Từ khóa: #capital mobilization

As of December 28, Ho Chi Minh City’s total state budget revenue was VND471,562 billion (US$19,9 billion) in 2022 exceeding its target.

Many enterprises in Vietnam are currently facing several difficult challenges in running their operations and these ongoing obstacles are very likely to have a serious effect on their resilience in the long run. 

Improving the quality of residence, promoting apartment accommodation, encouraging economic sectors to invest in building houses, especially those for the low-income are the main missions of the ‘Residential Development Program in Ho Chi Minh City’, introduced by the Chairman of HCMC People’s Committee to the Construction Ministry.

Recently, the State Bank of Vietnam (SBV) has sent a strong message, asking commercial banks to strictly control credit into the real estate sector in the context that the market shows signs of hot growth. This move leads to concerns that the real estate market will face difficulties in the near future.

Financial Technology (Fintech) is made up of five types of financial services. First is the digital payment method, second includes deposits, loans, and capital mobilization, third covers insurance, and the fourth deals with investment management. The fifth type basically only deals with market support. In this, the first two types have great financial potential, especially in developing countries like Vietnam.

Authorities should quickly handle violated enterprises to fortify investors’ confidence. In addition, it is necessary to soon complete the legal corridor for the corporate bond market to develop sustainably, said experts.

After an explosive year in 2021, Vietnam's stock market had seen wobbly fluctuations in the first weeks of 2022. However, according to experts, when the economy has been reopened; Covid-19 vaccination is widely covered; businesses and the economy have gradually recovered, the stock market is still highly expected.

Although the state budget revenue in 2021 exceeded the annual estimate, it is still not enough to convince the tax authorities. When the income structure is unstable and long term, the actual state budget revenue gradually decreases.

The market did not witness a mobilization race between banks this year, although capital mobilization increased slowly. The main reason is due to redirection of capital mobilization through bonds, as most bonds issued by commercial banks were purchased in full by securities companies.

Evaluating the banking activities in February this year, the People’s Committee of Ho Chi Minh City said that the city’s banking industry continued to operate stably and maintain a positive growth rate, contributing to meeting the capital demand for the production and trade activities and to the economic growth of the city.

While stocks of many enterprises and even banks have dropped to below face values, the bond market has warmed up as enterprises raced to mobilize capital through bond issuance, especially small enterprises.

Mr. Nguyen Hoang Minh, Deputy Director of the State Bank of Vietnam – Ho Chi Minh City Branch (SBV-HCMC Branch), reported to the State Bank of Vietnam (SBV) at a meeting on January 10 that the city’s banking industry’s capital mobilization nearly reached VND2.5 quadrillion last year, an increase of 13.5 percent compared to that in 2018, lower than the country’s total capital mobilization of 14.3 percent.

The Hanoi Stock Exchange has recently mobilized VND2.4 trillion worth of government bonds via auction, increasing total mobilized capital by the State Treasury since the beginning of this year to nearly VND87.93 trillion.

According to SSI Securities Corporation in its recently-released report on the financial and monetary market in March, as credit growth of banking sector was merely at 2.28 percent by the end of March, much lower than a growth of 3.56 percent in the same period last year, pressure to boost credit growth will be passed to the second quarter, leading to high demand for capital mobilization with interest rates unlikely to decline.