According to the Ministry of Finance, in the face of violations of issuers over the past time, there is a phenomenon of enterprises increasingly buying back corporate bonds in the market and individual investors selling bonds before maturity due to concerns that enterprises cannot pay their debts.
Faced with this situation, the Ministry of Finance suggested that bond issuers are responsible for balancing the cash flow to ensure the obligations committed to investors when issuing bonds. In case of financial difficulties, they need to actively develop a specific debt repayment plan and work with investors to ensure the interests of investors and their reputations.
Consulting organizations, issuing agents, and depository and bond transfer agents are responsible for coordinating with issuers and investors to ensure signed obligations as well as their reputations when providing services in the market.
When bond issuers face payment difficulties, investors can actively work with them and service providers to agree on a suitable solution. Investors need to carefully analyze and classify the bonds they own to make appropriate decisions, not listen to false information.