State banks lower dong lending interest rate to 17pct/yr
The monetary market survey launched by Dau Tu Chung Khoan newspaper shows that the dong lending interest rate has signals of slowdown.
At Vietnam Commercial Joint Stock Bank of Industry and Trade (VietinBank-CTG) and Vietnam Commercial JS Bank for Foreign Trade (Vietcombank-VCB) and other state-run banks, the dong loan rate is ranging between 17 percent and 21 percent per year while it is 21-24 percent per year at private banks and 20-22 percent per year at finance companies.
A senior leader at Maritime Bank said banks have began to tend to slightly reduce the dong lending interest rate, but still limit consumer loans to stimulate borrowing demand of household businesses and producers.
Not only reducing the dong lending interest rates for businesses in general, many banks also offered preferential interest rates for a specific borrowers, such as export subsidies, capital solutions for businesses in fertiliser industry, seafood and animal feed.
Leaders of some banks said, as of now, the liquidity as well as capital of credit organisations have been improved significantly.
The interbank interest rate in dong for overnight term in last week fell to 10 percent per year, down 2 percent per year from the previous week, while in other terms of 1-2 weeks, the interest rate also decreased slightly to stand around 11-14 percent per year.
The State Bank of Vietnam (SBV)’s governor, Nguyen Van Binh said that in recent two months, the interbank interest rate has been always stable, ranging between 12-15 percent per annum for each term.
“When there is a surplus of capital, banks borrow capital from each other with maximum interest rate of 15 percent per annum, which means that the capital for the economy is ready” Binh said.
Notably, a staff of a medium-sized joint stock bank said the deposit rate in dong at his bank decreased clearly whereby the highest saving interest rate for biggest individual deposit is currently at no higher than 18 percent per year and it will be 18.5 percent for corporate deposit. The lending interest rate in dong of his bank hovers 21-23.5 percent per year for producers.
Category: Finance
