Vietnam central bank makes net injection of 27tr dong on OMO in Sept.

In the four trading sessions from Sept. 26-29, 2011, the State Bank of Vietnam (SBV), the country’s central bank injected five trillion dong on open market operations (OMO) with the interest rate of 14% for the repo term of 14 days, but it did not withdraw any capital, according to the data of global financial newswire Reuters.
This means the State Bank has injected net five trillion dong in the first four days of this week and its net injection is expected to increase to six trillion dong for this whole week.

Since from Sept. 19, the repo term on OMO has been increased to 14 days, so this week no cash was drawn back by the central bank as stated above.

Next week, 27 trillion dong, which was injected in the week from Sept. 19-23 with the repo term of 14 days, will mature and be paid back to the State Bank. Therefore, next week the amount of the injection is forecast to be more than the level of one-two trillion dong per day as the first four sessions of this week.

Meanwhile, the statistics from early September until Sept. 29 showed that the State Bank pumped out about 81.981 trillion dong and withdrew 54.981 trillion dong, bringing the net injection to 27 trillion dong on OMO.

It is expected that on the trading session of Sept. 30, the State Bank may also pump out one trillion dong as in the three previous sessions, bringing the net injection of September to 28 trillion dong. – Source: Vietbiz24.com

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial

Posted by VBN on Sep 30 2011. 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