PM beats gong to open first securities trading session after Tet

Tuesday, 2019-02-12 17:01:48
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PM Nguyen Xuan Phuc at the gong-beating ceremony at the Hanoi Stock Exchange (Photo: Tran Hai)
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NDO - Prime Minister Nguyen Xuan Phuc attended a gong-beating ceremony held at the Hanoi Stock Exchange on February 12 to begin the first trading session of the Vietnamese stock market after the Tet holiday.

The Government leader said that the Vietnamese stock market is growing increasingly, positively contributing to national socio-economic development as well as the financial market in particular.

“Vietnam's stock market has become a successful launching platform for many large enterprises which also supports the equitisation of state-owned enterprises and, alongside the banking credit system, it creates a more balanced and efficient structure of Vietnam's financial market, supporting the development of the domestic economy," the PM emphasised.

He noted that the development of the stock market in order to create a channel to mobilise medium and long-term capital for economic development is a major and consistent policy of the Party and State.

The market capitalisation of the Vietnam’s stock market has increased nearly 17 fold in the past 12 years, from 22.7% of GDP in 2006 to 72% of GDP in 2018.

Capital mobilisation of private enterprises, through issuing corporate shares and bonds, increased by 70% in 2017 and over 30% in 2018, reaching VND86 trillion (US$3.69 billion), making Vietnam the most successful country in Southeast Asia in terms of capital mobilisation through the securities channel.

PM Phuc also mentioned certain shortcomings in the Vietnamese stock market in order to seek solutions to address the problems, including the small scale of the market, a lack of transparency, and the sluggishness of equitised enterprises being listed on the stock exchange, among others.

Finance Minister Dinh Tien Dung said that the finance sector will strive to develop the Vietnamese stock market in a sustainable manner in accordance with international standards.