Stock market capitalisation equals 61% of VN’s GDP
Stock market capitalisation equals 61% of VN’s GDP
Total value of stock market capitalisation in the first 10 months was equal to 61 per cent of Viet Nam’s gross domestic product, the National Financial Supervisory Commission (NFSC) reported.
With the debut of Vincom Retail JSC on the HCM Stock Exchange on Monday under code VRE, the total market capitalisation has reached US$132 billion.
NFSC said in its economic-financial report for October and 10 months of 2017 that the figure was achieved thanks to the efforts of the Government to reform and improve the economy.
These efforts also put a number of large-cap companies on the stock market with attractive, high-quality share prices for investors, the commission said.
In the first 10 months, the benchmark VN Index on the HCM Stock Exchange increased by 20 per cent from last year’s ending level and ranked ninth among the world’s fastest growing markets in 2017.
The Vietnamese stock market has continued to perform well with the VN Index closing on Tuesday at 850.33 points, the highest mark since 2008 and increasing by 27 per cent since the beginning of the year.
On the bond market, funding raised from issuance of government bonds also improved. In October, the State Treasury of Viet Nam mobilised VND6.91 trillion (US$307 million) worth of G-bonds, a monthly increase of 41 per cent.
The quantity of G-bonds successfully issued was equal to 61 per cent of the total G-bonds offered in October. The rates in September and August were 47.5 per cent and 24.4 per cent, respectively.
According to the commission, demand for short-term G-bonds (five-year and seven-year term bonds) increased while that for long-term bonds (more than 10-year term) declined.
In the first 10 months, the State treasury completed 85 per cent of the target of its bond issuance plan for 2017, which is expected to be VND183.3 trillion.
