Developments in Money Market and Inter-bank Market (January 17 - 21, 2022)
1. Forex market and exchange rates:
During the week of January 17 - 21, 2022, the USD/VND exchange rates and the forex market were relatively stable and the market liquidity was ensured for smooth operations. On January 17, 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 22,570/22,850 per USD, unchanged as compared with the rates of the last working day of the previous week (January 14, 2022). By end of January 21, the exchange rates were quoted at VND 22,480/22,760 per USD, down by 90 VND per USD as compared with the rates of January 17, 2022.
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 764,895 billion, an average of VND 152,979 billion per day, an increase of VND 8,077 billion per day as compared to the previous week (January 10 - 14, 2022); meanwhile the transaction amount in USD was equivalent to VND 186,893 billion, an average of VND 37,379 billion per day, a decrease of VND 1,676 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 86% and 4% 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 12% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates experienced opposite movements as compared to those of the previous week. Specifically, the average inter-bank interest rates for 1-week and 1-month terms increased by 0.03 percentage points and 0.16 percentage points respectively, to 1.61% p.a. and 2.31% p.a. respectively. Meanwhile, the average inter-bank interest rate for overnight term decreased by 0.07 percentage points, to 1.00% p.a.
- For transactions in USD: The average inter-bank interest rates experienced a slight upward trend as compared to those of the previous week. Specifically, the average inter-bank interest rates for 1-week and 1-month terms increased by 0.01 percentage point and 0.08 percentage points respectively, to 0.14% p.a. and 0.29% p.a. respectively. Meanwhile, the average inter-bank interest rates for overnight term remained stable at 1.00% p.a.
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 |
1.00 |
1.61 |
2.10 |
2.31 |
2.69 |
3.01 |
4.03 |
USD |
0.10 |
0.14 |
0.18 |
0.29 |
0.55 |
1.26 |
0.00 |
Translated by LK.