Business

Central bank to cut benchmark interest rate

The State Bank of Vietnam (SBV) will adjust its benchmark interest rates from May 13 in an attempt to support an economy hurt by the COVID-19 outbreak. ​
Central bank to cut benchmark interest rate ảnh 1Benchmark interest rates will be adjusted from May 13 (Photo: VNA)

Hanoi (VNA) - The State Bank of Vietnam (SBV)will adjust its benchmark interest rates from May 13 in an attempt to support aneconomy hurt by the COVID-19 outbreak.
It will reduce the benchmark refinance rate to 4.5percent per annum from 5 percent and the discount rate to 3 percent per annumfrom 3.5 percent, it said in Decision 918/QD-NHNN released on May 12.
The overnight lending rate in the inter-bank market willbe lowered to 5.5 percent per annum from 6 percent and the open-market-operation(OMO) rate to 3.0 percent per annum from 3.5 percent.
The central bank also issued two new decisions, under whichthe caps on the interest rates of some types of Vietnam dong-denominateddeposits and short-term loans will be reduced by 0.3 to 0.5 percentage points,depending on the maturity.
The bank said the COVID-19 pandemic has been a complexdevelopment resulting in a global economic crisis and cited the fact that manyforeign governments have adopted economic stimulus policies, one of which ispolicy rate cuts from central banks.

The rate cut is also in line with guidelines from theGovernment on removing difficulties for production and business operations and ensuringsocial welfare, it noted./.
VNA
#State Bank of Vietnam #benchmark interest rates #COVID-19 #benchmark refinance rate #inter-bank market #open-market-operation rate #economic stimulus policies #updated Vietnam news #Vietnamplus #Vietnam News Agency
Follow VietnamPlus

Related News

See more

HCM City is now a regional specialised financial centre (Photo: VNA)

Vietnam should be flexible in selecting financial centre models: expert

Tuan also highlighted the importance of human capital, one of the five important factors to successfully build a financial centre, citing the Global Financial Centres Index, which ranks business environment, human capital, infrastructure, market development, and reputation as the key drivers of success.

Minister of Industry and Trade Nguyen Hong Dien (L) and US Secretary of Energy Chris Wright in Washington D.C. on March 13. (Photo: VOV)

Vietnam, US look to strengthen comprehensive energy cooperation

Vietnam’s consistent policy is to foster a balanced, sustainable, stable, and win-win economic relationship with the US, the minister stated. Vietnam does not intend to create any barriers that could negatively impact the US’s workers or its economic and national security, Minister of Industry and Trade Nguyen Hong Dien said.

Deputy Prime Minister Nguyen Chi Dung speaks at the first meeting of the steering committee for the building of a project on the private economic sector's development in Hanoi on March 15. (Photo: VNA)

Private sector's development key to Vietnam’s economic growth

Currently, the private economic sector comprises over 6.1 million business establishments, including approximately 940,000 registered enterprises and over 5.2 million household businesses. The sector contributes around 50% of the country’s GDP, accounts for over 56% of total social investment, employs approximately 82% of the workforce, and generates around 30% of state budget revenue and more than 30% of total import-export turnover.

Prime Minister Pham Minh Chinh receives Wouter Van Wersch, Executive Vice President of Airbus International. (Photo: VNA)

PM suggests Airbus help Vietnam in developing aviation ecosystem

During a meeting on March 14 with Wouter Van Wersch, Executive Vice President International of Airbus, Prime Minister Pham Minh Chinh praised the aerospace giant’s cooperation with Vietnamese partners, emphasising its role in boosting domestic and international connectivity and driving Vietnam’s socio-economic growth.

The Vietnam Consumer Rights Day 2025 is under the theme "Transparent Information – Responsible Consumption". (Photo: VNA)

Hanoi launches campaign for Consumer Rights Day

The event, organised by the city's Department of Industry and Trade, aimed to promote consumer protection as a long-term, essential task for all levels of government, businesses and society.