In September, Bond Interest Rates Decrease On All Terms

In September 2019, the Hanoi Stock Exchange (HNX) held 15 auctions, raising a total of 9.651825 trillion dong of bonds, declined 11 percent compared to August 2019. Of which, 5.95 trillion dong bonds were issued by the Vietnam State Treasury (VST) and 3.701825 trillion bonds issued by Vietnam Bank for Social Policies.

The ratio of winning value to the bidding value in September 2019 reached 86.8 percent. The bidding volume in September was 3.8 times higher than the bidding volume. The winning interest rate of five-year bonds was 3.15 percent per year, seven-year bond was 3.54 percent per year, 10-year bond was about 3.97 percent to 4.40 percent per year, 15- year bond was within 4.24 percent to 4.75 percent per year, 20-year bond was 4.90 percent per year, 30-year bond was 5.23 percent per year. Compared to August 2019, the winning interest rates of VST bonds in September 2019 decreased across all terms, with a reduction of 0.12 percent to 0.22 percent per year.

In the secondary government bond market in September 2019, the total volume of government bond transactions by the mode of ordinary transactions (outright) reached more than 915 million bonds, equivalent to the transaction value of more than 102 trillion dong, reduced 0.9 percent in value compared to August 2019.

The total volume of government bonds traded by repos reached more than 799 million bonds, equivalent to a trading value of over 84.9 trillion dong, 26 percent lower than value of the previous year and August 2019.

The outright buying value of foreign investors reached over 7 trillion dong, outright selling value of foreign investors was over 4.8 trillion dong. The repos selling value of foreign investors reached over 98 billion dong.

The total value of government bonds listed as of September 30, 2019, reached over 1.1 quadrillion dong.

 

Category: Finance, Vietnam

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