New stock trading system should be launched in Vietnam soon: deputy minister

By Ta Phu, Minh Hue
Wed, January 3, 2024 | 11:13 am GMT+7

A trading system developed by the Korea Exchange (KRX) should be put into operation in Vietnam soon to ensure synchronous transactions, said Deputy Finance Minister Nguyen Duc Chi on Tuesday.

At a gong ceremony to open the first trading session of the year, Chi emphasized the need to ensure systems for transactions, payments, deposits and clearance operate safely and smoothly.

He held that 2023 was a challenging year for the Vietnamese economy when GDP grew just over 5%. Despite being lower than the target, this rate was still among the highest in the world, Chi noted.

Deputy Finance Minister Nguyen Duc Chi (third, left) at the gong ceremony to open the first stock trading session of the new year 2024. Photo courtesy of Tuoi tre (Youth) newspaper.

Deputy Finance Minister Nguyen Duc Chi (third, left) at the gong ceremony to open the first stock trading session of the new year 2024. Photo courtesy of Tuoi tre (Youth) newspaper.

Desite multiple challenges, the VN-Index, which represents the Ho Chi Minh Stock Exchange (HoSE), still closed in 2023 at 1,129.93 points, up over 12% from the end of 2022.

Trading value reached more than VND17.5 trillion ($719.13 million) per session. Market capitalization hit nearly VND6,000 trillion ($246.56 billion), an increase of more than 9% compared to the previous year, equivalent to about 62% of GDP in 2022.

The number of new investor accounts rose by over 350,000, bringing the total number of accounts to more than 7.4 million, equivalent to 7.5% of the population, the deputy minister added.

“As the regional and world situation is forecast to continue to be complicated this year, financial and fiscal policies need to be flexible and cautious, and closely follow regional and global developments,” he noted.

“One of the key solutions to develop the stock market is to continue to improve mechanisms, amend legal regulations, and remove difficulties with a long-term vision towards sustainable market development,” Chi said, adding Vietnam needs to deploy the stock market development strategy until 2030 after it's approved by the Prime Minister.

In addition, it is necessary to develop new products, reform administrative procedures, and create the most favorable conditions for listed organizations to register for trading, he stated.

The State Securities Commission (SSC) should strengthen its role as a market regulator, proactively monitoring units, improving market supervision and goods quality, strictly handling violations, and protecting the legitimate rights and interests of investors, thus restoring market confidence, he added.

“The SSC needs to proactively coordinate closely with ministries and agencies to implement relevant solutions towards upgrading Vietnam's stock market,” Chi stressed.

It is necessary to approach international standards, narrow the development gap between the Vietnamese and world stock markets, improve the quality of human resources, and ensure information is readily available to the market, he added.

At the event, SSC chairwoman Vu Thi Chan Phuong said that in 2024, her agency will focus on perfecting policies and mechanisms, strengthening inspection and supervision, and strictly handling violations in the market towards upgrading of Vietnam’s market from ‘frontier’ to ‘emerging’.

The VN-Index rose slightly by 0.16% to 1,131.72 points on Tuesday, with trading value hitting VND17.111 trillion ($703.29 million).

Comments (0)
  • Read More
Central Vietnam province plans to build $2.4 bln LNG power plant from 2031

Central Vietnam province plans to build $2.4 bln LNG power plant from 2031

The 4,800-MW Chan May LNG power plant, with an investment of $2.4 billion, can be deployed in 2031-2035, according to Thua Thien Hue authorities.

Energy - Thu, November 21, 2024 | 10:41 pm GMT+7

Indonesia, France step up cooperation in economy, defence

Indonesia, France step up cooperation in economy, defence

Indonesian President Prabowo Subianto discussed economic and defence cooperation during a bilateral meeting on Tuesday with French President Emmanuel Macron on the sidelines of the G20 Summit in Rio de Janeiro, Brazil, Antara reported.

Southeast Asia - Thu, November 21, 2024 | 10:25 pm GMT+7

Thai economy to maintain upward momentum in 2025

Thai economy to maintain upward momentum in 2025

The National Economic and Social Development Council of Thailand (NESDC) expects the Thai economy to sustain its upward momentum in 2025 with a growth of 2.3-3.3% despite growing risks.

Southeast Asia - Thu, November 21, 2024 | 10:24 pm GMT+7

Former parliament chairman Vuong Dinh Hue warned for violations

Former parliament chairman Vuong Dinh Hue warned for violations

The Politburo, Vietnam's supreme decision making body, on Wednesday issued warnings to Vuong Dinh Hue, former Chairman of the National Assembly, and Nguyen Van The, former Minister of Transport, for violations while on duties.

Politics - Thu, November 21, 2024 | 10:10 pm GMT+7

Sumitomo insists on building LNG power plant in central Vietnam

Sumitomo insists on building LNG power plant in central Vietnam

Japanese trading house Sumitomo has been pushing for a liquefied natural gas (LNG)-fed power plant investment in Vietnam’s central province of Khanh Hoa.

Energy - Thu, November 21, 2024 | 8:53 pm GMT+7

Vietnam’s Vinhomes fulfils 67% of record buyback plan

Vietnam’s Vinhomes fulfils 67% of record buyback plan

Vinhomes, the housing development arm of conglomerate Vingroup, has purchased back 246.98 million shares, meeting 66.75% of the plan and accounting for 5.7% of the outstanding volume.

Finance - Thu, November 21, 2024 | 8:43 pm GMT+7

Vietnam high-speed railway should run beyond Hanoi, HCMC on either side: lawmakers

Vietnam high-speed railway should run beyond Hanoi, HCMC on either side: lawmakers

Vietnam’s mega North-South high-speed railway project should be redesigned and extended beyond Hanoi and Ho Chi Minh City as currently planned, several lawmakers have suggested.

Infrastructure - Thu, November 21, 2024 | 6:11 pm GMT+7

Vietnam-Malaysia relationship upgraded to comprehensive strategic partnership

Vietnam-Malaysia relationship upgraded to comprehensive strategic partnership

Vietnam and Malaysia have upgraded their relationship to a comprehensive strategic partnership, the highest level in the former’s diplomatic hierarchy.

Politics - Thu, November 21, 2024 | 5:21 pm GMT+7

Petrovietnam units sign LNG supply deal for trial run of Vietnam’s first LNG power plants

Petrovietnam units sign LNG supply deal for trial run of Vietnam’s first LNG power plants

PV Power and PV Gas, two units of state-owned Petrovietnam, have signed an LNG supply deal for trial operation of Nhon Trach 3 and Nhon Trach 4, Vietnam’s first LNG-to-power plants.

Energy - Thu, November 21, 2024 | 4:40 pm GMT+7

Sufficient first phase funds ensured for Vietnam’s new mega airport: transport minister

Sufficient first phase funds ensured for Vietnam’s new mega airport: transport minister

Minister of Transport Nguyen Van Thang affirmed Wednesday that funding would be secured for building the Long Thanh International Airport, set to become Vietnam’s biggest.

Infrastructure - Thu, November 21, 2024 | 3:53 pm GMT+7

Bamboo Capital wins kudos for transparent reports, good governance

Bamboo Capital wins kudos for transparent reports, good governance

Vietnamese private conglomerate Bamboo Capital Group has been honored as a Top 20 business with the Best Annual Report and the Best AGM Organization at the 2024 Vietnam Listed Company Awards (VLCA).

Bamboo Capital - Thu, November 21, 2024 | 3:37 pm GMT+7

VAFIE to organize workshop on amendments to horse racing, football betting rules

VAFIE to organize workshop on amendments to horse racing, football betting rules

The Vietnam’s Association of Foreign Invested Enterprises (VAFIE) and The Investor will organize a workshop on suggestions to amend the government’s Decree 06 on horse racing, greyhound racing and international football betting services.

Economy - Thu, November 21, 2024 | 2:38 pm GMT+7

Vietnam Politburo okays international, regional financial centers in HCMC, Danang

Vietnam Politburo okays international, regional financial centers in HCMC, Danang

Vietnam’s highest decision-making body, the Politburo, has greenlighted the establishment of an international financial center in Ho Chi Minh City and a regional financial center in the central city of Danang.

Economy - Thu, November 21, 2024 | 1:50 pm GMT+7

Singapore's Platinum Victory seeks to gain veto at Vietnam’s REE

Singapore's Platinum Victory seeks to gain veto at Vietnam’s REE

Singaporean fund Platinum Victory Pte. Ltd. has registered to buy more shares of Ho Chi Minh City-based utility firm Refrigeration Electrical Engineering Corporation (REE) to achieve the vetoing power in the latter.

Finance - Thu, November 21, 2024 | 11:29 am GMT+7

Posco keen on investing in Vietnam's $2.2 bln LNG power project

Posco keen on investing in Vietnam's $2.2 bln LNG power project

South Korea’s steelmaker Posco is eyeing to invest in the $2.2 billion Quynh Lap LNG-fired power plant project in Vietnam’s central province of Nghe An.

Energy - Thu, November 21, 2024 | 10:42 am GMT+7

Vietnam firm Hoa Lam to build $212 mln Aeon Mall in Mekong Delta

Vietnam firm Hoa Lam to build $212 mln Aeon Mall in Mekong Delta

The Mekong Delta city of Can Tho has accepted a subsidiary of private multi-sector Hoa Lam Group as the investor of the Aeon Mall Can Tho commerce and service center.

Industries - Thu, November 21, 2024 | 10:31 am GMT+7