Developments in Money Market and Inter-bank Market (April 24 - 28, 2023)
1. Forex market and exchange rates:
During the week of April 24 - 28, 2023, the USD/VND exchange rates experienced a downward trend, and the market liquidity was ensured for smooth operations. On April 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 23,310/23,650 per USD, down by 10 VND per USD as compared with the rates of the last working day of the previous week (April 21, 2023). By end of April 28, the exchange rates were quoted at VND 23,290/23,630 per USD, down by 20 VND per USD as compared with the rates of April 21, 2023.
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 1,232,550 billion, an average of VND 246,510 billion per day, an increase of VND 10,211 billion per day as compared to the previous week (April 17 - 21, 2023); meanwhile the transaction amount in USD was equivalent to VND 335,758 billion, an average of VND 67,152 billion per day, an increase of VND 7,588 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 65% and 26% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 64% and 28% 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 opposite movements as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight and 1-week terms increased by 0.36 percentage points and 0.07 percentage points respectively, to 4.77% p.a. and 4.66% p.a. respectively. Meanwhile, the average inter-bank interest rate for 1-month term decreased by 0.41 percentage points to 5.37% p.a.
- For transactions in USD: The average inter-bank interest rates was relatively stable and experienced slight fluctuations around the rates of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms were stable at 4.62% p.a., 4.66% p.a., and 4.92% 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 |
4.77 |
4.66 |
4.85 |
5.37 |
6.49 |
7.14 |
7.53 |
USD |
4.62 |
4.66 |
4.71 |
4.92 |
5.02 |
5.20 |
5.44 |
Translated by LK.