The State Bank of Vietnam (SBV) may reduce deposit interest rates to 9 per cent per year to cut loan rates and help businesses.
The information was released on May 31, following a meeting between the SBV and 14 commercial banks in Hanoi.
During the meeting, the SBV also proposed a policy to establish a debt trading company under its management, which would buy joint stock from banks’ bad debts in the process of restructuring.
Previously, in response to the SBV’s decision to lower interest rates, many commercial banks have slashed their deposit interest rates to 11 per cent per year.
The Joint Stock Commercial Bank for Industry and Trade of Vietnam (Vietinbank) is offering deposit rates of 3 per cent per year for its under-one-month term, 11 per cent for its 1-to-12-month term, 8.5 per cent for its 12-to-24-month term, and 8 per cent for its above-24-month term.
The Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) is paying businesses 11 per cent per year to its 1-12 month term deposits and 10 per cent to its above-12-month term. Private deposits will receive the highest rates of 11 per cent per year.
The Vietnam Export Import Bank (Eximbank) is offering the highest rates of 10.95 per cent for its 1-3 month term deposits and 10-10.45 per cent for other deposits.
Other banks including VIB, SeAbank, DongABank, and HDBank have also lowered their deposit rates to 11 per cent per year.