The State Securities Commission (SSC) and other agencies are preparing to launch an over-the-counter market next year instead of in 2010 and instead of the Hanoi stock exchange.
“It’ll be too late to introduce an OTC market by 2010 as previously planned,” SSC vice chairman Nguyen Doan Hung said.
Until a week ago, the SSC had wanted to set up another stock exchange in Hanoi before the year’s end for small-scale enterprises. The Hanoi bourse was to turn into an OTC market by 2010. But now the SSC decided it does not want to wait until then.
Hung said an OTC market would fulfil the same functions as the planned exchange in Hanoi. Those companies that cannot meet requirements or do not want to list on the existing HCM City Securities Trading Centre can register to trade shares at securities firms.
Building an OTC market is part of an effort to develop Vietnam’s capital market.
The SSC also wants to boost the HCM City exchange and has cooperated with the authorities of HCM City, Hanoi, Danang and Hai Phong to urge eligible companies to list.
The SSC has just given the go-ahead to the food traders North Kinh Do and Thien Nam to trade shares on the bourse, where 25 companies and one equity fund now list.