Developments in Money Market and Inter-bank Market (July 12 - 16, 2021)
1. Forex market and exchange rates:
During July 12 - 16, 2021, the exchange rates and the forex market were relatively stable, and the market liquidity was ensured for smooth operations. On July 12, 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 22,920/23,120 per USD, up by 20 VND per USD as compared to those of the last working day of the previous week (July 9, 2021). By end of July 16, the exchanged rates were quoted at VND 22,910/23,110 per USD, down by 10 VND per USD as compared to the rates of July 12, 2021.
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 727,848 billion, an average of VND 145,570 billion per day, an increase of VND 1,660 billion per day as compared to the previous week (July 5 – 9, 2021); meanwhile the transaction amount in USD was equivalent to VND 162,494 billion, an average of VND 32,499 billion per day, an increase of VND 3,147 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 78% and 11% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 67% and 26% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates fluctuated slightly as compared to those of the previous week for terms of less than 1 month, but experienced bigger changes for terms of over 1 month. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms were 0.93% p.a, 1.14% p.a and 1.46% 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 0.1% p.a, 0.11% p.a and 0.23% 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 |
0.93 |
1.14 |
1.24 |
1.46 |
1.71 |
2.53 |
3.43 |
USD |
0.10 |
0.11 |
0.25 |
0.23 |
0.32 |
0.92 |
0.00 |
Translated by VA