PM Dung said on January 29 that the Ministry of Finance (MoF) and the State Securities Commission (SSC) should strengthen their management of public companies in line with the regulations of the law on securities to narrow the over-the-counter (OTC) market and supervise activities of securities investment funds and transactions at the Stock Exchange Centre and offices, as well as brokerage activities.

He furrther said the participation of foreign investors in the Vietnamese stock market should comply with international commitments and socio-economic situation in the country. At first, it is not necessary to adjust the rate of shares purchased by foreign investors in the Vietnamese stock market.

The PM added said the MoF has instructed the SSC to urgently implement  projects on modernizing stock market information technology and upgrading the transaction system to meet the requirements for openness and transparency in securities and investment activities.

The Government leader also asked the MoF to instruct the SSC to coordinate with the State Bank of Vietnam to study forecasts of fluctuation in the stock and monetary markets with a view to devising proper measures to ensure financial security and socio-economic stability.

The MoF is also cooperating with SBV, the Ministry of Internal Affairs and relevant agencies to develop a project on establishing an organistion to supervise activities of the stock and monetary markets to submit to the PM for approval in the first quarter of this year. 

Regarding the stock market in 2006, PM Dung affirmed that the market is flourishing and developing rapidly in terms of quantity, varieties, securities investors and institutions. The total value of listed shares increased by 20 times compared to last year’s figure (equivalent to 20 percent of GDP), creating an important channel to mobilise capital for the national economy.