Weekly Information on Banking Activities (March 18-22, 2013)
1. Mobilizing and lending rates:
1.1. Mobilizing rates:
- The VND mobilizing rates were down as compared to the previous week. Several joint-stock commercial banks reduced about 0.3-0.5% p.a for below 12 month terms and 0.5-1% p.a for 12 month and 12 month plus terms. The rates were commonly 1 - 2% p.a for demand and below 1 month terms, 7.5-8% p.a for 1 to below 12 month terms; and 9.5-11% p.a for 12 month and 12 month plus terms.
- 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 were stable as compared to the end of the previous week but is on a downward trend. The Military Joint-Stock Commercial Bank offered VND 2,000 billion for loans for consumers and businesses with the interest rate of 9% p.a in order to support finance to clients. The rates were commonly 9% - 12% p.a for agricultural and rural development, exporters, supporting industries, SMEs and high-tech enterprises; 11-15% p.a for short-term loans for other productive and business sectors, and 14.6-17.5% for long-term loans.
- The USD lending rates were commonly 5-7% p.a for short term and 6-8.5% 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 and rural development, exporters, supporting industries, SMEs and high-tech enterprises |
11-13 9-11 |
14.6-16.5 14.6-16 |
USD |
5.0-6.0 |
6.0-7.5 |
|
Group of joint-stock commercial banks |
-VND applicable to ordinary loans -VND applicable to loans for agricultural and rural development, exporters, supporting industries, SMEs and high-tech enterprises |
12-15 10-12 |
16-17.5 15-16.5 |
USD |
5.5-7.0 |
6.5-8.5 |
2. Inter-bank transactions turnover:
2.1. Transactions:
According to the reports of credit institutions, the total amount of transactions in the inter-bank market reached about VND 104,076 billion and a USD amount equivalent to VND 56,361 billion, i.e. VND 20,815 billion and VND 11,272 billion per day averagely.
Most transactions were overnight and 1 week terms with an amount of VND 69,916 billion, accounting for 67% of the total amount of VND transactions. Transactions in USD reached an amount equivalent to VND 43,130 billion, accounting for 77% of the total amount of USD transactions.
2.2. The average inter- bank interest rates:
For the rates in VND, the average interest rates for below 1 month and 6 month terms decreased by 0.03 percentage point p.a (3 week term) to 0.57 percentage point p.a (6 month term). The rates for 2 month and 12 month terms increased by 0.29 percentage point p.a and 2.00 percentage point p.a respectively. However, transactions for 9 month and 9 month plus terms were marginal. The rate for 3 month term remained at 6.26% p.a. There was no transaction for over 12 month terms.
For the rates in USD, the average interest rates for most terms increased by 0.04 percentage point p.a (overnight term) to 0.54 percentage point p.a (3 month term). The rate for 6 month term decreased by 0.35 percentage point p.a. There was no transaction for 9 month and over 12 month terms. Transactions for 3 week and 12 month terms were marginal.
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 |
2.86 |
3.49 |
3.79 |
4.21 |
4.76 |
5.33 |
6.26 |
7.18 |
9.50 |
10.00 |
- |
USD |
0.22 |
0.49 |
0.58 |
0.68 |
1.12 |
0.73 |
2.05 |
2.22 |
- |
3.70 |
- |
3. Exchange rate
The foreign exchange market developed positively. The exchange rates were stable. The liquidity was improved. Credit institutions proactively sold foreign currencies in the inter-bank market to meet the forex requirements of clients. The VND/USD trading exchange rate quoted by commercial banks was around 20,920-20,960.
My Huong