Government bond interest rates plummet at all terms

08-Aug-2019 Intellasia | Lao Dong | 6:02 AM Print This Post

Although bond interest rates fell sharply at all terms, the number of government bonds mobilised amounted to more than 32 trillion dong in July.

Specifically, according to the statistics of Hanoi Stock Exchange (HNX), in July, HNX held 20 auctions, mobilising a total of 32.081 trillion dong of bonds, an increase of 188 percent compared to the previous month.

All bonds mobilised in the month are issued by the State Treasury with the ratio of winning value to bidding value reached 89 percent. Bidding volume of July is 3.2 times higher than the volume of calling for tenders.

Notably, the winning interest rates of five-year bonds were in the range of 3.55-3.75 percent per year, seven-year term of 3.97 percent per year, 10 year term in the range of 4.44-4.62. percent per year, 15 years in the range of 4.68-4.94 percent per year, 20 years in the range of 5.15-5.42 percent per year, 30 years in the 5.51-5.60 percent per year.

Thus, if compared with June, 2011, the winning interest rate in July 2011 decreased on all terms, with a decrease of 0.20-0.43 percent per year.

In the secondary market, the total volume of government bond transactions in the month by normal trading method reached more than 899 million bonds, equivalent to the transaction value of over 97.2 trillion dong, up 40 percent. in value compared to June 2010.

Meanwhile, the total volume of government bond transactions in the form of purchase and sale reached more than 951 million, equivalent to the transaction value of more than 96.1 trillion dong, down by 1.2 percent compared to June 2010.

 


Category: Finance, Vietnam

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