VND1.5Tln Government Bonds Are Sold Via Auctions Last Week: BVSC

VND1.5 trillion worth of government bonds were sold out of VND4 trillion auctioned volume in the previous week, the local newswire reported, citing data from BaoViet Securities Company (BVSC).

The State Treasury of Vietnam sold out VND1 trillion 2-year government debts at fixing of 9.5%, down 0.2% from the previous auction. The bid-to-cover ratio was 4.7.

The Vietnam Development Bank (VDB) also managed to sell VND400 2-year bonds at 10.5% and VND100 3-year debts at 10.6%.

Meanwhile, the Vietnam Bank for Social Policy (VBSP) failed to sell any bonds in its auction. The bid-to-cover ratio was only 0.05 as there was only one bidder registering for VND50 billion 5-year bonds. High yield expectation (14%) was the main reason for the bond sale failure.

This week [Nov 12-16], the Hanoi Stock Exchange will organize two auctions to sell VND3 trillion bonds issued by the State Treasury and VND500 billion debts issued by the VBSP.

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