Citibank has launched its maiden domestic offering in the Vietnamese debt market, the first long-term negotiable instrument to be issued in Vietnamese dong.
The inaugural issue was a VND400 billion (US$22 million) floating rate issue with a tenor of two years, according to a Citibank press release.
The certificate can be sold back to Citibank at each payment date after a certain holding period.
“Citibank is proud to issue its maiden Vietnamese dong bond. The issue, launched on Sept. 5, adds diversity to the market. It will also help to develop the local bond market. This longer tenor instrument will offer financial institutions an opportunity to invest longer term with insurance in the local market still predominantly via the money markets,” said Charly Madan, chief for Citibank Viet Nam.
With branches in Ha Noi and Ho Chi Minh City, and a nationwide partnership network that covers all of Viet Nam’s 64 provinces and cities, Citibank offers a wide range of banking services, including currency transactions, hedging, cash management including access to ATMs, trade services, short- and medium-term loans in foreign currency and Vietnamese dong to State-owned enterprises, multinationals, financial institutions and private sector borrowers.