Developments in Money Market and Inter-bank Market (October 23-27, 2023)
1. Forex market and exchange rates:
During the week of October 23-27, 2023, the exchange rates fluctuated towards both directions. On October 23, 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 24,420/24,760 per USD, up by 60 VND per USD as compared with the rates of the last working day of the previous week (October 20, 2023). By end of October 27, the exchange rates were quoted at VND 24,390/24,730 per USD, down by 30 VND per USD as compared with the rates of October 23, 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 1,266,587 billion, an average of VND 253,317 billion per day, a decrease of VND 3,141 billion per day as compared to the previous week; meanwhile the transaction amount in USD was equivalent to VND 363,205 billion, an average of VND 72,641 billion per day, an increase of VND 6,227 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 88% 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 74% and 22% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates increased 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 1.31 percentage points p.a., 1.03 percentage points p.a., and 1.05 percentage points p.a. respectively, to 2.21% p.a., 2.14% p.a., and 2.61% p.a. respectively.
- For transactions in USD: The average inter-bank interest rates were relatively stable, with 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 unchanged at 5.04% p.a., 5.07% p.a., and 5.34% 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 |
2.21 |
2.14 |
2.48 |
2.61 |
3.75 |
5.21 |
6.47 |
USD |
5.04 |
5.07 |
5.18 |
5.34 |
5.93 |
6.05 |
5.96 |
Translated by Le Hang.