Weekly Information on Banking Activities (July 9 - 13, 2012)
1. Mobilizing and lending rates:
1.1. Mobilizing rates:
- The VND mobilizing rates were stable as compared to the previous week. The rate for demand term was 1 -2% p.a, the rates were commonly 2% p.a for below 1 month terms; 8.8-9% p.a for 1 month to below 12 month terms; and 10-12% p.a for 12 month and 12 month plus terms.
- The USD mobilizing rates were commonly 2% p.a for individuals and 0.5-1% p.a for economic institutions.
1.2. Lending rates:
- The VND lending rates: Implemening the SBV Governor’s guidance in Document No. 198/TB-NHNN dated July 9, 2012, credit institutions actively reviewed their current loans for reducing the interest rates to the maximum level of 15% p.a from July 15, 2012. The Sai Gon Thuong Tin Joint – Stok Commercial Bank (Sacombank) offered a credit package of VND 2,000 billion for corporate customers with the rate of 13% p.a. The rates were commonly 11% - 13% p.a for agricultural and rural development, exporters, supporting industries and SMEs; and 12-16% p.a for other productive and business enterprises.
- The USD lending rates were commonly 5.5-7.5% p.a for short term and 7.5-9% p.a for medium and long terms.
The specific lending rates were as follows:
Group of commercial banks |
Currency |
Short term (% p.a.) |
Medium and long terms (% p.a.) |
Group of state- owned commercial banks |
-VND applicable to ordinary loans -VND applicable to loans for agricultural production and exporters |
- commonly at 12-15 - the lowest rate at 10 - Commonly at 11-13 - the lowest rate at 10 |
15.5-17.5 15-16.5 |
USD |
6.0-6.5 |
6.5-7.5 |
|
Group of joint-stock commercial banks |
-VND applicable to ordinary loans -VND applicable to loans for agricultural production and exporters |
- commonly at 13-16 - the lowest rate at 12 - commonly at 12-13 - the lowest rate at 11 |
16-18 15.5-17.5 |
USD |
5.5-7.5 |
7.5-9.0 |
2. Inter-bank operations:
2.1. Inter-bank transactions turnover:
According to the reports of commercial banks, the total amount of transactions in the inter-bank market reached about VND 131,123 billion and a USD amount equivalent to VND 56,487 billion , i.e. VND 26,225 and VND 11,674 billion per day averagely.
Most transactions were short terms with an amount of VND 86,688 billion, accounting for 66% of the total amount of VND transactions. Most transactions in USD were short term, reaching an amount equivalent to VND 46,439 billion, accounting for 82% of the total amount of USD transactions.
2.2. The average inter- bank interest rates:
For the rates in VND, the average inter-bank interest rates for most terms were down by 0.93 percentage point p.a (3 months term) and 1.65 percentage point p.a (6 months); the rate for 9 month term decreased by 5.5 percentage points p.a to 8.02% p.a, however the trasactions for this term were marginal. The rate for 12 month term was up by 0.75% percentage point p.a. There was no transaction for over 12 month terms.
For the rates in USD, the average interest rates for overnight and 1 month terms slightly declined; the rates for 3 and 6 month terms decreased by 0.78 and 1.75 percentage points p.a respectively. The rate for other terms increased by 0.07 percentage point p.a (2 month term) and 0.22 percentage point p.a (3 week term). The rate for 12 month term rose by 1 percentage point p.a to 4% p.a. Transactions for over 6 month terms were marginal. No transaction for over 12 month terms was counted.
Term |
Overnight |
1 week |
2 weeks |
3 weeks |
1 month |
2 months |
3 months |
6 months |
9 months |
12 months |
Over 12 months |
VND |
5.03 |
5.35 |
5.14 |
7.39 |
6.66 |
7.66 |
8.29 |
8.56 |
8.02 |
9.75 |
- |
USD |
0.31 |
0.72 |
0.53 |
0.56 |
1.02 |
2.04 |
1.55 |
1.53 |
4.00 |
4.00 |
- |
3.Exchange rate
The forex market showed positive movements. The liquidity of the whole banking sector was improved. Credit institutions could continue to make net purchase of foreign currencies from their clients. The VND/USD exchange rate in the inter- bank market was stable and slightly appreciated. The VND/USD trading exchange rate quoted by commercial banks was around 20,845-20,875.
DH