HANOI - VIETNAM has approved the issuance of US$1 billion (S$1.5 billion) worth of government bonds this year to finance key projects and to help cover the budget deficit, the government said on Wednesday.
Prime Minister Nguyen Tan Dung approved issuance of the bonds in foreign currencies on the domestic capital market, the government said, without detailing which projects would be targeted.
So far this year, Vietnam has sold more than US$230 million worth of dollar-denominated bonds in the domestic market.
The World Bank has estimated that Vietnam's stimulus measures could leave it facing a potential budget deficit of about 12 per cent of gross domestic product, higher than most of its neighbours. -- AFP, DOW JONES
