14:45 | 03/01/2019 Economy
Minister of Finance Dinh Tien Dung attended a gong-striking ceremony on January 2 to open the first trading day of Vietnam’s stock market in 2019, voicing hopes of a better outlook in the New Year.
|Finance Minister Dinh Tien Dung strikes the gong to open the first stock trading day of 2019 - Photo: Thoi bao tai chinh|
At the Hanoi Stock Exchange, Minister Dung affirmed the role of the stock market as an effective channel to mobilize capital for the economy.
Last year, Vietnam’s benchmark VN-Index fell 9.3% in line with global trends but the market capitalisation of Vietnam’s stock market rose by 10.6% to nearly VND3.9 quadrillion (US$167.7 billion), equivalent to 70.2% of the GDP and exceeding the target for the 2011-2020 period.
The value of listed bonds also rose 10.5% to nearly VND1.2 quadrillion (US$51.6 billion), equivalent to 20.3% of the GDP.
Last year also saw a remarkable performance by the listed firms, whose revenues and profits in the first nine months of 2018 increased by 20.5% and 24.9% respectively, while brokerage firms also posted profit growth of 40%.
Vietnam’s stock market was considered the most successful in Southeast Asia in mobilizing funds.
According to the finance minister, the government aims to approve the revised securities law in 2019 in order to better protect the legitimate interests of investors.
In addition, steps will be taken to establish the Vietnam Stock Exchange by restructuring two bourses in Hanoi and Ho Chi Minh City and rolling out derivative products and futures contracts on a number of new indexes.
Meanwhile, the government will step up measures to upgrade Vietnam from a frontier market to an emerging market.