Interbank 12-month term dong interest rate up to nearly 11% a year

While the average dong interest rate tended to fall for almost all terms in the interbank market, the 12-month term interest rate at the interbank market increased continuously during the last two weeks to nearly 11% a year, according to the credit institutes' report to the central bank on December 30, 2008.

Particularly, the overnight interest rate is 6.72% a year, one week at 7.33%, two weeks 8.03%, one-month 8.78%, three months 9.89%, six months 10.55% and one-year at 10.98% a year.

Meanwhile the US dollar interest rate also went down in terms of one week and two weeks and increased for the remaining terms. In particular, the common US dollar interest rate is below 3.05% per annum. The overnight lending rate is 0.84% per annum and the lending rate for one week terms ranges between 1.31% per annum and 3.04% per annum.

In accordance with the direction of the central bank, commercial banks would apply preferential lending rate policy for exporters, SMEs, enterprises operating in the agriculture and rural field and producers, in future.

According to the statistics, the bottom of lending rate is still at 8.5% a year applied by the Bank for Foreign Trade of Vietnam (Vietcombank) since December 22, 2008. (CafeF)