Gold saving rate fall further

Gold saving rate continued to see fall after large-scaled banks announced new gold deposit rate benchmark.

On April 22, Asia Commercial Joint Stock Bank (ACB) announced to adjust the gold saving rate from the highest level of 1 percent per annum and 1.1 percent pa (depending on each type of gold) for 11-month term in previous benchmark to 0.7 percent and 0.8 percent pa and remaining terms of 1-9 months, it is at only 0.2-0.5 percent pa instead of 0.5-1 percent pa previously.

Another large bank namely Vietnam Export Import Commercial Joint Stock Bank (Eximbank-EIB) has also made two consecutive adjustments on the gold deposit rate benchmark during last week whereby the highest level of 1 percent per year was lowered to 0.4 percent pa (three month term) and 1-6 month terms and 364 day term at 0.2 percent pa.

That is new response of commercial banks in the downward tendency of gold saving rate starting from October 2010 when the State Bank of Vietnam (SBV) issued a circular to narrow gold mobilising and lending activities of credit institutions.

That is also the first reaction after the prime minister decided to stop gold mobilising and lending activities. – Vneconomy

Tags: vietnam gold, Vietnam gold market, Vietnam gold prices

Posted by VBN on Apr 26 2011. Filed under Gold. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry