Vietnam raises $496 mln in government bond auction

Vietnam's ‍State Treasury raised 13 trillion dong ($496 million) in its ⁠weekly government bond auction on Wednesday, up from the $70.4 million raised last week.

The uptake was also higher, with 60% ‌of the ‌bonds on offer sold, compared with only 14.8% last week, ‌according to a Hanoi Stock Exchange filing.

The auction took total government bond sales so far this year to 16 trillion dong, according to exchange data.


Proceeds from bond sales are mainly used to fund Vietnam's public investments, one ‌of the ‍key drivers of economic growth.

At Wednesday's ‍auction, the treasury sold half of the ‌1 trillion dong's worth of 5-year bonds on offer at a coupon of 3.30%.

It sold 12 trillion dong out of the 18 trillion dong of 10-year bonds on offer at a coupon of 4.02%.

It also ‍sold half of the 1 trillion dong of 15-year bonds at a coupon ‍of 4.12%, ⁠but failed ⁠to offload any of the combined 1.5 trillion dong of 7-, 20- and 30-year bonds on offer.

On the corporate side, Vietnamese companies have raised 1.49 trillion dong via bonds in January, according to bond market association data. Last year, they raised 621.7 trillion dong. ($1 = 26,230 dong).