Tuesday, 10:38, 02/02/2021
The corporate bond market in Vietnam is expected to be robust this year as the Government has issued regulations to untie the market but still aimed to ensure transparency and healthy market development.
According to Nguyen Hoang Duong, Deputy Director of the Department of Banking and Financial Institutions under the Ministry of Finance, the corporate bond market had become an increasingly important channel for enterprises to raise capital in recent years, which helped reduce pressure on banking credit.
However, not every enterprise was in a safe enough situation for bond issuance, Duong said, adding that there were many of small scale, especially those operating in real estate development, but issue corporate bonds much higher than their equity, posing risks to the market if these enterprises fell into difficulty and failed to pay debts.