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ARTICLE · 22 FEBRUARY 2011

Vietnam Issues Decree on Bond Issuance

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On 5 January 2011, the Vietnamese Government issued Decree 01/2011/ND-CP on issuance of Government bonds, Government-guaranteed bonds and local administration bonds (Decree 01).

VietnamFinance and Banking

Originally published 18 February 2011

Keywords: Vietnam, Government bonds, government-guaranteed bonds, local administration bonds, Decree 01

On 5 January 2011, the Vietnamese Government issued Decree 01/2011/ND-CP on issuance of Government bonds, Government-guaranteed bonds and local administration bonds (Decree 01).

Of note, Decree 01 clearly sets out the types of projects eligible for Government guarantee: projects in which investment is decided by the National Assembly (NA) or the Prime Minister (PM), projects applying high technologies and projects in the sectors of energy, mineral exploitation and processing, or export production or provision of export services.

Decree 01 is significant in that it links Government bonds issuance activity with public debt management under the Law on Public Debt Management adopted by the NA on 17 June 2009. Decree 01 also allows Government bond issuance to be used to restructure debts and debt portfolios, as well as

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