Vũ Thị Chân Phương, chairwoman of the State Securities Commission of Việt Nam, speaks at the conference in HCM City on July 2. — VNA/VNS Photo

HCM CITY — With Việt Nam targeting sustained high economic growth in the coming years, strengthening the capital market, especially the framework governing securities and corporate bond issuance, is seen as a key step towards mobilising long-term funding for businesses and the broader economy, a conference heard in HCM City on July 2.

Speaking at the “Securities Issuance – A Driver of Economic Growth” conference organised by the State Securities Commission of Việt Nam (SSC), SSC Chairwoman Vũ Thị Chân Phương said Việt Nam is entering a new stage of development that requires more effective mobilisation of domestic and international resources to support investment, innovation, and productivity growth.

Alongside institutional reforms, it needs a modern, transparent, and efficient financial system to achieve rapid and sustainable growth, with the stock market playing a central role in channelling medium- and long-term capital into production and business activities.

In line with the Government's strategy to develop the capital market into a key pillar of the national financial system, Việt Nam's stock market has achieved steady growth, she said.

In 2025, total capital raised through share offerings and private corporate bond issuance topped VNĐ763.5 trillion (US$29.1 billion).

In 2026, as of mid-June, share issuance have been worth VNĐ114.1 trillion ($4.3 billion), up more than 67 per cent year-on-year.

Private corporate bond issuances totalled VNĐ148.8 trillion, similar as last year.

Phương said the figures reflect strong financing demand from businesses and improving investor confidence, reinforcing the capital market's role as a key source of long-term funding for the economy.

To support sustainable market development, the Ministry of Finance and the SSC have refined the legal framework to facilitate raising of capital while strengthening transparency and investor protection.

A major reform was Decree 245/2025/NĐ-CP, which amended regulations guiding the Law on Securities.

Since taking effect, it has simplified administrative procedures, shortened approval times for securities offerings, and enabled companies to access the capital market more efficiently.

The Government has also issued Decree 200/2026/NĐ-CP, further strengthening the legal framework for private corporate bond issuance in the domestic and overseas markets.

According to Phương, the decree was created by taking lessons from the market and feedback from regulators, businesses, and market participants.

"The decree is not designed to tighten fundraising, but to build a more transparent, professional, safe, and sustainable issuance environment.

"Only when issuers fully comply with regulations, disclose information accurately, use proceeds for the intended purposes, and honour commitments to investors can the market develop sustainably and financing costs gradually decline."

A representative of the State Securities Commission of Việt Nam presents the key provisions of Decree No. 200/2026/NĐ-CP on private corporate bond offerings in the domestic and international markets at the conference. — VNA/VNS Photo

Balancing flexibility with market discipline

Hoàng Văn Thu, vice chairman of the SSC, said Decree 200 strikes a balance between facilitating corporate fundraising and strengthening market discipline.

One of the decree's key changes is a clearer framework for the use of bond proceeds. Corporate bonds may only be issued to finance investment projects in line with the Law on Investment, while issuers are required to separately monitor the proceeds to ensure they are used for their intended purposes as outlined in the issuance plan and disclosed to investors.

To optimise cash management while safeguarding bondholders' interests, the decree supplements regulations allowing enterprises to deposit proceeds from bond offerings at commercial banks or foreign bank branches, or to purchase certificates of deposit issued by those institutions in cases where the scheduled disbursement timeline has not yet arrived.

Companies can also change the intended use of proceeds or bond terms after issuance provided they obtain approval from competent authority and bondholders.

At the same time, the decree raises issuance standards to strengthen investor confidence.

Bonds sold to individual investors must carry a credit rating and have eligible collateral or payment guarantees.

The collateral must fully cover the bond principal and cannot consist of the issuer's own shares, equity interests, or bonds.

It also introduces a debt-to-equity ratio limit, standardises issuance documentation, strengthens disclosure requirements, and clearly defines the responsibilities of underwriters, auditors, credit rating agencies, and other parties.

Regulatory oversight has also been strengthened through clearer responsibilities for supervisory agencies, stronger post-issuance inspections, and stricter enforcement.

Trịnh Ngọc Hoa, CEO of Asam Securities Corporation, said the corporate bond market, especially the private placement segment, has experienced great volatility in recent years, with several high-profile violations damaging investor confidence.

Hoa said Decree 200 closes key regulatory gaps, enhances transparency, gradually restores investor confidence, and enables businesses to access idle capital effectively.

She added that a stronger corporate bond market would also help ease pressure on the banking sector to provide medium- and long-term financing, as banks primarily rely on short-term deposits while businesses require longer-term funding.

Hứa Khánh Vân, head of fundraising and investor relations at Nam Long Investment Corporation, said Decree 200 addresses several practical challenges faced by property developers seeking long-term financing.

She said clearer rules on the use of proceeds provide companies with greater legal certainty when preparing issuance plans.

The permission to change the intended use of funds is particularly valuable for property developers, whose projects often span many years, she said.

The decree also allows companies to place idle funds in bank deposits, helping improve capital efficiency, she said. — VNS