Weekly Information on Banking Activities (Sep. 03-09/2010)

1. Mobilizing rates:

- The mobilizing rates in VND were stable as compared to the previous week. The rates for over 1 month terms ranged between 11 - 11.2% p.a; the rates for over 12 month terms were commonly 10.5 - 11.2% p.a. However, the Military Joint-Stock Commercial Bank increased the mobilizing rate by 0.2 percentage point p.a for over 12 month terms.

- The mobilizing rates in USD were on a upward trend, up by 0.2 - 0.3 percentage point. Several joint-stock commercial banks, namely the Bank for Foreign Trade of Vietnam, the Asia Joint-Stock Commercial Bank, and the Military Joint-Stock Commercial Bank increased by 0.2 - 0.3 percentage point p.a for most terms. 

The specific mobilizing rates were as follows:

2. Lending rates

The lending rates in VND and USD were unchanged as compared to the previous week.

The specific lending rates in VND and USD were as follows:

3. Transactions turnover :

The total amount of transactions in the inter-bank market reached about VND 147,750 billion and USD 4,160 million, i.e. VND 16,417 billion and USD 462 million per day averagely. The amount of transactions in VND decreased by 3 billion per day averagely while the amount of transactions in USD was up by 69 million per day averagely. Most transactions in VND were short terms (Overnight, 1 and 2 weeks), of which the amount of overnight transactions in VND was 55,728 billion, accounting for 38% of the total amount of transactions in VND. The amount of overnight transactions in USD was 2,102 million, accounting for 51% of the total amount of USD transactions.

4. Interest rates:

For the rates in VND, the average VND interest rate increased for all terms. Specially, the rate for 6 month term went up to 13.30% p.a from 11.66% p.a. The rates for other terms increased by 0.2 - 0.58 percentage points. 

The average overnight interest rate was 7.16% p.a, up by 0.39 percentage point as compared to the previous week. The rates for short terms (Below 3 months) ranged between 7.16% - 9.09% p.a. The rates for over 3 month terms were over 11.2% p.a, however, the rate for 3 month term was below 10% p.a. The highest lending rate was 18% p.a. while the lowest rate was 5.8% p.a. (Excluding the demand rate).

For the rates in USD, the average interest rates in USD decreased for all terms, of which the rate of 12 month term experienced the clearest decrease, down to 1.99% p.a from 3.13% p.a (Down by 1.13 percentage point); the rate of 3 month decreased to 0.87% p.a from 1.55% p.a (Down by 0.68 percentage point). The rates for 1 and 6 month terms remarkably decreased, by 0.27 and 0.34 percentage points respectively. The rates for other terms unremarkably decreased.

The average overnight interest rate was 0.32% p.a; the other rates ranged between 0.51% - 1.99%. There was no transaction in USD for demand loans.

The average interest rates in the inter-bank market were as follows (% p.a.):

5. Exchange rate

The foreign exchange continued to show positive signs. The liquidity was improved. As a result, commercial banks could buy foreign currencies from the market and sell a large amount of foreign exchange to clients. The VND/USD exchange rates were commonly at 19.480 - 19.500.

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