Drastic measures needed to develop sustainable stock market: Official

Deputy Finance Minister Nguyen Duc Chi has emphasised the need to take drastic solutions to promote the sustainable development of the stock market as an important capital-raising channel for the national economy.
Illustrative image (Photo: VNA)
Illustrative image (Photo: VNA)

Addressing a recent conference held by the State Securities Commission (SSC) to review its 2022 performance and sketch out orientations for 2023, Chi said the Vietnam's stock market is looking more attractive than others in the region, with foreign capital returning strongly in the last months of the year.

He praised the commission for detecting and strictly sanctioning violations in the stock market, saying it had contributed to creating a premise for more transparent and sustainable development.

Under the close direction of the Government and the Ministry of Finance, the SSC completed its assigned tasks, he said, noting that inspections had been strengthened and violations related to stock price manipulation had been strictly punished.

These efforts have helped investors feel more secure, resulting in increasing market liquidity, he added.

Chi asked the SSC to focus on reviewing the Law on Securities to make appropriate adjustments, developing a plan to implement the securities market development strategy to 2023, and improving the quality of services.

According to SSC Vice Chairman Pham Hong Son, the commission has proactively completed legal documents in accordance with the schedule, while offering solutions to stabilise the market.

The commission reported that as of December 23, 2022, the market capitalisation had reached an estimated 5.27 quadrillion VND (nearly 223 billion USD), down 32% compared to the end of 2021, and equivalent to 62.2% of GDP.