Accessing to capital through securitization: Regulatory landscape in China and policy implications for Vietnam

Abstract

 In Vietnam, the international economic integration has led to an increase in demand for capital. The capital market of Vietnam is considered modest in terms of size and liquidity in comparison with that of other countries in Asia – Pacific region. In financial integration context, it is necessary for Vietnam to adopt new funding methods in order to improve capital allocation efficiency. This article analyzes the advantages and disadvantages of the regulatory framework of securitization in China whose securitization has been successfully established and proposes some recommendations for Vietnam to apply this funding method.