Interest rates likely to drop to 9 percent: SBV

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 low interest rates, many commercial banks have slashed their deposit interest rates to 11 percent per year.

The Joint Stock Commercial Bank for Industry and Trade of Vietnam (Vietinbank) is offering deposit rates of 3 percent per year for its under-one-month term, 11 percent for its 1-to-12-month term, 8.5 percent for its 12-to-24-month term, and 8 percent for its above-24-month term.

The Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) is paying businesses 11 percent per year to its 1-12 month term deposits and 10 percent to its above-12-month term. Private deposits will receive the highest rates of 11 percent per year.

The Vietnam Export Import Bank (Eximbank) is offering the highest rates of 10.95 percent for its 1-3 month term deposits and 10-10.45 percent for other deposits.

Other banks including VIB, SeAbank, DongABank, and HDBank have also lowered their deposit rates to 11 percent per year. - VOV