Developments in Money Market and Inter-bank Market (July 26 - 30, 2021)
1. Forex market and exchange rates:
During July 26 - 30, 2021, the exchange rates and the forex market were relatively stable, and the market liquidity was ensured for smooth operations. On July 26, 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 22,910/23,110 per USD, unchanged as compared to those of the last working day of the previous week (July 23, 2021). By end of July 30, the exchanged rates were quoted at VND 22,850/23,050 per USD, down by 60 VND per USD as compared to the rates of July 26, 2021.
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 766,512 billion, an average of VND 153,302 billion per day, an increase of VND 95 billion per day as compared to the previous week (July 19 – 23, 2021); meanwhile the transaction amount in USD was equivalent to VND 140,612 billion, an average of VND 28,122 billion per day, a decrease of VND 3,083 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 85% and 6% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 65% 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 generally experienced an upward trend 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 0.02 percentage points, 0.05 percentage points and 0.08 percentage points respectively, to 0.97% p.a, 1.29% p.a and 1.56% p.a respectively.
- For transactions in USD: The average inter-bank interest rates of the key terms experienced both increases and decreases at the same time as compared to those of the previous week. Specifically, the average inter-bank interest rate for overnight term decreased slightly by 0.01 percentage point to 0.1% p.a. Meanwhile, the average inter-bank interest rates for 1-week and 2-week terms increased by 0.01 percentage point and 0.02 percentage points 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 |
0.97 |
1.29 |
1.37 |
1.56 |
1.78 |
2.96 |
3.57 |
USD |
0.10 |
0.13 |
0.15 |
0.26 |
0.35 |
0.83 |
Translated by LK.