Many banks have issued large amounts of bonds to raise thousands of billions of Vietnamese đồng, pushing interest rates to around 8 per cent per year, much higher than that of normal savings.
While real estate bond issuance value has recovered year-on-year, its proportion of total issuances has ped sharply - from nearly 55 per cent in the first half of 2023 to just 25 per cent in the first half of 2023.
Several companies associated with property developer Vạn Thịnh Phát, whose chairwoman is currently facing trial for financial fraud, have been fined for fraud related to bond issuance and trading worth trillions of Vietnamese đồng.
Data on the Ha Noi Stock Exchange showed as of March 24, eight companies issued bonds worth more than VND23.8 trillion (over US$1 billion), of which real estate firms dominated the market with total issued value of VND19 trillion, accounting for...
Decree 65 amends regulations on bond issuance purposes to strengthen the responsibilities and obligations of issuers in using raised capital for the right purposes.
The Ministry of Construction (MoC) has proposed controlling the bond issuance activities of real estate enterprises but not tightening investment in real estate bonds.