The size of the corporate bond market is estimated at some VND1,374 trillion, equivalent to 15% of GDP. The Government aims to raise this figure to 20% by 2025.
A GDP growth of 5.8% in 2021, nearly double the 2.9% growth last year, would boost credit demand.
The lack of independent credit rating firms is hindering the development of the corporate bond market.
The Governor of the State Bank of Vietnam (SBV), Le Minh Hung, is standing firm on low credit growth. This is also an issue that S&P emphasized in in its latest report.