Making sustainable finance global
The MoU places a specific focus on cooperation in the field of sustainable finance and the two institutions commit to working together to promote and develop sustainable finance activities in their respective markets, organise educational activities to strengthen sustainable finance knowledge among market participants and foster awareness among issuers and investors of ESG information disclosure and ESG disclosure standards.
“We are pleased to join forces with Vietnam Exchange and help advance the sustainable finance agenda in new markets. Sustainable finance needs to become a priority across international capital markets and as exchanges, we need to work together and share knowledge and experience to speed up this transition. Through LGX, we serve 260 issuers of sustainable debt instruments across different sectors and geographies. Our team of sustainable finance experts are well placed to help promote and develop sustainable finance initiatives in Vietnam,” commented Laetitia Hamon, Head of Sustainable Finance at LuxSE.
Cooperation across continents
Vietnam Exchange is a state-owned company based in Hanoi. It was operated in August 2021, as a result of the merger of Ho Chi Minh Stock Exchange and Hanoi Stock Exchange. Vietnam Exchange and its subsidiaries operate three secondary markets for equity, fixed income and derivatives trading. The MoU with LuxSE is the first agreement of this kind entered into by Vietnam Exchange.
“With the growing role of enterprises and capital markets in the global economy, sustainable finance has emerged as a trend of capital markets for the sustainable development of the economy. According to the MoU, the VNX is committed to working with the Luxembourg Stock Exchange to enhance the transparency of capital markets and raise awareness of sustainable finance in Vietnam. The vision of the VNX is to promote the development of sustainable global capital flows through the Luxembourg Stock Exchange to the Vietnamese capital market.” said Nguyen Thanh Long, Chairman of VNX.
About the Luxembourg Stock Exchange
The Luxembourg Stock Exchange (LuxSE) is the gateway to access international investors. With more than 40,000 listed securities, including 36,000 debt instruments, from 2,000 issuers in 100 countries, LuxSE is the world’s leading exchange for the listing of international debt securities and offers a unique and integrated service offering covering listing, trading and information services.
In 2016, LuxSE launched the Luxembourg Green Exchange (LGX) and became the first exchange in the world to operate a platform dedicated entirely to sustainable securities. LGX has become a meeting place for issuers of sustainable products and impact-conscious investors, and encompasses more than 1,500 green, social, sustainability and sustainability-linked bonds from 265 issuers in 50 countries. For more information, visit www.bourse.lu
About Vietnam Exchange
VNX was established under Decision No. 37/2020/QD-TTg dated December 23, 2020 of the Prime Minister, officially operated on August 6, 2021, following the model of parent company - subsidiary company on basis for rearranging the Ho Chi Minh City Stock Exchange and Hanoi Stock Exchange. VNX and its subsidiaries currently operate three secondary markets, including the equity market, the bond market (including government and corporate bonds), and the derivatives market. As of March 31, 2022, the total stock market capitalization of VNX reached nearly USD 337 billion, equivalent to 93.8% of GDP, outstanding loans in the Government bond market reached 22.7% of GDP, outstanding loans the corporate bond market reached 16.4% of GDP.