Vietnam to auction 1 trillion dong bonds March 18

Vietnam’s State Treasury will sell two-year and three-year government bonds worth a combined 1 trillion dong next week, the Hanoi Stock Exchange said on Friday.

The Treasury will auction 500 million dong of each maturity on March 18 and issue the bonds on March 23, the exchange said in a statement.

Proceeds from such debt often go towards major infrastructure projects such as roads and bridges, irrigation systems and schools.

In the last auctions on Feb. 4 and March 4 to sell two-year, three-year and five-year bonds worth a combined 2 trillion dong, the State Treasury failed to issue any debt as interest rate bids were higher than its ceiling.

In the last successful auction on Jan. 21, the first government bond auction of 2010, the State Treasury sold just 2 billion dong of five-year bonds out of an offer of 500 billion dong. [ID:nHAN118982]

The government plans to sell bonds worth 66 trillion dong this year, up 22 percent from the estimated proceeds raised in 2009.

Tags: Vietnam bonds auction, Vietnam finance news

Posted by VBN on Mar 12 2010. Filed under Banking-Finance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry