HANOI: Vietnam amended its corporate bond regulations on Sunday, the government said, in a move to ease pressure on issuers facing a credit crunch.

Domestic bond issuers can now negotiate with bond holders to make their principal and interest payments in assets, instead of only cash, according to a government decree issued on Sunday.

The amended regulations also allow issuers to extend the maturities of the bonds by up to two years, the government said.

Asia coffee: domestic prices narrow in Vietnam

According to the decree, bonds issued to the public will not be subject to compulsory credit ratings at least until the end of this year, it added.