Vietnam capital proposes bond issuance to support development

HANOI, June 11 (Xinhua) -- Vietnam's capital Hanoi has submitted a draft resolution on bond issuance and borrowing mechanisms to mobilize resources for strategic projects during 2026-2035, the Vietnam News Agency reported Thursday.

Under the document, the city would be allowed to issue local government bonds, project bonds, construction bonds and green bonds, as well as borrow from credit institutions and the state treasury to finance development under the 2026 Capital Law, said the report.

City authorities said funding demand will be substantial over the next decade, particularly for transport infrastructure, environmental treatment projects, digital transformation and smart city development, as state budget funding will be insufficient to meet investment needs.

The proposed resolution aims to diversify medium- and long-term funding sources and attract domestic and international investors and financial institutions, while ensuring borrowing stays within legal debt limits and the city's repayment capacity.

The draft is expected to be considered by the municipal People's Council at its meeting scheduled for June 12-16.