Developments in Money Market and Inter-bank Market (October 31 – November 4, 2022)
1. Forex market and exchange rates:
During the week of October 31 – November 4, 2022, the forex market was relatively stable. On October 31, 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 24,599/24,879 per USD, up by 2 VND per USD as compared with the rates of the last working day of the previous week (October 28, 2022). By end of November 4, the exchange rates were quoted at VND 24,597/24,877 per USD, down by 2 VND per USD as compared with the rates of October 31, 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 1,210,852 billion, an average of VND 242,170 billion per day, an increase of VND 29,833 billion per day as compared to the previous week; meanwhile the transaction amount in USD was equivalent to VND 381,739 billion, an average of VND 76,348 billion per day, an increase of VND 13,687 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 94% and 3% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 88% and 6% 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 an upward trend in most of the terms as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms increased by 0.23 percentage points, 0.69 percentage points and 1.24 percentage points respectively, to 6.36% p.a., 7.03% p.a., and 9.11% p.a. respectively.
- For transactions in USD: The average inter-bank interest rates were on an upward trend in most of the terms as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms increased by 0.31 percentage points, 0.61 percentage points, and 0.31 percentage points respectively, to 3.37% p.a., 3.85% p.a., and 4.06% 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 |
6.36 |
7.03 |
6.66 |
9.11 |
9.09 |
8.97 |
- |
USD |
3.37 |
3.85 |
4.02 |
4.06 |
4.57 |
5.79 |
- |
Translated by Le Hang.