AROUND VND33.6 TRILLION RAISED FROM G-BONDS IN MAY

A picture shows Government bond certificates - PHOTO: VNA

HCMC – The State Treasury raised VND33.63 trillion from Government bond (G-bond) auctions in May, completing 72% of its second quarter issuance plan and nearly one-third of its annual target.

According to data released by the Hanoi Stock Exchange (HNX) on June 4, the exchange organized a total of 17 G-bond auctions on behalf of the State Treasury during May.

The auctions raised VND33.63 trillion in May, bringing the cumulative amount mobilized since the beginning of the year to almost VND159.19 trillion. With this progress, the State Treasury has completed 72% of its bond issuance target for the second quarter of 2026 and 32% of its overall issuance plan for the year.

Investors favored longer dated debt, with 10-year G-bonds accounting for more than half of the month’s issuance at VND18.25 trillion, followed by 5-year G-bonds at VND15 trillion.

On the primary market, the State Treasury offered bonds across six maturities in May, namely 3-year, 5-year, 10-year, 15-year, 20-year and 30-year tenors. Auctions were successful for five maturities, including 3-year, 5-year, 10-year, 15-year and 30-year bonds.

Notably, winning yields rose by between 2 and 14 basis points compared with the final auction sessions held in late April.

On the secondary market, the total value of listed G-bonds reached VND2,691.995 trillion at the end of May, up 2% from April. Trading activity, however, weakened during the month, with average daily turnover falling 6.59% month on month to VND14.96 trillion per session.

Outright transactions remained the dominant trading method, accounting for 74.37% of total market value, while repurchase agreements (repos) made up the remaining 25.63%.

Foreign investors accounted for 4.33% of total market trading value, up 0.8 percentage points from the previous month. Despite the increase in market participation, they were net sellers, recording net sales of VND137 billion during the month.

Source: The Saigon Times