Banking and Finance

Prime rate to remain unchanged

The State Bank of Vietnam will keep the prime rate unchanged at eight percent at least through next month as part of the ongoing effort to help commercial banks lower lending interest rates.

Deposit interest rates expected to go down in the coming months

Commercial banks are still paying high rates at 11.5 percent per annum for dong deposits, but bankers said interest rates will go down in several months.

Banks told to control real estate credit tightly

Though outstanding real estate loans had increased by just 4.54 percent by the end of May, the State Bank of Vietnam still says it will strictly supervise real estate lending, because real estate credit is considered the source of non-performing loans.

Banks ease interest rates to attract more borrowers

A lot of commercial banks have launched new lending programs, offering to lend with preferential interest rates to expand their credit.

Rising interest rates attract only short-term deposits

While commercial banks need long term capital, they can only raise short term deposits.