The State Bank of Vietnam (SBV) on March 17 announced a reduction in maximum interest rates for bank deposits in VND and USD.
Accordingly, the maximum interest rate for non-term and under-one-month term bank deposits will drop by 0.2% to 1% per year, while the rate will reduce from 7% to 6% per year for deposits left between one and six months.
The SBV will also apply a reduction from 1.25% to 1% per year to deposits in USD made by individuals and will retain the rate of 0.25% for businesses and organisations.
At the same time, the annual interest rate for longer-term deposits from 6 month and over will be fixed by credit organisations based on the demand and supply of the capital market.
The short-term lending interest rate for five priority areas, namely agriculture, export, supporting industry, small and medium-sized enterprises and high-tech firms will be cut from 9 to 8% per annum.