Mobilizing more than 173,000 billion VND through stocks and corporate bonds in 2024

Looking back at 2024, the securities industry achieved many positive results. The key tasks for 2025 were outlined by Minister of Finance Nguyen Van Thang at the recent summary conference, including accelerating the progress of the KRX (Knowledge, Skills, and Value) program.

Mobilizing more than 173,000 billion VND through stocks and corporate bonds in 2024

Looking back at 2024, the securities industry achieved many positive results. The key tasks for 2025 were outlined by Minister of Finance Nguyen Van Thang at the recent summary conference, including accelerating the progress of the KRX (Knowledge, Skills, and Value) program.

Over 173,000 billion VND was raised through stocks and corporate bonds, with the number of accounts exceeding the target.

Reporting at the conference summarizing the work of 2024 and implementing tasks for 2025 on the afternoon of December 18th, the leaders of the State Securities Commission stated that the market capitalization of stocks on the three exchanges (HoSE, HNX, and UPCoM) reached 7,085 trillion VND, an increase of 19.3% compared to the end of the previous year; equivalent to 69.3% of the estimated GDP in 2023.

Despite fluctuations at certain times due to the impact of the global geopolitical situation, thanks to solid support from the macroeconomic foundation and the effective implementation of various solutions, the securities industry has achieved many positive results. In particular, the VN-Index maintained its growth momentum compared to the end of 2023. As of December 16, 2024, the VN-Index reached 1263.79 points, an increase of 11.8% compared to the end of the previous year. Meanwhile, the HNX-Index closed at 227.04 points, a decrease of 1.7% compared to the end of the previous year. Stock market liquidity grew significantly with a solid inflow of capital from domestic investors. Since the beginning of the year, the average daily trading value has reached VND 21,225 billion, an increase of 20.7% compared to the average of the previous year, thanks to the contribution of domestic investors, despite foreign investors making net sales.

The number of investor accounts has officially exceeded the government's target, reaching 9.15 million cumulative accounts since the beginning of the year, an increase of 1.86 million accounts this year. This figure is equivalent to approximately 9% of the population, achieving the target of 9 million accounts before the 2025 deadline and aiming for 11 million accounts by 2030 as outlined in the Stock Market Development Strategy to 2030, approved by the government at the end of 2023.

In 2024, the derivatives market continued to play its role in capital allocation and risk hedging. In the first six months of 2024, against the backdrop of significant volatility in the underlying market, the derivatives market effectively hedged risks and attracted investment capital. The number of derivatives trading accounts continued to grow, reaching 1,819,961 accounts at the end of November, an increase of 343,441 accounts compared to the end of last year. The bond market continued its strong recovery with an average daily trading value of VND 11,542 billion, a 77.1% increase compared to the previous year's average. Foreign investors returned to net buying, reaching VND 1,417 billion. The scale of listings continued its growth momentum with 466 listed bonds, totaling over VND 2,304 trillion, a 13.5% increase compared to 2023, equivalent to 22.5% of the estimated GDP in 2023.

From the beginning of the year to November 30, 2024, the total amount of capital raised through public company stock and bond offerings was VND 173,052 billion. In the first 11 months of 2024, capital raised for the state budget through government bond auctions is estimated at VND 323 trillion, an increase of 5.8% compared to the same period last year.

In addition, according to the leaders of the State Securities Commission, the business performance of most listed companies and large-scale companies registered for trading has been positive amidst signs of positive economic recovery both domestically and globally.

Key task for 2025: Accelerate KRX progress and develop new indicators.

In his keynote address at the conference, Minister of Finance Nguyen Van Thang acknowledged and highly appreciated the stock market's impressive performance in 2024, despite the continued complex and volatile global economic situation and geopolitical tensions, with many uncertainties affecting the market.

The Minister also highly appreciated the supervision and handling of violations in the past year, which have been strongly strengthened by the Securities sector, contributing to consolidating market discipline and enhancing the confidence of domestic and foreign investors in the Vietnamese stock market. This is coupled with efforts in developing amendments and supplements to the Securities Law, which have been approved by the National Assembly, alongside the decisive solutions implemented towards the goal of upgrading the stock market by 2025 as directed by the Government and the Prime Minister.

To further develop a modern, transparent, efficient, and sustainable stock market, making it a crucial and primary channel for capital mobilization within the national financial system and contributing to enhancing the competitiveness of the Vietnamese economy, Minister Nguyen Van Thang proposed that the securities sector focus on several key tasks in 2025.

The first task is to focus on finalizing the Decrees and guiding documents for the implementation of amendments and supplements to the Securities Law in Law No. 56/2024/QH15; and to synchronously implement the solutions set out in the Securities Market Development Strategy until 2030 approved by the Prime Minister.

At the same time, the State Securities Commission needs to continue organizing and operating the market to ensure stability, smoothness, security, and safety; accelerate the deployment of new information technology systems for the securities trading market; and promptly implement other information technology projects to modernize the management and supervision of the securities market.

Minister Nguyen Van Thang also requested the continued development of the stock market towards efficiency, modernity, and increasingly approaching the highest international standards. This includes focusing on building new indices, creating conditions for investment funds to invest in indices; researching and developing new products such as green bonds, sustainable bonds, and infrastructure bonds; restructuring investors through the development of fund institutions, gradually increasing the scale and financial capacity of fund management companies to encourage the participation of foreign investors and institutional investors in the stock market.

In addition, the State Securities Commission needs to reorganize the market sectors and categorize listed companies to suit market development conditions; and research and develop a secondary carbon credit trading market and a trading market for innovative startups.

The State Securities Commission of Vietnam (UBCKNN) needs to strengthen international cooperation, enhance Vietnam's image and position on the international stage, aiming for market upgrade in 2025; successfully organize the Asia-Pacific Regional Sub-Committee Meeting (APRC) - IOSCO; and actively participate in international cooperation forums such as the ASEAN Sustainable Financial Classification Council and the ASEAN Capital Markets Forum.

Minister Nguyen Van Thang requested the State Securities Commission (SSC) to strengthen inspection, auditing, and strict handling of violations in the stock market to enhance discipline and order, aiming for transparent and sustainable development of the stock market. The SSC also needs to strengthen the dissemination of knowledge about transparent investment, compliance with the law, and prevention of risks and fraudulent activities in the market, encouraging investors to pursue long-term investments, contributing to the stability and sustainable development of the market.

Source: https://baodautu.vn/huy-dong-hon-173000-ty-dong-qua-kenh-co-phieu-va-trai-phieu-doanh-nghiep-nam-2024-d232972.html