Ho Chi Minh City (VNA) – The Vietnam International Financial Centre in Ho Chi Minh City (VIFC-HCMC) is exploring funding opportunities through JPY-denominated bond issuance, with a proposed maturity of five to 10 years and an indicative interest rate of around 3%.
This is part of efforts to diversify medium- and long-term funding sources for the city's development, according to the VIFC-HCMC.
During the official visit to Japan by General Secretary of the Communist Party of Vietnam Central Committee and President To Lam, the VIFC-HCMC held working sessions with Mitsubishi UFJ Financial Group (MUFG) and Mitsubishi UFJ Morgan Stanley Securities (MUMSS) in Tokyo to discuss potential support for bond issuance through the centre.
The meetings built on previous exchanges between the Ho Chi Minh City Finance and Investment State-owned Company (HFIC) and Japanese partners, helping strengthen the VIFC-HCMC's links with international financial institutions and investor networks.
Discussions focused on international capital mobilisation, particularly bond issuance, and Japanese financial institutions' experience in helping countries access global funding sources.
The parties also explored the possibility of tapping Japan's capital market through JPY-denominated bonds targeting Japanese investors, with maturities of five to 10 years and an indicative interest rate of around 3%. Other topics included investor preferences across different markets, international borrowing costs, global macroeconomic conditions and interest rate trends.
The meetings came as Ho Chi Minh City works to establish the legal framework and necessary conditions for bond issuance through the VIFC-HCMC.
In late October 2026, the municipal People's Council adopted a resolution on the issuance of municipal and project bonds at the centre, providing a basis for the city to explore funding options for key development projects.
At the Vietnam–Japan Public–Private Forum on Economic, Science and Technology Cooperation in Tokyo on November 9, VietinBank and MUFG Bank signed a memorandum of understanding (MoU), aiming to facilitate access to international financial resources, attract investors and explore funding solutions for the city's major projects.
Their cooperation will cover information exchange, financial structuring, business connections and investment opportunities within the two banks' networks. Priority areas include transport infrastructure, smart city building, data centres, digital infrastructure, education, healthcare, environmental infrastructure, green finance and sustainable urban development.
The VIFC-HCMC said international bond market development is one of its four strategic product pillars. By strengthening cooperation with financial institutions experienced in global markets, the centre aims to broaden access to international investors and develop medium- and long-term capital mobilisation channels.
These efforts are expected to connect international financial resources with Ho Chi Minh City's development needs while gradually building a comprehensive international financial ecosystem./.
