Contrary movements in interest rate market

After the Circular No 19/2010/TT-NHNN was issued to amend the Circular No 13/2010/TT-NHNN and both two circulars have taken effect from October 1, 2010, the situation of interest rate at commercial banks has witnessed contrary movements.

The dong deposit rate decreased slightly at some commercial banks such as Dai A Bank (falling by 0.14-0.2 percent/year for common savings).
Some others like ABBank, Western Bank adjusted the lending rate down by 1 percent for small and medium-sized enterprises (SMEs).

Also in October, Nam A Commercial Joint Stock Bank will set aside about one trillion dong to support enterprises with the lending rate of 13 percent/year in dong and 5 percent per annum in US dollar.

Bank for Investment and Development of Vietnam (Bidv) offers preferential loans for car and house buyers

Contrary to the dong interest rate, the interest rate of US dollar tends to increase in almost commercial banks such as Vietnam Commercial Joint Stock Bank for Industry and Trade (VietinBank) up 0.1-0.2 percent/yr, Military Bank up 0.2-0.35 percent/yr in all terms. – SGGP

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial, Vietnam interest rates

Posted by VBN on Oct 7 2010. Filed under Banking-Finance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry