12 public debt management market marker of the Government of Vietnam in 2024

12 public debt management market marker of the Government of Vietnam in 2024 (Internet image)

Regarding this issue, LawNet would like to answer as follows:

On December 29, 2023, the Ministry of Finance issued Decision 2997/QD-BTC announcing the list of public debt management market marker of the Government in 2024.

12 public debt management market marker of the Government of Vietnam in 2024 

Specifically, the 12 public debt management market marker of the Government in 2024 announced by the Ministry of Finance include:

The above-mentioned public debt management market marker of the Government are responsible for fully implementing the rights and obligations stipulated in Decree 95/2018/ND-CP.

- A market maker shall have the following rights:

+ Being the sole entity entitled to participate in issues, repurchases or swaps of government debt instruments by bidding;

 Being given priority in application for registration as a lead underwriter in each issue of government bonds or national development bonds through underwriting;

+ Attending periodic exchanges about bond issuance and orientations for bond market development policies with the Ministry of Finance;

+ Request the State Treasury to issue government bonds for ensuring the market liquidity as prescribed in Article 20 in Decree 95/2018/ND-CP;

+ Being given priority in negotiation on repurchase or swap of government debt instruments according to the Ministry of Finance’s notification.

- A market maker must discharge the following duties:

+ Bid at bidding sessions for government debt instruments according to the Ministry of Finance's notification in each period;

+ Annually purchase (including for customers) and trade in government debt instruments on the primary and secondary market with the quantity prescribed by Ministry of Finance in each period;

+ Fulfill duties according to firm commitments to offer daily bid and ask prices of standard debt instruments according to the Ministry of Finance’s notification in each period.

+ Make full payment for government debt instruments purchased on the agreed schedule;

+ Submit annual reports and 6-month reports, made according to the Form No. 03 and Form No. 04 stated in the Appendix enclosed with Decree 95/2018/ND-CP.

Decision 2997/QD-BTC takes effect from January 1, 2024 to December 31, 2024.

What are the case of terminating eligibility of a market maker in Vietnam?

The eligibility of a market maker shall be taken into consideration for termination in the following cases:

- The market maker has its business license revoked or withdrawn;

- Its business is suspended or it is dissolved or declared bankrupt;

- Its business is put under a special control by a competent authority;

- It submits an application for voluntary termination of its eligibility;

- It fails to satisfy the eligibility requirements as specified in Clause 4 Article 26 of Decree 95/2018/ND-CP.

Article 26. Market makers

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4. Requirements to be satisfied for maintaining a market maker status:

a) The market maker must maintain its satisfaction of the requirements specified in Clause 1 of this Article.

b) It must fulfill obligations of a market maker specified in Clause 2 Article 27 herein.

(Clause 1 of Article 28 of Decree 95/2018/ND-CP)

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