Want to be in the loop?
subscribe to
our notification
Business News
VIETNAM’S CENTRAL BANK HIKES INTEREST RATES AFTER FED MOVE
The State Bank of Vietnam (SBV), the nation’s central bank, has decided to hike key interest rates by one percentage point, with effect from today, September 23.
The decision came out on September 22 after the U.S. Federal Reserve announced that it is raising interest rates by 0.75 percentage point following its September 20-21 meeting.
The refinancing rate – which the central bank applies to short-term loans for commercial banks – rises to 5% per year from 4% while the rediscount rate, applicable to valuable papers, inches up to 3.5% per year from 2.5%. The 4% refinancing rate and the 2.5% rediscount rate had been in force since October 2020.
The rate is 6% per year for overnight loans in interbank electronic payments and loans made by the central bank in clearing transactions with local commercial banks and foreign bank branches.
On the same day, the SBV made another decision to set new interest rate caps on deposits of individual and institutional customers, with effect from today, September 23. The highest rate for demand deposits and those with tenors of less than one month is 0.5% per year and that for deposits with tenors ranging from one month to less than six months is 5% per year.
For people’s credit funds and micro-finance funds, the interest rate cap on savings with tenors ranging from one to less than six months is 5.5% per year.
Source: The Saigon Times
Related News
MPI TO AMEND DECREE 35 ON THE IMPLEMENTATION OF PPP REGULATIONS
Deputy Prime Minister Tran Hong Ha has permitted the Ministry of Planning and Investment (MPI) to draft amendments and supplements to Decree No.35/2021/ND-CP, which provide guidance for the implementation of the Law on Public-Private Partnership Investment.
BA RIA-VUNG TAU PROVINCE RANKS FIRST IN FOREIGN INVESTMENT CAPITAL
Statistics published by the Foreign Investment Agency under the Ministry of Planning and Investment showed that between January and April, Ba Ria-Vung Tau lured $1.52 billion in overseas funding, equalling 16.4 per cent of the total foreign investment in the whole country.
INFOGRAPHIC SOCIAL-ECONOMIC SITUATION IN THE APRIL AND FOUR MONTHS OF 2024
The monthly statistical data presents current economic and social statistics on a variety of subjects illustrating crucial economic trends and developments, including production of agriculture, forestry and fishery, business registration situation, investment, government revenues and expenditures, trade, prices, transport and tourism and so on.
KEY DRIVER GAINS A MUST FOR GROWTH
Only slight order number improvements and enterprise confidence sentiment mean it may be difficult for the country to hit its desired growth goals this year.According to the World Bank’s biannual economic update report released last week, it is expected that the Vietnamese economy may grow by 5.5 per cent this year and 6 per cent next year, making it among top growth leaders in the world.
TEXTILE AND GARMENT BUSINESSES FACE DIFFICULTIES DUE TO LACK OF DOMESTIC SUPPLY
Infrastructure for weaving, dyeing and fabric production is still limited, and there is no spatial planning for development and centralised wastewater treatment, said Nguyễn Thị Tuyết Mai, Deputy General Secretary of the Việt Nam Textile and Apparel Association (Vitas).
ADDED VALUE OF INDUSTRIAL SECTOR UP 6.18 PER CENT IN Q1
Vietnam’s industrial sector posted significant growth in the first quarter of 2024, of an estimated 6.18 per cent compared to the first quarter of 2023. In particular, manufacturing and processing saw robust growth of 6.98 per cent.