According to a survey at some banks, the deposit interest rates are ranging around 4.5 5.5 percent per annum for terms of one and three months, five to 6.8 percent per annum for terms from one to six months, and seven to 7.9 percent per annum for terms of 12 months and more.
Particularly, at some banks, the online deposit rates are high at a high level of above eight percent per annum. Nam A Commercial Joint Stock Bank (NamABank) lists this rate at eight percent per annum for term of six months, and up to 8.7 percent per annum for term of 36 months. Meanwhile, Saigon Thuong Tin Commmercial Joint Stock Bank (Sacombank) offers 10-month online deposit rate at eight percent per annum and the highest level is 8.3 percent per annum on 36-month term. At Export Import Commerical Joint Stock Bank (Eximbank), the online deposit rate is 8.3 percent per annum for terms of 15 months and more, and the highest is 8.4 percent per annum for 24-month term.
Overall, 8.6 percent per annum is the highest interest rate on the market currently, offered by Viet Capital Commercial Joint Stock Bank (VietCapitalBank). This rate is applicable to deposits with terms from 24 to 60 months, and no requirement on the lowest deposit amount.
However, most of the high deposit rates are offered by non-state commercial banks. The rates are still below seven percent at state-owned banks, reaching 6.8 percent at Commercial Joint Stock Bank for Foreign Trade of Vietnam (Vietcombank), Agriculture and Rural Developmnent of Vietnam (Agribank), and 6.9 percent per annum at Commercial Joint Stock Bank for Investment and Development of Vietnam (BIDV) and Commercial Joint Stock Bank for Industry and Trade of Vietnam (VietinBank).
According to VNDIRECT, the deposit rates are under much pressure due to the increasingly fierce competition in attracting depositors and the escalating conflicts of the US-China trade war. Particularly, to ensure the roadmap on reducing short-term funds for medium and long-term lending of the State Bank of Vietnam (SBV), the pressure of increasing deposit rates is higher on long terms.
At some banks, deposit rates from 12 months and more are used to calculate lending rates. With an input rates of around seven to 7.9 percent per annum, plus an amplitude of 2.5 three percent per annum, the lending rates will be around 9.5 -11 percent per annum on medium and long terms, while short-term lending rates are around seven to eight percent per annum. This interest rate level is said to have been kept stable in the last three years.
Dr Tin shared that lending rates not only depend on deposit rates but also many other related factors, such as inflation, exchange rate, payment balance, liquidity of the banking system and even external factors such as flcutuations of the financial market and international standards, etc. nevertheless, the interbank rates are currently still below four percent, showing an abundant and stable liquidity. In addition, as the interest rate level in the world is stable, countries tend to loosen monetary policy, and even the European Central Bank plans to reduce interest rate to below zero percent, and the US Federal Reserve (Fed) aims to cut interest rates by 0.25 percent, etc., the pressure on lending rates is insignificant and interest rates will mainly be stable.
Moreover, since the orientation of the SBV is to stabilising lending rates, or even call for commercial banks to reduce lending rates for businesses. Therefore, basically, lending rates are forecasted to remain relatively stable. There will be ups and downs but not significant.
