On the afternoon of August 30, 2022, Deputy Minister of Ministry of Finance of Viet Nam Mr. Ta Anh Tuan had a meeting with the delegation of the Ministry of Economy and Finance and the Securities Commission of Cambodia led by Mr. Pen Thirong - General Director of the Ministry of Economy and Finance as the head. The meeting discussed Government bonds. Representatives of leaders of some specialized units from both sides also attended the meeting.
Deputy Minister Ta Anh Tuan spoke at the meeting
On behalf of Ministry of Finance of Viet Nam, Deputy Minister Ta Anh Tuan welcomed the delegation of the Ministry of Economy - Finance and the Securities Commission of Cambodia to work at the Ministry of Finance of Viet Nam, especially on the occasion that Vietnam is celebrating its 77th anniversary National Day of the Socialist Republic of Vietnam (September 2, 1945 - September 2, 2022).
At the meeting, the representatives of the two sides emphasized the strong cooperation relationship between Vietnam and Cambodia in general and the two Ministries in particular over the past time and affirmed that there is still plenty of room to develop the relationship in the near future. Representatives of the two sides shared the view that, in Vietnam, the stock market, although still young, has confirmed an important role in capital mobilization, including capital mobilization for the private and public sectors. Currently, the capital size of the stock market has reached about 110% of GDP, exceeding the set target (70% of GDP in 2020). Vietnam has also issued government bonds with long maturities (average 13-14 years); low interest rates. Regarding public debt management, foreign debt has decreased from more than 70% to more than 30%. In the context that capital resources are still needed for economic recovery and development after the pandemic, especially when ODA loans are gradually reduced, the stock market plays an important role in freeing up domestic and foreign capital and raising transparency in corporate governance.
According to Deputy Minister Ta Anh Tuan, although Vietnam has become a middle-income country, Vietnam's economy is still difficult. But with the point of view of "selling distant brothers, buying close neighbors", Vietnam always wants to cooperate closely with neighboring countries, the closest are Laos and Cambodia; closely support both financial and policy mechanisms. According to the Deputy Minister, in terms of policy mechanisms, there is still a lot of room for cooperation between Vietnam and Cambodia, especially in the context that the two countries are carrying out economic and financial reforms, including capital market development, stock market. “We are ready to share our experiences and successful lessons as well as unsuccessful lessons about the financial mechanism in general and the stock market in particular. In Vietnam, the stock market is in the process of restructuring and getting healthy. We are making efforts to reform and healthy the market so that the market can develop better.” - Deputy Minister emphasized.
Mr. Pen Thirong - General Director of the Ministry of Economy and Finance of Cambodia
spoke at the meeting
At the meeting, Mr. Pen Thirong - General Director of the Ministry of Economy and Finance of Cambodia thanked Viet Nam for its financial support for Cambodia to implement major projects, including the project of the Cambodian National Assembly headquarters. At the same time, he expressed his gratitude to the leaders of the Ministry of Finance of Viet Nam for sharing about Vietnam's capital market development and public debt management. A representative of the Ministry of Economy and Finance of Cambodia also informed that Cambodia has just moved from a low-income country to a low-middle-income country. This year, Cambodia plans to issue government bonds and this is the first time Cambodia has done this. Cambodia wishes to learn from Vietnam's experience from issuing government bonds to public debt management….