Nearly 20 commercial banks in Vietnam have adjusted deposit rates since the beginning of this month, with most lowering rates.
According to financial analysts, deposit rates have hit their lowest level in years and would be tough to cut further, while lending rates continue to fall.
The other banks in the Big 4 group have altered their interest rates in response to Vietcombank's lead in setting the lowest deposit rates across all terms.
Deposit interest rates are expected to remain unchanged in 4Q23, while loan interest rates are expected to fall further 0.25%.
Borrowers are finding it challenging to obtain new loans from banks to settle their existing debts at a different bank.
Commercial banks have persistently reduced deposit interest rates, resulting in rates for many terms now standing at just above 6% per annum.
HSBC expects the State Bank of Vietnam (SBV) to deliver one more 50bp rate cut in this easing cycle, sometime in 3Q23, to further support growth.
Four State-owned banks have further cut deposit interest rates by 0.2-0.3 percentage points to reach around 7 per cent for 12-month deposits.
Banks have been steadily cutting deposit interest rates, which have reached around 8%, a move aimed at reducing lending rates to support businesses.
The State Bank of Vietnam (SBV) is also supplying the market with liquidity as the interest rate has fallen to an extremely low level. However, a variety of factors...
The State Bank of Vietnam (SBV) cut its policy rates twice in March 2023.
The State Bank of Vietnam's (SBV) adjustment to reduce the operating interest rate and the interest rate on open market operations was considered by experts as one of...
The level of savings interest rates at commercial banks has continuously increased since the State Bank of Vietnam (SBV) raised the operating interest rate in the last...
The level of savings interest rates at commercial banks has continuously increased since the State Bank of Vietnam (SBV) raised the operating interest rate in the last...
Vietnam’s deposit and lending rates could rise further in 2H22 for many reasons.
Many finance analysts expected deposit rates to rise higher despite the slowdown in credit growth.
The State Bank of Vietnam (SBV) won't be in a rush to tighten monetary policy right away to promote economic recovery, even though the FED continues to raise rates.
In July, the “race” of deposit interest rates became even stronger when there were banks that increased by 1% as well as the continued participation of big banks.
The interest rate level for savings accounts continued to increase in the early days of June 2022, and the interest rate "race" now has the participation of the "big"...
Despite the fact that deposit rates have been rising, lending rates may continue to fall as a result of supportive policies.
Deposit rates may inch up by 0.5% in 2022, while lending rates will likely increase slightly, according to KB Securities.
The deposit rates could go up further in the coming months due to a rise in inflation pressure, fierce competition from other markets….
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