HCMC – The State Bank of Vietnam (SBV) has announced the reduction of a series of key interest rates from May 13, to address post-Covid-19 difficulties facing businesses.
The central bank lowered its annual refinancing rate to 4.5% from 5% and its rediscount rate to 3% from 3.5%.
The overnight lending rate on the interbank market was also reduced to 5.5% from 6%, while the interest rates for buying valuable papers through the open market were lowered from 3.5% to 3%.
Also, the central bank reduced the highest rates for non-term deposits and savings of less than one month by 0.3 percentage point to 0.2% per year, while the maximum annual deposit rate for savings of one month to less than six months was ordered down from 4.75% to 4.25%.
In addition, the highest rates for deposits of one month to less than six months at people’s credit funds and micro credit institutions dipped to 4.75% per year, the local media reported.
As for lending rates, the central bank lowered the maximum dong lending rate for short-term loans to 5% per year from 5.5%.
Meanwhile, online depositors are enjoying a high rate. At some commercial banks, deposits made online enjoy a rate of 0.1%-1% higher than those made in person. The rate of deposits for six months onward has exceeded 8% per year.
The rate for deposits made online at Saigon Commercial Bank, for example, is 1% higher than that for savings at its transaction offices. The rates for savings of six months, seven months and 12 months are 8.21%, 8.26% and 8.66% per year, respectively.
