Developments in Money Market and Inter-bank Market (May 30 – June 03, 2022)
1. Forex market and exchange rates:
During the week of May 30 – June 03, 2022, the forex market and the USD/VND exchange rates were relatively stable, and the market liquidity was ensured for smooth operations. On May 30, the buying and selling exchange rates quoted on the website of the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) were at VND 23,050/23,330 per USD, down by 10 VND per USD as compared with the rates of the last working day of the previous week (May 27, 2022). By end of June 03, the exchange rates were quoted at VND 23,060/23,340 per USD, up by 10 VND per USD as compared with the rates of May 30, 2022.
2. Inter-bank transaction operations:
2.1. Transactions:
According to the reports submitted by the credit institutions and the foreign bank branches, the total amount of transactions in the inter-bank market within the week reached approximately VND 1,146,579 billion, an average of VND 229,316 billion per day, an increase of VND 9,335 billion per day as compared to the previous week (May 23 - 27, 2022); meanwhile the transaction amount in USD was equivalent to VND 219,875 billion, an average of VND 43,975 billion per day, a decrease of VND 4,344 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 91% and 5% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 81% and 11% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates experienced opposite fluctuations as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight and 1-week terms decreased by 0.48 percentage points and 0.34 percentage points respectively, to 0.4% p.a. and 1.1% p.a. respectively. Meanwhile, the average inter-bank interest rates for 1-month term increased by 0.03 percentage points to 2.75% p.a.
- For transactions in USD: The average inter-bank interest rates experienced slight fluctuations as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms were 0.86% p.a., 0.97% p.a., and 1.25% p.a. respectively.
The specific average inter-bank interest rates were as follows:
Unit: % p.a
Overnight |
1-week |
2-week |
1-month |
3-month |
6-month |
9-month |
|
VND |
0.40 |
1.10 |
2.02 |
2.75 |
3.25 |
3.77 |
4.06 |
USD |
0.86 |
0.97 |
1.17 |
1.25 |
1.88 |
2.88 |
- |
Translated by LK.