Shares on both of the nation's stock exchanges declined on Sept. 29 as investors increased their selling on fears of a new tightening in credit policy and how such a move would hinder the business environment.

The State Bank of Vietnam issued a new circular capping deposit interest rates for non-term deposits at no more than 6 per cent per year.

On the HCM Stock Exchange, the VN-Index closed on Sept. 29 at 428.08 points, a decline of 1.36 per cent from Wednesday, with decliners outnumbering advancers by 165-60.

However, the value and volume of trades doubled Sept. 28's levels, reaching 1.26 trillion VND (60.6 million USD) on a volume of 78 million shares.

Among the 10 leading shares by capitalisation, only real estate developer Vincom Co (VIC) saw gains.

Becamex Infrastructure Development Co (IJC) was the most-active share nationwide with over 9 million shares exchanged, although it closed off by 1.4 per cent by the end of the session.

On the Hanoi Stock Exchange, the HNX-Index lost over 2 per cent to close at 72.09. The value of trades rose 53 percent to 591.7 billion VND (28.4 million USD) while volume climbed 56 percent to 55.9 million shares.

Losers overwhelmed gainers by 233-52.

Kim Long Securities Co (KLS), the most-active share on the Hanoi bourse with 5.3 million shares traded, closed down 3.2 percent to 12,000 VND.

Foreign investors marked their eighth consecutive session as net sellers in HCM City , but by a net of only 5.6 billion VND (271,800 USD). Meanwhile, they were buyers in Hanoi by a margin of just 600 million VND (29,000 USD)./.