Weekly information on banking activities (June 25 - July 1, 2011)

1. Mobilizing and lending rates:

- The VND interest rates:

+ The lending rates were 16.5% - 20% p.a for agricultural and rural development and exporters, 18-21% p.a for other productive and business enterprises, and 22 - 25% p.a for the non-productive sector.

- The USD interest rates:

+ The lending rates were commonly 6 - 7.5% p.a for short terms, and 7.5 - 8 % p.a for medium and long terms.

The specific mobilizing and lending rates were as follows:

2. Inter-bank transactions turnover:

According to the express reports of commercial banks by June 29, the total amount of transactions in the inter-bank market reached about VND 154,531 billion and USD 3,069 million, i.e. VND 30,906 billion and USD 614 million per day averagely. 

Most transactions in both VND and USD were overnight term, with the total amount of VND 63,511 billion, accounting for 41% of the total amount of VND transactions and USD 1,697 million, accounting for 55% of the total amount of USD transactions.

3. The average inter- bank interest rates:

The interest rates by June 29 were as follows:

For the rates in VND, the average inter-bank interest rates for most terms were on a marginal downward trend with a decline of 0.02 - 0.12 percentage points p.a. The average rates for overnight and 12 month terms increased by 0.61 and 0.38 percentage point p.a respectively.

The average overnight interest rate was 12.44% p.a. The rates for other terms ranged between 13.20 - 14.10% p.a (Excluding demand loans).

For the rates in USD, the average interest rates for overnight and 6 month terms were down by 0.05 and 0.35 percentage point p.a respectively. The rates for 1 week - 3 month terms rose by 0.01 - 0.75 percentage point p.a. The rate for 3 month term remarkably increased to 2.46% from 1.71% (Up by 0.75 percentage point p.a).

The average overnight interest rate was 0.80% p.a, down by 0.05 percentage point p.a. The rates for other terms ranged between 1.47 - 2.95% p.a. There was no transaction for demand and 12 month terms. There were marginal transactions for 6 month term.

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

4. Exchange rate  

The foreign exchange market continued to be stable. The foreign currency liquidity was improved. Commercial banks continued to buy foreign currencies from their clients.

The exchange rate in the market was stable and on a marginal downward trend. Commercial banks quoted the buying and selling VND/USD rates at 20,550-20,620.

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