Developments in Money Market and Inter-bank Market (January 10 - 14, 2022)
1. Forex market and exchange rates:
During the week of January 10 - 14, 2022, the USD/VND exchange rates and the forex market were relatively stable and the market liquidity was ensured for smooth operations. On January 10, 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 22,540/22,820 per USD, down by 30 VND per USD as compared with the rates of the last working day of the previous week (January 07, 2022). By end of January 14, the exchange rates were quoted at VND 22,570/22,850 per USD, up by 30 VND per USD as compared with the rates of January 10, 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 724,508 billion, an average of VND 144,902 billion per day, an increase of VND 14,339 billion per day as compared to the previous week (January 04 - 07, 2022); meanwhile the transaction amount in USD was equivalent to VND 195,272 billion, an average of VND 39,054 billion per day, an increase of VND 3,256 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 86% 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 67% and 19% 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 a downward trend in almost all terms under 1 month as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight and 1-week terms decreased by 0.35 percentage points and 0.24 percentage points respectively, to 1.07% p.a. and 1.58% p.a. respectively. Meanwhile, the average inter-bank interest rate for 1-month term increased slightly by 0.08 percentage points, to 2.15% p.a.
- For transactions in USD: The average inter-bank interest rates experienced a slight downward trend as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms decreased by 0.01 percentage point, 0.01 percentage point and 0.07 percentage points respectively, to 0.1% p.a., 0.13% p.a. and 0.21% 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 |
1.07 |
1.58 |
1.90 |
2.15 |
2.63 |
2.94 |
3.06 |
USD |
0.10 |
0.13 |
0.18 |
0.21 |
0.57 |
1.33 |
1.22 |
Translated by LK.