Vietnam raises $147 mln in govt bond auction
Vietnam's State Treasury raised 3.88 trillion dong ($147 million) in a government bond auction, significantly up from last week's $3.8 million. The auction saw a 28.7% uptake of bonds sold, compared to just 0.7% previously. This brings total government bond sales for the year to 230 trillion dong ($8.7 billion), with a target of 500 trillion dong for 2023. The treasury sold 3.86 trillion dong of 10-year bonds at a 3.51% coupon but struggled with longer-term bonds, selling only 20 billion dong of 30-year bonds. Vietnamese companies have raised 376 trillion dong in bonds this year, with a significant portion maturing in the real estate and banking sectors.
HANOI, Sept 10 (Reuters) - Vietnam’s State Treasury raised 3.88 trillion dong ($147 million) in a weekly government bond auction on Wednesday, up from the $3.8 million raised last week.
The uptake was also higher, with 28.7% of the bonds on offer sold, compared with just 0.7% at last week’s auction, according to a Hanoi Stock Exchange filing.
The auction took total government bond sales so far this year to 230 trillion dong ($8.7 billion), according to exchange data.
Vietnam uses the proceeds from bond sales mainly to fund its public investments, one of the key drivers of economic growth. It aims to raise 500 trillion dong this year.
At Wednesday’s auction, the treasury sold 3.86 trillion dong out of the 9 trillion dong of 10-year bonds on offer, at a coupon of 3.51%.
It sold only 20 billion dong out of 500 billion dong of 30-year bonds offered, at a coupon of 3.55%, and failed to offload any of the total of 4 trillion dong of 5- and 15-year bonds offered.
On the corporate side, Vietnamese companies have raised 376 trillion dong via bonds this year up to Sept. 5, according to bond market association data.
The value of corporate bonds maturing in the remainder of 2025 is 69 trillion dong, of which 42.6% is in the real estate sector and 33.5% in the banking sector, the data showed.
