Interbank average interest rates in dong surge in almost all terms

The State Bank of Vietnam (SBV)’s report on banking operations for the week between June 11 and 15 stated that the interbank average interest rate in dong tended to surge again in almost terms. This is the first time after several weeks, the central bank recorded surge again of interbank average interest rate.

For terms of overnight, 2-months, 3-months and 12-months, the average interest rate increased by 1-1.99%.

The average interest rate soared sharply from tenors of 1-week to 1-month, by 3.01 percent (1-week term) and 3.62 percent (2-week term).

Terms of 6-months and 9-months saw a slight fall. In week, there were no transactions for above 12-month terms.

Regarding transactions in US dollar, the interest rates for terms of 1-week, 2-weeks, 1-month and 6-months decreased from the previous week, by 0.02 percent (1-week term) and 0.47 percent (6-month terms).

Terms of overnight, 3-weeks and 3-months saw increases by 0.06%, 0.44 percent and 0.06 percent respectively.

The interest rate for 2-month term remained unchanged at 1.35 percent p.a. In week, there were no transactions for 9-month and above 12-month terms.

According to the central bank’s report, in week, interbank transactions occurred mainly in short terms. Accordingly, the total trading value on the interbank market in dong reached approximately 117.688 trillion dong, an average of 23.538 trillion dong per day while that in US dollar reached 58.323 trillion dong, averaging at 11.665 trillion dong per day.

In week, interbank transactions mainly occurred in short terms such as overnight and one week. The trading value for short terms in dong reached about 87.013 trillion dong, equalling to 74 percent of the total transaction volume in dong and the trading value for short terms in US dollar reached approximately 44.985 trillion dong, or 77 percent of the total trading value in US dollar.

 

Category: Finance