Developments in Money Market and Inter-bank Market (March 4-8, 2024)
1. Forex market and exchange rates:
On March 4-8, 2024, the exchange rates were on a slight upward trend. On March 3, 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 24,470/24,810 per USD, unchanged as compared with the rates of the last working day of the previous week (March 1, 2024). By end of March 8, the exchange rates were quoted at VND 24,500/24,840 per USD, up by 30/30 VND per USD as compared with the rates of March 4, 2024.
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 VND in the inter-bank market within the week reached approximately VND 1,623,107 billion, an average of VND 324,621 billion per day, a decrease of VND 51,189 billion per day as compared to the previous week; meanwhile the transaction amount in USD was equivalent to VND 363,434 billion, an average of VND 72,687 billion per day, a decrease of VND 5,184 billion per day as compared to the previous week.
The transactions in VND were mostly for overnight and 1-week terms, accounting for 85% and 9% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight and 1-week terms, accounting for 80% and 17% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: the average inter-bank interest rates for below 2-month terms decreased as compared to those of the previous week. The average inter-bank interest rate for 1-month term experienced the highest decrease of 1.16 percentage points p.a., while the average inter-bank interest rate for 1-month term experienced the lowest decrease of 0.55 percentage points p.a.
- For transactions in USD: The average inter-bank interest rates barely changed as compared to those of the previous week. The average inter-bank interest rate for overnight term was unchanged; the average inter-bank interest rate for 1-week term decreased by 0.01 percentage point p.a., while the average inter-bank interest rate for 2-week term increased by 0.01 percentage point 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 |
1.29 |
1.48 |
1.47 |
2.14 |
3.02 |
4.11 |
5.13 |
USD |
5.23 |
5.24 |
5.31 |
5.33 |
5.46 |
6.09 |
6.16 |
Translated by Le Hang.