Viet Nam’s bonds outstanding hits over US$108 bln by end of September: ADB

The resumption of the State Bank of Viet Nam's issuance of central bank securities drove the economy's local currency bond market to expand 3.9 percent from the previous quarter, the ADB noted.

According to the bank, growth in government bonds slowed due to the low volume of maturities and a decline in issuance during the quarter. Corporate bonds contracted 3.1 percent quarter-on-quarter due to the large volume of maturities in the third quarter of 2023.

Viet Nam's government bond yields climbed across all tenors for the period from September 1 and November 10 driven by a rise in inflation and the U.S. Federal Reserve's decision to keep interest rates high for an extended period.

Consumer price inflation rose from 2.1 percent year-on-year in July to 3.6 percent year-on-year in October, but remained below the government's 4.5 percent target for the full year 2023.

Sustainable bonds outstanding in ASEAN plus China, Japan, and the Republic of Korea (ASEAN+3), which are used to finance projects and programs with positive environmental and social impacts, reached US$734.1 billion at the end of September, following robust issuance of US$57.3 billion in the third quarter.

ASEAN+3 accounted for 36.3 percent of the total global sustainable bond issuance in the third quarter of 2023, making it the second largest regional sustainable bond market in the world. ASEAN markets contributed 7.4 percent of the total ASEAN+3 issuance./.