On August 25, 2014, VND deposit interest rates of some commercial banks, especially large banks, were reduced by 0.1-0.5%/year, local newswire Thanh Nien reported.
According to its newest deposit rate table, Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) offers 4.8%/year for 1-month term, 5%/year for 2-month term, 5.5%/year for 3-month term, 5.7%/year for 6-9 month term and 6.5%/year for 12-month term.
Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) brought 1-month rate even lower to 4.5%/ year. Besides, the bank offers 5.75%/year for 2-month term, 6%/year for 3-month term, 6.5%/year for 6-9 month term and 6.8%/year for 12-month term.
At the end of last week, Asia Commercial Bank (ACB) also lowered the VND deposit rate to 5.3%/year for the 1- 2 terms, 5.4% for 3-month term, 6%/year for 6-month term, 6.2%/year for 9-month term and 6.8%/year for 12-month term.
Currently, banks mobilize more capital than they can lend, leading to excess capital in the system. According to the State Bank of Vietnam, in the first 7 months of the year, the system’s capital mobilization rose 6.98% from the end of 2013, in which VND mobilization increased 7.92% and foreign currency mobilization edged up 1.31%. Liquidity of banks continues to be ensured and redundant. Meanwhile, the system’s credit only grew 3.68% from the end of 2013.
Source StoxPlus