Vietnam raises $171.5 mln in government bond auction
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HANOI, July 24 (Reuters) -Vietnam's State Treasury raised 4.35 trillion dong ($171.5 million) in a government bond auction on Wednesday, down from the $357 million raised last week.
The uptake was lower, a filing to the Hanoi Stock Exchange showed, with 38% of the offer sold compared with 75% at last week's auction.
Vietnam seeks to raise 400 trillion dong ($15.77 billion) from government bond sales this year, mainly to fund its public investments, among the key drivers of economic growth.
It has raised 186 trillion dong from the sales so far this year, according to data from the exchange.
The State Treasury at Wednesday's auction sold all of the 500 billion dong of 5-year bonds offered with a coupon of 1.90%.
It sold 2.3 trillion of 7 trillion dong of 10-year bonds available with a coupon of 2.76%, and 1 trillion dong of the 3 trillion dong in 15-year bonds with a coupon of 2.96%. It also sold 550 billion of 1 trillion dong of 20-year bonds with a coupon of 2.98%.
On the corporate front, Vietnamese companies have raised 157 trillion dong from bond sales this year up to July 19, according to bond market association data.
The value of corporate bonds redeemed before maturity was 88 trillion dong up to July 19, down 34.1% from a year earlier, the association said.
The value of corporate bonds maturing in the remainder of 2024 is 132.5 trillion dong, 41.8% of which belongs to the real estate sector and 14.7% to the banking sector, it added.
Reporting by Khanh Vu; Editing by Andrew Heavens, William Maclean
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