Business

Commercial banks itching to raise deposit rates

Some commercial banks have entered a new interest rate hike race for long-term deposits with adjustments from 0.1-0.2 percent per year.
Commercial banks itching to raise deposit rates ảnh 1Illustrative photo (Photo: VNA)

Hanoi (VNA) – Some commercial banks have entered a new interest rate hike race for long-term deposits with adjustments from 0.1-0.2 percent per year.

The Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) increased its deposit rates for 15-36 month terms by 0.1-0.2 percent from June 7.

The Vietnam Export Import Commercial Joint Stock Bank (Eximbank) announced a slight rise of 0.1-0.2 percent for different deposit terms. Currently, the bank is offering a rate of 8 percent per year for 24-month and 36-month deposits.

Bac A Bank has listed its highest rate of 7.75 percent per year and the deposit rate in National Citizen Bank is 7.3 percent.

According to Vuong Duy Lam, from the National Institute for Vietnam Finance under the Ministry of Finance, the commercials banks are prudent to shake up their capital in attempt to satisfy the State Bank of Vietnam (SBV)’s Circular 06/2016, which requires banks to lower the ratio of short-term funds used for medium and long-term loans from 60 percent in 2016 to 50 percent in 2017.

Abundant liquidity in the banking system together with stellar open market operations (OMO) rarely exerts pressure on interest rates, Lam added.

According to the SBV, deposit and lending rates of financial institutions were stable in the first five months of this year. Currently, lending interest rate averages at 6-9 percent per year for short-term loans and 9-11 percent for medium and long-term loans.

To have such achievements, the SBV has paid due attention to supporting financial organisations to stabilise interest rates and directing them to enhance business efficiency.

Earlier, in the context of high inflation, increasing credit demands pushed up the interest rates in financial institutions.

Lam said that when commercial banks complete capital balance, it will be easier for them to lower lending rates by the end of 2017.-VNA

VNA
# commercial banks #long-term deposits #new interest rate hike #0.1-0.2 percent #Circular 06/2016 #State Bank of Vietnam #business efficiency #high inflation #lending interest rates #Vietnam #Vietnam news #VietnamPlus
Follow VietnamPlus

Related News

Interest rates remain stable: survey

Interest rates remain stable: survey

Interest rates for deposits and loans and bond yields have remained relatively steady since the end of January, as inflation is under control and foreign exchange rate is stable.

See more

A company in Da Nang operates a customer relationship management system supported by AI chatbots. (Photo: VNA)

AI drives rise of sleepless enterprises in Vietnam

The concept of a sleepless enterprise does not necessarily mean making employees stay on the job all the time. Instead, it's about building intelligent systems that can respond to customers, process transactions, monitor operations, analyse data and flag risks continuously.

Head of the Vietnam Trade Office in Australia Tran Thi Thanh My (Photo: VNA)

Vietnam, Australia eye 20 bln USD trade target

The head of the Vietnam Trade Office in Australia hoped that the visit by Party General Secretary and State President To Lam will mark a new milestone, opening the door for firms on both sides to forge stronger links and launch concrete cooperation agendas, helping hit that 20 billion USD trade goal sooner rather than later.

Phu Quoc pepper products, granted three stars under the OCOP programme in An Giang province, are displayed at an exhibition of outstanding OCOP products from the Mekong Delta. (Photo: VNA)

Phu Quoc leverages OCOP programme to take local specialities global

Better known as one of Vietnam’s premier island destinations, Phu Quoc is leveraging its “One Commune, One Product” (OCOP) programme to transform traditional specialities into internationally recognised products, integrating local agriculture, food processing and tourism to promote sustainable economic growth.

Production at an FDI enterprise in Tay Ninh province. (Photo: VNA)

FTA Index 2025 to be unveiled later this month

The index is designed to provide valuable information not only for State management agencies but also as an important reference for businesses, foreign investors, and industry associations in planning investment and business activities in Vietnam.

Air Premia, a carrier of the Republic of Korea, will resume flights between Incheon and Ho Chi Minh City from November 5. (Photo: The Courtesy of Air Premia)

Air Premia to resume Incheon–Ho Chi Minh City route from November

Flights will depart Incheon International Airport at 6:40 pm (RoK time) and arrive at Tan Son Nhat International Airport in Ho Chi Minh City at 11 pm (Vietnam time). Return flights will leave Ho Chi Minh City at 12:30 am on Mondays, Tuesdays, Thursdays, Fridays and Sundays, landing in Incheon at 7:40 am.

Production at Viet Hai High-Tech Structure Production Company Limited in Vung Ang Economic Zone. Ha Tinh province aims to develop Vung Ang Economic Zone into a regional centre for industry, energy, seaports and logistics (Photo: VNA)

Revised master plan of Vung Ang EZ approved

The adjustment aims to create a more rational development framework to maximise the zone’s potential and advantages while providing a legal foundation for construction management and ensuring sustainable development.

Illustrative image (Photo: VNA)

Vietnam looks to domestic market to sustain wood industry growth

Vietnam’s wood sector has long been a top foreign-currency earner. Exports of wood and wooden products neared 17.3 billion USD in 2025, reaching more than 160 countries and territories and clearing the high bars set by the US, the European Union and Japan.

Delegates at the event (Photo: VNA)

Vietnam remains key market for Polish food producers

The campaign promotes selected European Union agricultural and food products, including fresh, chilled and frozen beef and pork, fresh apples, apple juice and dried apples, targeting consumers, importers, distributors, retailers and the hospitality sector.

Wei Xiaoli, a representative of Shandong Jindafeng Machinery Co., Ltd., in an interview granted to the Vietnam News Agency. (Photo: VNA)

Chinese firms see strong potential for agricultural mechanisation cooperation with Vietnam

Business representatives said mechanisation not only helps reduce reliance on manual labour but also improves production efficiency, shortens planting and harvesting times, reduces post-harvest losses and enhances the quality of agricultural products. For rice-producing countries like Vietnam, they noted, accelerating mechanisation is an inevitable trend to strengthen the competitiveness of the agricultural sector.

Community-led fisheries groups have become frontline defenders of coastal fisheries. (Photo: VNA)

Community-led fisheries groups strengthen IUU fight in Ha Tinh

With a long coastline and abundant inshore fishing grounds, Ha Tinh has long identified the marine economy as a key growth driver. However, growing fishing pressure and destructive practices have posed major management challenges. Community-led self-management initiatives are now providing an effective solution.

At the VIFC-HCMC (Photo: VNA)

700 bln USD for net zero: Vietnam bets on VIFC

Assoc. Prof. Dr. Nguyen Huu Huan, Vice Chairman of the Executive Board of VIFC-HCMC, said the VIFC will focus on building market infrastructure needed to bridge the gap between big investment pledges and bankable projects.