>> Vietnam’s rising interest rates lure deposits on interbank market
>> Negotiable interest rates on deposits latest draw from banks
>> Lending interest rates up, troubling enterprises
Commercial banks in Vietnam have lowered deposit interest rates after the State Bank of Vietnam (SBV) had asked them to offer maximum rates of 14% per year.
 |
| Vnd deposit interest rates have become stabilised |
According to laisuat.vn, 37 banks have applied average VND deposit interest rates of 12.88% per year ranging from 1 month to three year terms in the third week of December, up 0.44% compared to a week earlier.
Terms of one, two and three months have the highest rates of 13.26% per year, 13.3% and 13.28% respectively.
VietinBank, HDBank, SHB, Habubank, Kienlong Bank, PG Bank, SCB and GiaDinhBank have the highest deposit interest rates.
Commercial banks agreed to apply a deposit interest rate of 14%, including promotions, from December 15 under the SBV’s request. This came after the Technical and Commercial Joint Stock Bank (Techcombank) had raised deposit interest rates up to 17-18% per year for a three-day promotion without permission from SBV.
At present, interest rates fixed by negotiations between lenders and borrowers are not very popular as they are not far from prime rates, only about 1% higher.
In the third week of December, USD deposit interest rates have been kept relatively stable with 1% per year applied for corporate customers and around 5.1% for personal customers, up 0.01% against the previous week.
During the week, USD overnight deposit interest rates saw a rise of 0.04% and 0.35% for one and two week terms respectively compared to a week earlier. The remaining terms of one month and three month terms witnessed a slight fall of 0.22% and 0.49%.
On December 16, SBV issued a circular to ask directors of its branches nationwide to closely supervise the application of deposit interest rates at all banks. All infringements will be reported to the SBV governor.
