The biggest hikes were by Eximbank, SeABank, NCB, BaoVietBank, VietABank, and PGBank.

SeABank made substantial increases of 0.5-0.6 percentage points for selected terms, and now offers the highest rates for 12-month deposits of 5.9%.

This month some banks have also begun promotions to attract deposits and new customers.

South Korean lender Woori Bank, for instance, is offering 8% on recurring deposits at its new office at Lotte Center in Hanoi.

Deposit interest rates have been going up since early May, increasing from 5.4% to 5.9% since then and the number of lenders offering 5% or higher also doubling to 24.

In the first half of the year banks’ deposits grew by 1.5%, the lowest rate in many years, according to data from the General Statistics Office.

Analysts said the hikes are meant to attract investors away from other asset classes such as gold.

In the first half loans outstanding increased by 6% to nearly VND14.4 quadrillion (US$566.4 billion).

Credit rating agency FiinRatings forecast that businesses’ demand for credit would soar in the second half of the year, spurred by growth in production and exports.

BIDV, Agribank promise to sell gold ‘without profit’

BIDV and Agribank will sell gold to retail consumers “without profit” to stabilize its prices, representatives for the state-owned lenders have said.

State Bank announces 4th gold bar auction to stabilise prices

The State Bank of Vietnam (SBV) on May 7 announced a morning auction for a total of 16,800 taels of gold in Hanoi on May 8.

Central bank successfully auctions 3,400 taels of SJC-branded gold bars

The State Bank of Vietnam (SBV) released the outcome of the gold bullion auction on April 23, with two winning bidders securing 34 lots, equivalent to 3,400 taels of SJC-branded gold bars.

PM asks central bank to keep interests low and financial access easier

Prime Minister Pham Minh Chinh has tasked the State Bank of Vietnam (SBV) to keep interest rates low and financial access easier for businesses, according to a new directive on Wednesday.

Central bank pushes others to boost lending from start of New Year

The State Bank of Vietnam has issued a directive urging credit institutions to accelerate credit growth from the early months of 2024, a pivotal step toward propelling economic growth.

Source: VnExpress