The State Bank of Vietnam decided October 27 to retain the prime interest rate for dong deposit accounts at 8 percent for the 12th consecutive month.
The refinance interest rate is set at 8 percent per annum and the discount rate at 6 percent. The overnight rate in inter-bank electronic payments, and the rate of loans to finance balances in clearing transactions between the State Bank and commercial banks are all 8 percent per annum.
The decision will take effect as of November 1, 2010.
According to the bank’s statistics, the average deposit interest rate in dong has reduced by 0.14 percent per annum on the market.
The current average rate is 10.44 percent per annum.
Commercial banks have cut their deposit interest rates by 0.1-0.2 percent points to 11 percent per annum since October 15 in accordance with their commitment to the Vietnam Banking Association.
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