Mobilizing nearly 180,000 billion VND through government bonds

The interest rates issued in the past 6 months have tended to decrease over time with a relatively strong decrease at all terms. Specifically, the interest rates for mobilizing bonds with terms of 5 years, 10 years, 15 years, 20 years, and 30 years have decreased from 3.75 - 4.72%/year at the beginning of 2023 to 2 - 3.25%/year at the end of June 2023.

In June 2023 alone, HNX organized 14 auctions of government bonds issued by the State Treasury, with a total winning volume of VND 16,940 billion, reaching 85.77% of the bid value. 15- and 10-year bonds accounted for the dominant proportion, 50.18% and 45.75%, respectively, of the total issued volume in the month.

The total transaction value of secondary bonds in June reached VND 154,875 billion, up 16.83% compared to May, averaging VND 7,040 billion/session; of which, ordinary buying and selling transactions (Outright) accounted for 73.05%, the rest were repurchase transactions (Repos).

The most traded bonds in the month were 10-year, 15-year and 10-15-year terms, with proportions of 15.92%; 15.13% and 11.82% compared to the whole market. Regarding the average trading yield of debt instruments, the highest increase was in the 15-20-year and 25-30-year terms, respectively 26.31% and 22.74% compared to the same period last month, and the highest decrease was in the 2-year, 3-5-year and 10-15-year terms, respectively 13.30%; 11.68% and 10.55% compared to the same period last month.

In the first 6 months of 2023, the total value of government bond transactions reached VND 709,575 billion, the average session reached VND 5,864 billion, down 23.8% compared to the average for the whole year of 2022.

The total transaction value of foreign investors in 6 months reached 22,196 billion VND, accounting for 3.13% of the total transaction value of the whole market, the net selling value was 5,108 billion VND.

According to VNA