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the corporate bond market in the period of 2021 - 2023. Commercial banks are the main
investors participating in the corporate bond market. Unlike government bonds,

corporate bonds are classified as credit groups by commercial banks and are often
managed by the credit department. The market, therefore, has more of a credit market
than a capital market. There are currently no comprehensive statistics on the secondary
trading of corporate bonds, so it is unclear how the ownership ratio of investors has
changed after issuance (MOF (2024).
Individual investors in the market in 2023 decreased sharply compared to 2021
with the regulation that only professional individual investors are allowed to buy and
sell privately issued corporate bonds. Instead, securities companies emerged with a

significant ownership volume in the market, accounting for 22.58% of the total issuance
value in 2023 (HNX, 2024).
3. Assessment of the current status of development of Vietnam's corporate
bond market
3.1. Achievements
Firstly, the market size is increasingly expanding

In the period 2017 - 2021, the individual corporate bond market grew strongly due
to the shift of mobilized capital from bank loans to bond issuance in the context of
declining credit growth. For corporate bonds, in general, in 2023, the value of individual
corporate bond issuance was 287,164 billion VND, and the value of public issuance was
37,070 billion VND. The proportion of public bond issuance in 2023 skyrocketed to
11.43%, 7.3 percentage points higher than in 2022 and the highest level since 2015
(HNX, 2024).

On the banking side, BIDV is leading in green bond issuance. By the end of 2023,
VND 2,500 billion worth of bonds had been issued according to the green bond
standards of the International Capital Market Association (ICMA). BIDV is the first
commercial bank to issue green bonds according to international standards in the
domestic market. Within just two months of issuance, BIDV has disbursed all bond
capital to finance renewable energy, wind power, solar power, and sustainable transport

projects. The issuance of green bonds affirms the bank's sustainable development
strategy and the desire to contribute to the Vietnamese Government to fulfill its
commitment to achieving net zero emissions by 2050. BIDV also aims to become a Net
Zero Bank by 2050 (MOF (2024).
Secondly, the legal framework is gradually being completed
In addition to the figures on the scale and value of corporate bond issuance, the
legal framework on bonds has been and is gradually being completed. Decree No.
65/2022/ND-CP dated September 16, 2022, amending and supplementing several

articles of Decree No. 153/2020/ND-CP dated December 31, 2020, regulating the
offering and trading of individual corporate bonds in the domestic market and the
offering of corporate bonds in the international market. In 2023, the Government issued
Decree 08/2023/ND-CP amending, supplementing, and suspending the implementation
of a number of articles in the Decrees regulating the offering and

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