Developments in Money Market and Inter-bank Market (October 24 - 28, 2022)
1. Forex market and exchange rates:
During the week of October 24 - 28, 2022, the forex market was relatively stable, the USD/VND exchange rates increased slightly, and the market liquidity was ensured for smooth operations. On October 24, 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 24,605/24,885 per USD, up by 15 VND per USD as compared with the rates of the last working day of the previous week (October 21, 2022). By end of October 28, the exchange rates were quoted at VND 24,597/24,877 per USD, down by 8 VND per USD as compared with the rates of October 24, 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 1,061,688 billion, an average of VND 212,338 billion per day, an increase of VND 4,247 billion per day as compared to the previous week (October 17 - 21, 2022); meanwhile the transaction amount in USD was equivalent to VND 313,303 billion, an average of VND 62,661 billion per day, an increase of VND 704 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 90% and 7% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 90% 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 2.32 percentage points, 1.53 percentage points and 1.24 percentage points respectively, to 6.13% p.a., 6.34% p.a. and 7.87% p.a. respectively.
- For transactions in USD: The average inter-bank interest rates experienced opposite movements in different terms as compared to those of the previous week. Specifically, the average inter-bank interest rate for overnight term decreased by 0.01 percentage point to 3.06% p.a. Meanwhile, the average inter-bank interest rates for 1-week and 1-month terms increased by 0.07 percentage points and 0.16 percentage points respectively, to 3.24% p.a. and 3.75% 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 |
6.13 |
6.34 |
7.19 |
7.87 |
8.06 |
8.54 |
8.07 |
USD |
3.06 |
3.24 |
3.44 |
3.75 |
4.57 |
5.78 |
- |
Translated by LK.