principle for the MoF’s efforts to manage public finance and public debt.

The delegation held direct discussions with leading global institutional investors, including globally scaled asset management and hedge funds, as part of its programme in the US.

Representatives of the MoF provided an overview of Vietnam’s macroeconomic outlook and growth prospects, as well as the government’s strategy to diversify its capital mobilisation channels.

The delegation also engaged in dialogue with investors and gathered their assessments of the Vietnamese market, as well as their level of interest in debt instruments issued by the Vietnamese government.

Members of international investment community expressed appreciation for Vietnam’s macroeconomic stability and long-term development potential, while recognising the MoF’s efforts to improve transparency and strengthen information sharing.

Feedback from the roadshow will provide an important basis for the MoF to closely monitor developments in international capital markets and study options for securing cost-efficient funding for the government.

MoF delegation and leadership of Moody’s Sovereign Risk Group. Photo: Thanh Binh

The Vietnamese MoF delegation met with Elisa Parisi-Capone, vice president and senior analyst in Moody’s Sovereign Risk Group, in New York as part of its regular engagement with Moody’s under the sovereign credit rating assessment arrangement established in 2010.

In May, Moody’s announced the results of its sovereign credit rating assessment for Vietnam, maintaining the country’s rating at Ba2 while upgrading the outlook from “Stable” to “Positive”.

The result reflected Moody’s assessment of Vietnam’s long-term growth prospects, dynamic trade performance, ability to attract foreign investment, fiscal position supported by relatively low and stable government debt, strong debt-servicing capacity, and improvements in institutional quality and governance.

At the meeting, the delegation updated Moody’s on economic, financial, budgetary, and public debt developments, as well as institutional reform efforts and the government’s policy measures to maintain macroeconomic stability and pursue its target of double-digit economic growth.

Moody’s also shared experience from countries that have achieved investment-grade ratings, noting that Vietnam’s continued focus on institutional reform and management of risks in the banking sector and state-owned enterprise debt would contribute positively to the country’s sovereign credit rating upgrade path in the coming period.

Minister of Finance Ngo Van Tuan and senior executives of J.P. Morgan in the US. Photo: Thanh Binh

Alongside meetings with investors and credit rating agencies, Minister of Finance Ngo Van Tuan held an important bilateral meeting with senior executives of J.P. Morgan in the US. The two sides held extensive and substantive discussions on the potential for strategic cooperation in the future.

The roadshow is a regular strategic activity of the MoF aimed at maintaining and strengthening dialogue with the international financial community.

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