Vietnam State Treasury (VST) is preparing to issue 20-year bonds at VND100,000 ($5.15) each, for a total of $276 million to $322 million.

The issuance is expected to take place from July 29 to December 31.

VST will directly issue the bonds via retailing. The interest rate will be negotiated between the Ministry of Finance and the organization registered to purchase the bonds and will be paid annually, with the principal paid on the date of the bond.

The bond issuance is aimed at development investment in 2015 and is targeted at insurance companies.

The date for calculating the tenor is the day VST receives payment.

The tenor of the bond issuance is the longest ever, exceeding the previous longest tenor of 15 years.