HÀ NỘI — Việt Nam's corporate bond market is undergoing a profound transition as mounting capital pressures and a surge in maturing debt compel issuers and regulators to recalibrate strategies, with an increasing focus on financial restructuring and market discipline.

At the Vietnam Corporate Bond Market Forum 2026, held in Hà Nội, market participants underscored that the need for medium and long-term capital is becoming increasingly urgent as the economy moves into a new growth cycle.

According to experts, this shift is no longer cyclical but structural, requiring a rebalancing of the country's capital mobilisation framework.

Nguyễn Quang Thuận, chairman of FiinGroup & FiinRatings, said that Việt Nam is entering a stage where stable medium and long-term capital mobilisation is more essential than ever.

For years, the banking system has been the dominant channel supplying capital to the economy. However, with the credit-to-GDP ratio exceeding 140 per cent, structural constraints are becoming more apparent.

One key issue is the maturity mismatch, as banks rely largely on short-term deposits to fund long-term lending, putting pressure on financial stability.

In this context, the corporate bond market is increasingly expected to play a greater role. Experts estimate that total social investment could reach nearly 40 per cent of GDP in the coming years, implying an annual medium and long-term funding gap of between US$20 billion and $30 billion, an amount difficult for the banking sector to shoulder alone.

As a result, the bond market is seen not merely as a supplementary channel but as a critical component in rebalancing Việt Nam's financial system. It is expected to gradually share the central role of capital provision with banks, helping to allocate resources more efficiently and reduce reliance on short-term foreign capital flows.

Despite signs of recovery following the turbulence of 2022, the corporate bond market continues to face structural bottlenecks. Market participants point to an underdeveloped ecosystem where coordination among issuers, investors, credit rating agencies and intermediaries remains limited.

Another key challenge is that the market has yet to fully operate under risk-based pricing mechanisms, reflecting gaps in transparency, credit assessment and investor confidence. These shortcomings suggest deeper reforms rather than a return to rapid expansion.

Meanwhile, short-term pressures are intensifying.

According to Nguyễn Hoàng Dương, vice chairman of the State Securities Commission, a significant volume of corporate bonds is set to mature this year, creating substantial repayment obligations for issuers.

In 2026, the total value of maturing corporate bonds is estimated at VNĐ190.4 trillion ($7.2 billion), placing considerable pressure on issuing enterprises, Dương said.

This wave of maturities, while slightly lower than the previous year, still represents a major test for corporate issuers. It comes at a time when borrowing costs are rising and investors are becoming more selective, further complicating refinancing efforts.

Regulators have warned that the pressure will require companies to proactively restructure their finances, seek alternative funding sources and improve transparency to maintain market access.

The maturity burden is also expected to act as a natural filter within the market. As Dương noted, the process could help eliminate weaker enterprises and strengthen the position of stronger issuers, contributing to a more sustainable market structure.

Recent data suggests that the market has been on a recovery trajectory.

In 2025, 106 enterprises conducted private placements, raising VNĐ576 trillion, up 31.6 per cent year on year. Public bond offerings also recorded strong growth, with registered issuance value reaching nearly VNĐ52 trillion, an increase of 36 per cent.

Importantly, the rate of delayed principal and interest payments has shown signs of declining, reflecting improvements in the legal framework and corporate transparency. These developments have contributed to a gradual restoration of investor confidence, although concerns remain over isolated cases of missed obligations.

At the same time, macroeconomic conditions are adding both opportunities and challenges.

Việt Nam continues to attract strong investment flows due to its favourable business environment, infrastructure development and balanced foreign policy approach, reinforcing the need for a robust domestic capital market.

However, rising interest rates are increasing the cost of bond issuance, while also prompting a broader repricing of risk across the market. This environment is likely to encourage more disciplined investing behaviour, with investors placing greater emphasis on credit quality and transparency.

Against this backdrop, regulators are pushing for comprehensive reforms aimed at strengthening the market's foundations. These include improving disclosure standards, enhancing supervision and promoting the development of credit rating services and institutional investors.

The overarching goal, according to policymakers, is to build a corporate bond market that operates on market principles, with transparency, discipline and sustainability at its core. — BIZHUB/VNS