Developments in Money Market and Inter-bank Market (July 25-29, 2022)
1. Forex market and exchange rates:
During the week of July 25-29, 2022, the forex market and the USD/VND exchange rates were relatively stable, and the market liquidity was ensured for smooth operations. On July 25, 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 23,250/23,530 per USD, down by 20 VND per USD as compared with the rates of the last working day of the previous week (June 22, 2022). By end of July 29, the exchange rates were quoted at VND 23,200/23,480 per USD, down by 50 VND per USD as compared with the rates of July 25, 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 1,558,391 billion, an average of VND 311,678 billion per day, an increase of VND 69,691 billion per day as compared to the previous week (July 18-22, 2022); meanwhile the transaction amount in USD was equivalent to VND 290,042 billion, an average of VND 58,008 billion per day, an increase of VND 12,263 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 95% and 2% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 85% 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 were 4.54% p.a., 4.65% p.a. and 4.56% p.a. respectively.
- For transactions in USD: 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 were 1.98% p.a., 2.45% p.a., and 2.79% 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 |
4.54 |
4.65 |
3.94 |
4.56 |
4.49 |
5.14 |
5.49 |
USD |
1.98 |
2.45 |
2.68 |
2.79 |
3 |
3.97 |
5.03 |
Translated by Le Hang