Weekly Information on Banking Activities (June 4 - 8, 2012)
1. Mobilizing and lending rates:
1.1. Mobilizing rates:
- The VND mobilizing rates were stable as compared to the previous week. The rate for demand term was at 2.4-3% p.a. The rates were commonly 2.8-3% p.a for below 1 month terms; 10.5-11% p.a for 1 month to 12 month terms; 9-11% p.a for over 12 month terms, and 8-8.5% p.a for over 18 month terms quoted by several commercial banks (the Vietnam Joint-Stock Commercial Bank for Industry and Trade, the Joint-Stock Commercial Bank for Foreign Trade of Vietnam, the Ocean Joint-Stock Commercial Bank, the Southeast Joint-Stock Commercial Bank,…)
- The USD mobilizing rates were commonly 2% p.a for individuals and 0.5-1% p.a for economic institutions.
1.2. Lending rates:
- The VND lending rates: several commercial banks continued to reduce lending interest rates, in particular: the Joint-Stock Commercial Bank for Foreign Trade of Vietnam offerred a credit package of VND 2,000 billion for individual/ household business with the lowest interest rate of 12% p.a for loans to finance the working capital shortage and 13% p.a for short-term home loans; the An Binh Joint-Stock Commercial Bank offered the lending program with the preferential interest rate of 14.5% p.a for the first month after the disbursement for loans to finance the working capital shortage, 15.5% p.a for home loans and 17% p.a for personal loans; the Vietnam International Joint-Stock Commercial Bank provided a credit package with the interest rate of 14% p.a for food and beverage enterprises. The rates were commonly 12% - 14% p.a for agricultural and rural development, exporters and supporting industries; 14-17.5% p.a for other productive and business enterprises; and 16.5-20% p.a for the non-productive sector.
- The USD lending rates were commonly 5.5-7.5% p.a for short term and 7.5-9% p.a for medium and long terms.
The specific lending rates were as follows:
Group of commercial banks |
Currency |
Short term (% p.a.) |
Medium and long terms (% p.a.) |
Group of state- owned commercial banks |
-VND applicable to ordinary loans -VND applicable to loans for agricultural production and exporters |
- commonly at 14-16.5 - the lowest rate at 12 - Commonly at 13-14 - the lowest rate at 12 |
16-18 15.5-17 |
USD |
6.0-6.5 |
6.5-7.5 |
|
Group of joint-stock commercial banks |
-VND applicable to ordinary loans -VND applicable to loans for agricultural production and exporters |
- commonly at 15-17.5 - the lowest rate at 13.5 - commonly at 14 - the lowest rate at 12 |
17-18.5 15.5-18 |
USD |
5.5-7.5 |
7.5-9.0 |
2. Inter-bank operations:
2.1. Inter-bank transactions turnover:
According to the reports of commercial banks, the total amount of transactions in the inter-bank market reached about VND 112,428 billion and a USD amount equivalent to VND 65,489 billion , i.e. VND 22,486 and VND 13,098 billion per day averagely.
Most transactions were short terms, such as the overnight and 1 week terms with an amount of VND 74,866 billion, accounting for 67% of the total amount of VND transactions. Most transactions in USD were short term, reaching an amount equivalent to VND 52,077 billion, accounting for 80% of the total amount of USD transactions.
2.2. The average inter- bank interest rates:
For the rates in VND, the average inter-bank interest rates for most terms were on a downward trend, of which the rates for overnight, 3 week, and 3 month terms were down by 0.02 percentage point p.a (for overnight term) to 0.75 percentage point p.a (for 3 month term), by 1.19 percentage points p.a (for 6 month term) to 2.7 percentage points p.a (for 12 month term). The rates for 1 week and 2 week terms rose by 0.53 percentage point p.a and 0.16 percentage point p.a respectively. No transaction for over 12 month terms was counted.
For the rates in USD, the average interest rates for overnight, 3 week and 3 month terms were down by below 0.22 percentage point p.a (for 3 week term). The other rates increased by 0.03 percentage point p.a (1 month term) to 0.65 percentage point p.a (for 6 month term). No transaction for 9 month and 12 month terms was counted.
The specific average inter-bank interest rates were as follows:
Term |
Overnight |
1 week |
2 weeks |
3 weeks |
1 month |
2 months |
3 months |
6 months |
9 months |
12 months |
Over 12 months |
VND |
3.62 |
3.35 |
2.99 |
4.83 |
4.42 |
5.52 |
6.92 |
9.19 |
11.01 |
9.60 |
- |
USD |
0.31 |
0.65 |
0.94 |
0.31 |
1.36 |
1.35 |
2.07 |
3.35 |
- |
- |
5.00 |
3.Exchange rate
Credit institutions could continue to make net purchase of foreign currencies from their clients. The liquidity of the whole banking sector was improved. The foreign exchange position of the whole banking sector was positive. The VND/USD trading exchange rate quoted by commercial banks was around 20,960-21,036.