Bond market quiet at the beginning of the year

ANTD.VN - There were no private corporate bond issuances in the first two months of this year, while there were only four public issuances with a total value of more than VND5,500 billion.

According to data compiled by the Vietnam Bond Market Association from the State Securities Commission and the Hanoi Stock Exchange, this year, up to the end of February 2025, there has been no recorded issuance of individual corporate bonds.

The market recorded only 4 public corporate bond issuances with a total value of about VND5,554 billion in January.

No individual corporate bond lots were issued in the first two months of the year.

In February, businesses bought back VND2,592 billion worth of bonds before maturity, down 58% compared to the same period last year. In the first two months of the year, the total value of bonds bought back before maturity reached VND15,976 billion, up 13.1% compared to the first two months of 2024. Real estate is the leading industry group, accounting for about 67.1% of the total value of early buybacks (equivalent to about VND10,717 billion).

In the remaining 10 months of 2025, the total value of bonds due is VND 192,303 billion. Of which, 54.6% of the value of bonds due to mature belong to the real estate group with VND 105,039 billion, followed by the banking group with VND 41,166 billion (accounting for 21.4%).

In the secondary market, corporate bond transactions have also tended to decrease since the beginning of the year. Specifically, the total value of privately issued bond transactions has reached about VND153,619 billion since the beginning of the year.

Of which, in January, transactions reached 80,128 billion VND, an average of 4,713 billion VND/session, down 21% compared to the average in December 2024. In February 2025, transactions reached 73,491 billion VND, an average of 3,675 billion VND/session, down 22% compared to January.

Although the corporate bond market was quiet in the first two months of the year, according to many experts, the outlook for 2025 will be brighter.

Mr. Nguyen Quang Thuan, General Director of FiinRatings, believes that the corporate bond market will grow by double digits in 2025. The high growth momentum in 2025 will not only come from banks and non-bank financial institutions such as finance companies but also from large corporate sectors such as residential real estate, energy and infrastructure with the policy and legal measures and actual capital needs that we observe today.

Analysts at VCBS Securities Company believe that low interest rates will create favorable conditions for businesses to issue bonds at lower costs and restructure capital. The issuance volume will still be led by bank bonds; while real estate businesses are also gradually regaining investor confidence.

However, experts predict that there will be a difference in the ability to issue bonds between reputable issuers and those with a history of late interest and principal payments.

On the demand side, in the context that the mobilization interest rate will be maintained at a low level this year, investors tend to shift capital to investment channels that bring higher returns, which contributes to supporting the corporate bond market.

On the other hand, VCBS also noted that the upward trend in prices of other asset channels (including traditional and non-traditional channels) could reduce the attractiveness of the corporate bond market to investors.

Source: https://www.anninhthudo.vn/thi-truong-trai-phieu-vang-lang-dau-nam-post605657.antd