Officials of the Hanoi Stock Exchange check at an online bonds bidding. (Source: VNA)
Hanoi (VNA) – The State Bank of Vietnam (SBV) will launch three releases of treasury bills on February 2 worth 9 trillion VND (403.5 million USD).
The T-bills are Government bonds issued by the Ministry of Finance with terms of less than one year to assist in financing the State budget, and are an important tool for the central bank to operate monetary policies.
SBV said the bidding on the bills would be combined with competitive and non-competitive interest rates, of which bills with the non-competitive interest rates will not exceed 30 percent of the total bid volume.
The central bank will offer three types of bills in three sessions on February 2.
Accordingly, the first session will issue bills of 3 trillion VND (134.5 million USD), with maturities of 13 weeks. Payment must be completed within the day, while the due date is March 5, 2016. The second session will issue bills of 3 trillion VND with maturities of 26 weeks. Payment must be performed within the day, while the due date will be August 2, 2016. The third session will issue bills of 3 trillion VND with maturities of 39 weeks. Payment must be completed within the day, with a due date of November 1, 2016.
Last year, the treasury issued 31.13 trillion VND (1.395 billion USD) in T-bills.
On January 27, the State Treasury off-loaded 2.111 trillion VND (94.6 million USD) in 30-year bonds offered on that day, said the Hanoi Stock Exchange (HNX), the bond auction organizer.
HNX 30-year bonds, the longest term for bonds so far sold in Vietnam, were sold with a coupon rate of 8 percent per year, adding that 2 trillion VND (89.6 million USD) in bonds were sold successfully, and the treasury offered another 111 billion VND (4.97 million USD), selling all in extra bidding that same day.
Meanwhile, the treasury only sold 523 billion VND (23.45 million USD) of the 1 trillion VND (44.84 million USD) three year bonds offered, the most attractive G-bonds in the market with a coupon rate of 5.78 percent per year.
HNX said the treasury also offered 3 trillion VND in five year bonds that day and sold 2.4 trillion VND (107.6 million USD) at a coupon rate of 6.58 percent per year.
The exchange noted that the treasury mobilised 10.776 trillion VND (482.5 million USD) in G-bonds in January. In all 2016, the treasury plans to issue 220 trillion VND (9.86 billion USD) in G-bonds.-VNA
