Fixed Income July 2015 - Yields steady despite pickup in bond demand
  • 2015-07-17T00:00:00
  • Fixed Income
The auction success ratio climbed to 60% from 33% one month earlier and yields have stabilized after last month’s rally. The increased demand was in part driven by rollover of VND 31t of G-bonds and G-backed bonds that expired in June (vs. VND 17t monthly average). The Treasury wants to raise VND 60t in 3Q15 despite issuing only VND 19t or 25% of its goal in the 2Q. Of note, 20-year bonds will be introduced in 3Q to fill demand from insurance firms for longer term instruments.