Real estate businesses are diligently buying back bonds before maturity.

As of the information announcement date of February 14, no corporate bond issuance has been recorded in February 2025, while real estate businesses are still diligently buying back bonds before maturity.

As of the information announcement date of February 14, no corporate bond issuance has been recorded in February 2025, while real estate businesses are still diligently buying back bonds before maturity.

According to data compiled by the Vietnam Bond Market Association (VBMA) from HNX and SSC, as of the information announcement date of February 14, 2025, corporate bond issuance was completely absent in the first half of February 2025. In January 2025, there were 4 rounds of corporate bond issuance to the public with a total value of about VND 5,554 billion, all of which came from the finance and banking sectors.

Although there has been no corporate bond issuance, businesses are still actively buying back bonds before maturity. In February 2025, businesses bought back VND2,439 billion worth of bonds.

Accumulated from the beginning of the year until now, the total value of bonds bought back before maturity reached VND 15,373 billion, an increase of 8.8% compared to 2024. Real estate is the leading industry group, accounting for about 66.3% of the total value of early buybacks (equivalent to about VND 10,187 billion).

Accumulated for the whole year of 2024, the total value of corporate bond issuance was recorded at VND 468,618 billion, with 22 public issuances worth VND 32,914 billion (accounting for 7% of the total issuance value) and 453 private issuances worth VND 435,704 billion (accounting for 93% of the total).

According to the Bond Market Association, in the remainder of 2025, the total value of bonds due will be VND195,066 billion. Of which, 54.7% of the value of bonds due to mature belong to the real estate group with VND106,694 billion, followed by the Banking group with VND41,166 billion (accounting for 21.1%).

Meanwhile, according to VNDirect's estimates, the total value of individual corporate bonds maturing in 2025 is about VND203,000 billion, up 8.5% over the same period. The data excludes corporate bonds repurchased before maturity and corporate bonds with extended maturity as announced until January 24, 2025.

Of which, more than VND 62,000 billion is the value of bonds that have been extended for additional terms and will mature, accounting for 30.6% of the total value of individual corporate bonds maturing in 2025. The pressure on individual corporate bonds maturing in 2025 will fall in the last two quarters of the year when the total maturity value of these two quarters accounts for more than 65% of the total maturity value in 2025.

The real estate group will be the group with the largest maturity value in 2025 with a total maturity value of more than VND 130,000 billion, accounting for 64% of the total maturity value in 2025. 43.4% of this, equivalent to VND 56,000 billion, is the value of individual corporate bonds that have extended their maturity and will mature.

The second group is the finance - banking group with a total maturity value of more than 33,000 billion VND, accounting for 16.3% of the total maturity value in 2025.

Compared to the maturity value in 2024, the value of individual corporate bonds maturing in the real estate group increased sharply by 113%. In the context of the real estate market still being sluggish, the legal clearance for projects is still slower than expected, and difficulties in the business operations of real estate enterprises will continue. Therefore, the pressure on cash flow and the issue of corporate bonds maturing will remain a big challenge for the real estate group in 2025.

The banking group may still actively issue bonds, helping the market continue to recover in 2025. To support the economic growth target, in 2025, the State Bank set a high credit growth target of 16%. It can be seen that with the high credit growth target, the capital mobilization demand of banks in 2025 will continue to increase.

Issuing individual corporate bonds with long terms as implemented in 2024 not only helps banks increase mobilized capital but also helps banks increase the ratio of medium- and long-term mobilized capital to ensure the maximum ratio of short-term mobilized capital for medium- and long-term loans according to regulations of the State Bank.

Therefore, in 2025, the banking group is expected to continue to actively issue to increase the ratio of medium and long-term mobilized capital, thereby helping corporate bond issuance activities continue to recover in 2025.

Source: https://baodautu.vn/doanh-nghiep-bat-dong-san-miet-mai-mua-lai-trai-phieu-truoc-han-d247796.html