Weekly Information on Banking Activities (December 24 - 30, 2011)
1. Mobilizing and lending rates:
1.1. Mobilizing rates:
- The VND mobilizing rates changed slightly. The rates were commonly 6% p.a for demand deposits and all the time deposits of less-than-one-month maturity, and 14% p.a for over 1 month deposits.
- The USD mobilizing rates were commonly 2% p.a for individuals and 0.5% p.a for economic institutions.
1.2 Lending rates:
- The VND lending rates continued to be stable; it is notable that the Vietnam International Commercial Joint – Stock Bank reduced the lending rate for business individuals by 1 percentage point p.a to 17.5% p.a. The VND lending rates were commonly 14.5% - 17% p.a for agricultural and rural development and exporters, and the lowest rate was 13.5% p.a; 17-20% p.a for other productive and business enterprises with the lowest rate being 15% p.a; and 22-25% p.a for the non-productive sector.
- The USD lending rates were commonly 6-7.5% 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 17-19 - the lowest rate at 15 - Commonly at 14.5-17 - the lowest rate at 13.5 |
18-19 17-18 |
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 18-19 - the lowest rate at 17 - commonly at 17-19 - the lowest rate at 16 |
19-21 18-20 |
USD |
6.0-7.5 |
7.5-9.0 |
2. Inter-bank operations:
2.1. Inter-bank transactions turnover:
According to the express reports of commercial banks by December 28, the total amount of transactions in the inter-bank market reached about VND 258,014 billion and a USD amount equivalent to VND 118,974 billion , i.e. VND 51,603 billion and VND 23,795 billion per day averagely.
Most transactions were short terms, notably the overnight, 1 and 2 week transactions with an amount of VND 100,738 billion, accounting for 39% of the total amount of VND transactions. Most transactions in USD were overnight and 1 week terms, reaching an amount equivalent to VND 54,609 billion, accounting for 46% of the total amount of USD transactions.
2.2. The average inter- bank interest rates:
The interest rates by December 28 were as follows:
For the rates in VND, the average inter-bank interest rate registered a decrease for below 2 month and over 9 month terms; the rates for long terms sharply decreased, especially the rates for 9 and 12 months decreased by 7.5 and 6.82 percentage points p.a respectively. The rates for 3 and 6 month terms increased by 1.36 and 0.2 percentage points p.a respectively.
In general, the common rate was lower than that of the previous week. The average overnight interest rate decreased by 0.4 percentage point p.a to 14.09% p.a. The average overnight interest rates of week days were commonly at 13.5-14.5%. The rates for other terms ranged from 13.13% (for over 12 month term) to 14.72% p.a (for 3 month term).
For the rates in USD, the average interest rates in USD for 1 week – 2 month, 6 month and over 12 month terms decreased, of which the rate for 1 month term registered the highest decrease of 1.03 percentage point p.a The rates for overnight and 3 month terms increased by 0.15 and 0.09 percentage points p.a respectively. The rate for 12 month term was unchanged at 3.29% p.a.
The average overnight interest rate increased by 0.15 percentage point to 1.31% p.a, excluding the rate for 6 month term being at 5.32% p.a The rates for other terms ranged between 0.88% p.a (3 week term) and 3.61% p.a (over 12 month term). The rate for 9 month term was 4.82% p.a, transactions for this term was marginal.
The average interest rates in the inter-bank market were as follows (% p.a.):
Term |
Overnight |
1 week |
2 weeks |
3 weeks |
1 month |
2 months |
3 months |
6 months |
9 months |
12 months |
Over 12 months |
VND |
14.09 |
14.28 |
13.91 |
14.72 |
14.54 |
14.58 |
14.50 |
14.53 |
13.50 |
13.58 |
13.13 |
USD |
1.31 |
1.74 |
2.07 |
0.88 |
1.83 |
2.38 |
3.49 |
5.32 |
4.82 |
3.29 |
3.61 |
3.Exchange rate
The forex market continued to be stable. The foreign exchange position and revenue of credit institutions continued to be improved. The trading exchange rate quoted by commercial banks was around 21,030-21,036 VND/USD.
DH