Dong deposit rate of 11.9pct/year reduced

The highest dong deposit rate of 11.9 percent pa, established from April 15, has lately been replaced by the 11.5 percent pa threshold. Hanoi Building Commercial JS Bank or Habubank has announced to adjust the deposit rates of its whole system.

The adjustment is under the direction of State Bank of Vietnam (SBV) as well as the agreement of Vietnam Banks Association (VNBA)’s members.

Accordingly, the maximum deposit rate of Habubank till this time is only 11.5 percent pa instead of the previous 11.9 percent pa.
An official from Habubank said that the bank is going in right way to set up a suitable interest rate parabola for short to long term terms. Thanks to this, the bank expected to lower lending rates to harmonise the interests of depositor, borrower and bank.

Therefore, 11.5 percent pa is applied on 6-13 month deposits and remaining terms carry the common rate of below 11 percent/year.

Before Habubank, Saigon Hanoi Commercial Joint Stock Bank (SHB) also had decided to correct the dong saving rate for two products: savings with progressive interest rate and flexible principle withdrawal. Under it, the progressive saving rates of SHB were amended for all terms, at 11.5 percent pa for longer three month terms and the savings with flexible principle withdrawal also carried 11.5 percent pa for the terms of 3-12 months and 11 percent on 12-month term.

With the above movements, SBV and VNBA called for members to stabilise and apply the suitable interest rate benchmark.

TBKTVN

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Posted by VBN on Apr 28 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

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