Nguyen Thanh Phong, chairman of the HCM City People’s Committee, strikes the gong at the Ho Chi Minh Stock Exchange on February 3 to mark the reopening of the bourse after the Lunar New Year holidays. (Photo: VNS)HCM City (VNA) – HCM City wants Ho Chi Minh Stock Exchange (HOSE) to beclosely linked to the international financial centre and become a ‘barometer’of the economy.
Chairman ofthe municipal People’s Committee Nguyen Thanh Phong made the statement at aceremony on February 3 to mark the reopening of HOSE after the Lunar New Yearholiday.
HCM Citywill speed up equitisation of State-owned enterprises to bring good ones andtheir brands into the stock market, he said.
Hailing the exchange’s achievements last year, he saidthe city would focus on becoming an international financial centre.
“The city also hopes that HOSE will optimise its role as a channel toeffectively mobilise and allocate resources, create connections and leadbusinesses and market members towards [adopting] international standards.”
Nguyen Vu Quang Trung, HOSE’s deputy CEO, said despite the global economicinstability and trade conflicts, Vietnam’s stock market remained an attractivedestination for foreign investors last year.
This year would be an exciting one with important events in the securitiesindustry, he said.
The amendments to the Securities Law that would come into effect on January 1,2021, would be a turning point in perfecting the legal framework and improvingmarket quality.
“The new, comprehensive, integrated information technology system created byHOSE is expected to be completed and put into operation this year.
“It will help modernise technology infrastructure, enabling Vietnam’s stockmarket to get closer to good standards and practices in the world.”
Deputy Minister of Finance Huynh Quang Hai spoke about some key measuresenvisaged to make the stock market stronger and more efficient in 2020.
They include completing decrees and documents guiding implementation of theamended Securities Law, restructuring the stock market, establishing theVietnam Stock Exchange by restructuring the two existing markets, strengtheningthe equitisation mechanism, divesting State capital in enterprises,implementing measures to upgrade Vietnam’s status from a frontier to anemerging market, and enhancing regulations of the market development, he added.
By the end of last year, the southern bourse had 382 listed companies.
Its market capitalisation is 250 percent of the city’s GRDP, higher than thetarget of 70 percent set for 2020, and the daily average trading is 4 trillionVND (172 million USD), or 88 percent of the country’s total./.
VNA
