Govt sells VND36.6 trillion bonds in February

by insideout
HCMC – The Vietnam State Treasury (VST) has raised nearly VND36.6 trillion from the auctions of 12 lots of G-bonds in February, showed data from the Hanoi Stock Exchange.

Most of the bonds come with terms of 10 and 15 years, accounting for 52.19% and 45.21% of the total bond sales, respectively.

The coupon rates of bonds with 10-year and 15-year tenors edged down 24 basis points against the last G-bond auction held in January, at 4.12% and 4.32%, respectively.

The VST got more than VND69.4 trillion from its bond issues in January and February, achieving 64.28% of the first-quarter target and 17.36% of the full-year plan.

On the secondary market, G-bond transactions in February rocketed 96.32% month-on-month to nearly VND111.5 trillion, with an average of over VND5.6 trillion per session. Outrights accounted for 65.16% of the total transaction value.

The average Government bond yield with tenors of 10 and 15 years in the month surged nearly 32% over January, while that with tenors of one, five and seven years dropped over 20.7%, 19.7% and 14.4%, respectively.

Bonds with seven-year, 10-year and 15-year terms were the most traded on the market, accounting for 33%, 15.3% and 12.1% of the total trading value.

Over 70% of G-bond transactions were conducted by commercial banks and the remainder by securities firms.

Source: The SaigonTimes

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