Interbank trading value in US dollar increases two times
The State Bank of Vietnam (SBV)’s report on banking operations in the week between April 23 and 27, 2012 showed that the deposit interest rate in dong in week was stable, commonly at 2.5-3 percent per year for demand deposit and 3.5-4 percent per year for less than 1-month terms and 11.5-12 percent per year for more than 1-month terms.
In week, the saving interest rate in US dollar was popularly at 2 percent per annum (p.a.) for savings of individuals and 0.5-1 percent p.a. for savings of economic institutions.
The lending interest rate in dong in week was also stable at 13.5-16.5 percent per year agriculture and rural area, export and supporting industry (the lowest was at 12 percent per year for rice purchase for stockpile in the spring-winter crop), 14.5-18 percent per year for other business and production activities (the lowest was 14.5 percent per year), and 17-20 percent per year for non-prioritised sectors.
The lending interest rate in US dollar was popularly at 6-7.5 percent p.a. for short terms and 7.5-9 percent p.a. for medium and long term loans.
Regarding the operations of the interbank market, the total interbank trading turnover in week in dong reached approximately 99.171 trillion dong, averaging at 24.793 trillion dong per day, lower than the average level of 29.781 trillion dong per day in the previous week.
The trading value in US dollar reached 116.82 trillion dong, an average of 20.206 trillion dong per day, over two fold increase against the average of 14.518 trillion dong per day in the previous week (ending on April 20).
In week, interbank transactions occurred mainly in short terms such as overnight and one week with a total trading value in dong in these terms at 71.606 trillion dong, or 72 percent of the total trading value in dong and in US dollar in short terms at 99.074 trillion dong, or 85 percent of the total trading volume in US dollar.
The interbank average interest rate in dong in week decreased in all terms, of which, 1-week, 2-weeks, 1-month, 6-months and more than 12-months saw the fall of from 1 percent to 1.49 percent per year, overnight term and 3-months fell 0.88 percent and 0.81 percent, 3-weeks and 2-months slipped slightly. Particularly, 12-month term saw a strong fall of 5.22 percent over the previous period. In week, there were no transactions in dong for 9-month term.
For transactions in US dollar, the interest rates increased for terms of 2-weeks, 3-weeks and 3-months and longer by 0.1 percent (2-week term) and 1.78 percent (12-month term). The remaining terms saw a fall by 0.23 percent (overnight term) and 0.78 percent (2-month term). In week, there were no transactions in US dollar for more than 12-month term.
Regarding the forex market, in week, credit institutions continued to post net purchase of foreign currency from customers. The foreign currency position of the whole banking system has been much improved in comparison with the previous week. The forex rate listed at commercial banks was popularly at 20,840-20,900 dong/US dollar.
Category: Finance
