Vietnam Injects More Low-Cost Funds to Help Cut Interest Rates
The State Bank of Vietnam, the country’s central bank, has continued pumping low-cost funds through the open market operations (OMOs), in a move to help pull down interest rates on deposits and loans at commercial banks to facilitate the economic growth.
The Lao Dong newspaper reported that the SBV on Aug 16 sold VND1.527 trillion worth of bonds and bills at an interest rate of 8% per annum for a term of 28 days and another VND474 billion at 7.5% for a 14-day term.
The central bank had also lent VND2.459 trillion at 8% per annum and VND1.041 trillion at 7.5% to local banks two days earlier, it said.
The SBV is striving to cut lending and deposit interest rates to 12% and 10% per annum, respectively, to give easier access to local enterprises to take out loans whose rates are high at 12%-14.5% at state-owned banks and 13%-15.5% at joint stock ones. (Labor)
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