Business News

The Vietnamese bond market is expected to undergo a significant resurgence in 2025, following a tumultuous period marked by volatility and uncertainty. As the economy gradually stabilises, analysts are predicting a robust recovery driven by a combination of factors, including the increasing need for businesses to raise capital and the strategic initiatives of the banking sector to issue bonds that cater to investor demand.

The stock market started the first trading session of March on a positive note, with the VN-Index edging closer to the 1,310-point mark. Liquidity saw a significant increase, while foreign investors continued their net-selling trend.

Vietnamese commercial banks are optimistic about their 2025 profit targets, with many expecting increases of 20 per cent to 30 per cent due to anticipated robust economic growth and a resurgence in credit activity.

Experts forecast that this year, banks will race to increase their charter capital in order to improve capital adequacy ratios and meet the capital needs for high credit growth.

Recent financial disclosures from over 900 listed enterprises reveal a 20.9 per cent year-on-year growth in profits after tax for the fourth quarter (Q4) of 2024.

The PM said that the banking industry is a key growth lever. Therefore, besides further studying policies for traditional growth drivers such as investment, export and consumption, banks must focus on credit policies.

In 2024, the Vietnamese banking industry faced continuing headwinds with flexible policies on sectoral administration and inflation control and strong restructuring steps designed for the 2021-2025 phase.

Việt Nam’s stock market staged a strong rebound last week, recovering after two weeks of consecutive declines that had wiped more than 40 points from the VN-Index.