Lending Interest Rates Continue to Decline
This positive trend reflects the proactive, flexible, and timely management of the State Bank of Vietnam (SBV). The SBV has consistently directed credit institutions to reduce operational costs, enhance technology adoption, and implement solutions to lower lending rates. As of October 31, interbank interest rates for terms over one month increased slightly by 0.11-0.37% per year, indicating a rise in short-term liquidity demand but remaining within manageable limits.
Additionally, to address the impacts of natural disasters, storms, and floods, the SBV has instructed commercial banks to reduce interest rates by up to 2% per year, restructure debt repayment terms, waive loan interest, and provide new credit to help individuals and businesses restore their production and operations.
Banks have reduced interest rates by 0.5-2% per year for affected loans, waived late payment interest, and adjusted overdue interest rates to match within-term rates. Notably, the Agricultural and Rural Development Bank (Agribank) has allocated a VND 5,000 billion credit package with a maximum interest rate reduction of 1% per year for individual customers recovering from storm and flood damage. VietinBank has reduced interest rates by up to 2% per year for both existing and new customers, applicable until December 31, 2025.
The restructuring of the credit institution system continues under the “Restructuring the Credit Institution System in Association with Non-Performing Loan Settlement for 2021-2025” scheme (Scheme 689). By the end of August 2025, the on-balance-sheet bad debt ratio (excluding special-controlled commercial banks) remained at 1.71%, meeting the National Assembly and Government’s target of below 3%.
With reduced interest rates, reasonable credit growth, controlled bad debt, and accelerated digital transformation, the SBV’s monetary policy continues to play a pivotal role in stabilizing the macroeconomy, supporting businesses and individuals, and laying a solid foundation for sustainable growth in the future.
Interest Rates Show Signs of Rising Despite State Bank’s Net Capital Injection
After a prolonged period of remaining at a low level, deposit interest rates are showing signs of a slight increase in the final months of the year. Despite the system’s ample liquidity, interest rates in both the primary and secondary markets are trending upward, reflecting notable shifts in the balance of capital supply and demand within the system.
Unlocking Economic Growth: The Power of Public Investment and Its Hidden Risks
Public investment plays a pivotal role in stimulating aggregate demand, particularly in the aftermath of challenging or crisis-ridden periods. However, there are inherent risks when public spending is excessively accelerated.
Banks Quietly Hike Savings Interest Rates
BVBank proudly introduces its online certificate of deposit (CD) with flexible terms ranging from 6 to 15 months, offering a competitive maximum interest rate of 6.3% per annum for the 15-month term.
Interest Rates on Deposits Edge Up Amid Year-End Capital Demand
Interest rates are expected to fluctuate minimally within a narrow range during the final two months of the year. More significantly, lending rates will remain stable at low levels, providing optimal conditions for businesses to sustain their production and operational recovery.
Black Market USD Exchange Rate Surges Over 8% Since Start of the Year, with October Alone Seeing a 4.7% Spike
According to MBS, the surge is attributed to the widening price gap between domestic and international gold, fueling increased demand for USD in the unofficial market.
