Illustrative photo. (Source: VNA) Hanoi (VNA) - During the run-up to Tet many bankshave increased deposit rates to sustain liquidity.
Sacombank has hiked the rates on two- andsix-month deposits by 0.1 and 0.2 percentage points to 5 percent and 5.9 percent.
DongABank hiked the rates on one- and six-monthdeposits by 0.1 and 0.3 points to 5 percent and 5.5 percent.
Some other banks have also increased the ratesby 0.1-0.3 points.
Besides, banks are also scrambling to launchlucrative promotion programmes to attract deposits.
Vietinbank is offering bonuses of nearly 8billion VND to depositors, SHB has earmarked 7.2 billion VND.
Market observers said many banks face liquiditypressure though the State Bank of Vietnam is pumping in a lot of money throughopen market operations (OMO).
A major part of almost 55 trillion VND wereabsorbed by the banks as of January 16.
The observers attributed the low liquidity tothe fact that banks had to out a lot of money to enterprises and financialinstitutions, something that often happens a few weeks before Lunar New Year.
But other analysts dismiss the claim of lowliquidity, pointing to banks’ transactions in the last few months of 2016. Mostlenders had enough liquidity, with some even having plentiful cash, that theywere ready to meet the payment demands of the market.
This was also proved by the fact that interestrates kept falling on the inter-bank market.
The liquidity helped the government successfullyissue bonds totally worth 281 trillion VND.-VNA
Sacombank has hiked the rates on two- andsix-month deposits by 0.1 and 0.2 percentage points to 5 percent and 5.9 percent.
DongABank hiked the rates on one- and six-monthdeposits by 0.1 and 0.3 points to 5 percent and 5.5 percent.
Some other banks have also increased the ratesby 0.1-0.3 points.
Besides, banks are also scrambling to launchlucrative promotion programmes to attract deposits.
Vietinbank is offering bonuses of nearly 8billion VND to depositors, SHB has earmarked 7.2 billion VND.
Market observers said many banks face liquiditypressure though the State Bank of Vietnam is pumping in a lot of money throughopen market operations (OMO).
A major part of almost 55 trillion VND wereabsorbed by the banks as of January 16.
The observers attributed the low liquidity tothe fact that banks had to out a lot of money to enterprises and financialinstitutions, something that often happens a few weeks before Lunar New Year.
But other analysts dismiss the claim of lowliquidity, pointing to banks’ transactions in the last few months of 2016. Mostlenders had enough liquidity, with some even having plentiful cash, that theywere ready to meet the payment demands of the market.
This was also proved by the fact that interestrates kept falling on the inter-bank market.
The liquidity helped the government successfullyissue bonds totally worth 281 trillion VND.-VNA
VNA
