Logo of Phnom Penh Post newspaper Phnom Penh Post - Sovereign bonds debuting in 2022: minister

Sovereign bonds debuting in 2022: minister

Content image - Phnom Penh Post
Minister of Economy and Finance Aun Pornmoniroth speaking at the National Conference on Cambodia’s Securities Market on May 16, entitled “A Decade of Market Emergence and Ways Forwards”. Hong Menea

Sovereign bonds debuting in 2022: minister

Sovereign bonds, which will be issued sometime this year, will serve as a new financial instrument for institutional investors, such as the National Social Security Fund, pension fund, insurance companies and banks.

The securities will also enable the state to raise funds for economic development, said Minister of Economy and Finance Aun Pornmoniroth.

“The government bonds are expected to be popular on Cambodia Securities Exchange [CSX] and provide benchmark data for corporate securities trading and financial analysis as implemented in countries with a growing securities sector,” he said.

Speaking at the National Conference on Cambodia’s Securities Market on May 16, entitled “A Decade of Market Emergence and Ways Forwards”, Pornmoniroth noted that CSX was established in 2010 through a joint venture with the Korea Exchange (KRX).

Trading began with the exchange’s first initial public offering (IPO) by state-owned Phnom Penh Water Supply Authority on April 18, 2012.

Since then, a total of 16 companies feature on CSX – nine companies have issued shares on the Main Board and Growth Board – and seven corporations have listed their bonds, said CSX CEO Hong Sok Hour.

The equities and bonds have raised a total of $281 million.

“Due to the tax incentives and cooperation by the stakeholders, CSX has achieved a proud result. Although our market is relatively small compared to our neighbours, our trading volume has increased significantly since 2019, 2018 and last year.

“The daily trading volume was around $20,000 and increased to nearly $160,000 in 2019, but fell slightly to about $110,000 in 2020 due to Covid-19,” he said.

However, due to the government’s effective management of Covid-19 in 2021, trading volume increased to more than $270,000 and surged to over $1 million per day in the first four months of 2022, thanks to active trading on ACLEDA shares.

Sou Socheat, director-general of Securities and Exchange Regulator of Cambodia (SERC) said 31,640 investor identification numbers were provided, 34 per cent of whom are female investors and 86 per cent of the total being Cambodians.

MOST VIEWED

  • Ministry orders all schools, public and private, to close for SEA Games

    From April 20 to May 18, all public and private educational institutions will be closed to maintain order and support Cambodia's hosting of the 32nd SEA Games and 12th ASEAN Para Games, said a directive from the Ministry of Education, Youth and Sport. Cambodia will host the

  • Almost 9K tourists see equinox sunrise at Angkor Wat

    Nearly 9,000 visitors – including 2,226 international tourists – gathered at Angkor Wat on March 21 to view the spring equinox sunrise, according to a senior official of the Siem Reap provinical tourism department. Ngov Seng Kak, director of the department, said a total of 8,726 people visited Angkor Wat to

  • Angkor Beer strengthens national pride with golden new look and fresher taste

    Angkor Beer – the "Gold of Angkor" – has a new look, one that is more stylish and carries a premium appeal, as well as a fresher taste and smoother flavour, making it the perfect choice for any gathering. Angkor Beer recently launched its new design, one

  • Water supply authority assures public shortages over early ‘24

    The Phnom Penh Water Supply Authority (PPWSA) asked for understanding from Phnom Penh residents in some communes where water pressure is weak. They assured residents that all supply issues will be resolved by early 2024, but have suggested that residents use water sparingly in the meantime.

  • PM urges end to ‘baseless’ international Ream base accusations

    Prime Minister Hun Sen urges an end to “baseless” foreign accusations surrounding the development of the Kingdom’s Ream Naval Base, as the US has consistently suggested that the base is being expanded to accommodate a Chinese military presence. Hun Sen renewed his calls while

  • Khmer ballet documentary debuts April 1

    A new documentary, The Perfect Motion, or Tep Hattha in Khmer, will premiere to the public on April 1. The documentary film follows two intertwined storylines: the creation of a show called Metamorphosis by the late Princess Norodom Buppha Devi (her very last production) and the