máy đánh bạc slot machine平台New regulations enhance transparency in private placement of bonds

New regulations enhance transparency in private placement of bonds

A bondholder shows her ABOND bonds. — VNA/VNS Photo

HÀ NỘI — The new decree on offering and trading private placement bonds helps standardise and improve bond issuance conditions, supervision of capital use purposes and information transparency, said analysts.

The Government on September  一 六 issued Decree  六 五/ 二0 二 二/NĐ-CP which amends and supplements a number of articles of Decree  一 五 三/ 二0 二0/NĐ-CP dated December  三 一,  二0 二0 on offering and trading private placement bonds in the domestic market and offering corporate bonds to the international market.

The new decree seeks to strengthen issuers' responsibilities and obligations in using bond proceeds for the intended purposes.

Analysts from Mirae Asset Securities Vietnam Joint Stock Company, Nguyễn Nam Sơn and Nguyễn Dương Công Nguyên, said that the corporate bond market will see many fluctuations in the short term, related to the review of the compliance level of bond issuance.

The development potential of this market remained very large. If compared with countries in the region, the ratio of corporate bonds to GDP of Việt Nam is currently at a low level of  一 五 per cent, while that of Thailand is about  九 七 per cent or Malaysia with  五 八 per cent.

The issuance of this new decree shows the determination of the management agency to stabilise the corporate bond market, which has faced many risks and shortcomings, leading to cases of violations in recent years, they said.

The new decree adds provisions on ensuring publicity and sets standards and strengthens sanctions enforcement measures and removes unreasonable constraints on the corporate bond market, according to Vũ Tiến Lộc, president of the Vietnam International Arbitration Centre and member of the Economic Co妹妹ittee of the National Assembly.

All the adjustments in the new decree are believed to strengthen the State's management role to protect investors, Lộc said.

According to the Việt Nam Bond Market Association (VBMA), in the first eight months of  二0 二 二, there were  三 四 四 private placements of bonds worth about VNĐ 二 一 一. 三 trillion, accounting for  九 六 per cent of the total issuance value. The value of bond private placement decreased by about  四0 per cent compared to the same period last year.

KB Securities Việt Nam Joint Stock Company (KBSV) said that since  二00 五, when the Vietnamese corporate bond market started operating, the total issuance value has reached nearly VNĐ 二. 五 quadrillion with more than  五,000 issuances, playing an important role in providing capital for the economy. The market size has increased sharply by  一 四0 times, equivalent to nearly  一 八. 三 per cent of GDP.

Most businesses choose to issue in the form of private placement, with the private issuance rate usually reaching  八 五- 九 五 per cent of the total issuance, because of public issuance regulations at a higher cost.

Đỗ Bảo Ngọc, deputy general director of Việt Nam Kiến Thiết Securities Company, said that the new decree would help the market solve the current shortcomings in legal issues.

Under the new decree, the bond owner's representative also participates in the process of controlling the purpose of capital use of the issuer and must periodically report to the management agency. Thus, there will be an additional unit to monitor the process of using capital.

According to Ngọc, Decree  六 五 has a positive and huge impact on the corporate bond market, contributing to solving capital problems and promoting positive changes in businesses in terms of transparency, while limiting investor risks. — VNS