Vietnam treasury to auction 11 trillion dong of 46 10-year bond on March 4

Vietnam treasury to auction 11 trillion dong of 46 10-year bond on March 4

Vietnam to Auction 11 Trillion Dong of 10-Year Bonds Amid Mixed Market Demand

Vietnam’s State Treasury is set to auction 11 trillion dong ($424 million) of 10-year government bonds on March 4, 2026, following mixed results in recent auctions. The upcoming offering comes as the government continues to secure funding amid a growing corporate bond maturity burden.

In the prior auction on February 25, the treasury raised 11.5 trillion dong ($441 million) from 10-year bonds at a coupon rate of 4.09%, representing 52% of the 19.5 trillion dong offered. This marked a decline from the 71% uptake recorded the previous week. Notably, the treasury failed to sell any of the 2.5 trillion dong worth of 5-, 15-, and 30-year bonds offered in the February 25 auction.

Year-to-date, Vietnam has raised 52.4 trillion dong ($2.03 billion) through government bond sales as of February 13. Meanwhile, Vietnamese corporations have issued 8.4 trillion dong ($326 million) in bonds during the same period, according to the Bond Market Association. However, the country faces significant refinancing challenges, with 195.7 trillion dong ($7.6 billion) in corporate bonds maturing by year-end.

The treasury’s focus on 10-year bonds reflects stronger investor appetite compared to longer or shorter maturities. Analysts suggest this trend may stem from current yield expectations and liquidity conditions in the domestic debt market. The March 4 auction will test whether demand stabilizes following the dip in February.

With public and corporate borrowing needs remaining elevated, the success of this auction could influence Vietnam’s fiscal strategy and market confidence in its debt management. Investors will closely monitor the coupon rate and subscription levels to gauge broader economic sentiment.

Source: Brecorder, Marketscreener
Source: Longbridge