The corporate bond market still has ample room for improvement, according to Nguyen Tu Anh, Director of the General Economic Affairs Department, Communist Party Economic Commission.
The corporate bond market still has ample room for improvement, according to Nguyen Tu Anh, Director of the General Economic Affairs Department, Communist Party Economic Commission.
The size of the corporate bond market is estimated at some VND1,374 trillion, equivalent to 15% of GDP. The Government aims to raise this figure to 20% by 2025.
Although the 2020-2022 period was a tough time for both State-owned and private enterprises due to macro-economic fluctuations after the COVID-19 pandemic, it provided a good chance for businesses that managed to exist and make breakthrough growth, according to a report by Vietnam Report JSC.
Absence of market discipline, implicit government guarantees, and repeated and unconditional recapitalization of public sector banks could pose a moral hazard problem in them, RBI said.