Saturday, May 30, 2020 4:07:03 AM - Markets open
VN-INDEX 864.47 +3.08/+0.36%
HNX-INDEX 109.81 +0.17/+0.16%
UPCOM-INDEX 55.03 +0.02/+0.03%
SBV’s policy rate cut a positive sign for market, economy: experts
VietNamPlus - 5/14/2020 1:27:39 PM
 (0 ratings. You must sign in to rate.)
The State Bank of Vietnam (SBV)’s interest rate cut is a positive sign for the market and economy, especially for businesses with loans, according to experts.
 
Finance specialist Nguyen Tri Hieu said through the adjustment, the central bank will partly support banks in terms of capital. Meanwhile, the cut also affects commercial banks and financial institutions’ interest and loan rates, mainly on accounts with terms of less than 6 months.
 
Echoing the view, banking expert Le Xuan Nghia said that in addition to the delay of loan payments, reducing interest rates is vital to helping businesses and the economy recover.
 
Head of the SBV’s Monetary Policy Department Pham Thanh Ha added that the move will create favourable conditions for credit institutions to sustainably reduce their rates, thereby easing the burden on the economy.
 
The adjustment was in line with evaluations of the global market, as many central banks worldwide have taken similar measures to navigate economies through the crisis brought about by COVID-19, he noted.
 
By May 13, most of the commercial banks in Vietnam had lowered their interest rates on savings accounts with terms of less than 6 months, which previously stood at between 3.9 – 4.75 percent per annum.
 
The central bank will keep a close eye on domestic and foreign market developments to actively and flexibly adjust monetary policies in an attempt to curb inflation, stabilise the macro-economy and ensure liquidity and safe operations of credit institutes.
 
The SBV on May 12 decided to cut lending and discount rates, with annual refinancing rates coming down to 4.5 percent from 5 percent and discount rates to 3 percent from 3.5 percent.
 
Ceiling rates on deposits of one to six months are brought down to 4.25 percent per annum from 4.75 percent, and rates for non-term deposits and those below one month, to 0.2 percent from 0.5 percent.
 
Short-term lending rates for five priority business sectors are down to 5 percent from 5.5 percent per annum under the decision./.
 
Newer News
29/05 May CPI shows slight reduction due to dropping petrol, power, rice prices
29/05 Foreign Ministry: Vietnam recovers economy during, after COVID-19
19/05 Energy firms drive VN market
14/05 Footwear sector’s support industry should focus on developing new materials
Older News
29/04 PM allows rice export resumption from May 1
26/04 Digital economy expected to add 30% to GDP by 2030
26/04 Digital economy to be pillar of future society
24/04 Standard Chartered lowers Việt Nam’s 2020 growth forecast to 3.3%
19/04 COVID-19 yet to affect HCM City office space market
18/04 Travel industry demands coronavirus support
18/04 FDI enterprises preparing for life after pandemic
15/04 Vietnam eyes GDP growth of 7 percent in next five years
12/04 Tea exports fall in Q1 due to COVID-19
08/04 Tra fish exports to US, China rise in March
 
Newsletter Signup
Top Stories
Foreign Ministry: Vietnam recovers economy during, after COVID-19
Reference exchange rate down 5 VND on March 26
Reference exchange rate up 5 VND on March 18
Shares tumble over WHO declaration of COVID-19 pandemic
Tight co-ordination needed to ensure EVFTA benefits
Market Update
Last updated at 3:10:06 PM
VN-INDEX 864.47 +3.08/+0.36%
Real-time chart
Top 5 Actives
Top 5 Gainers
Top 5 Losers
My Favorite Quotes
Your most recently viewed tickers will automatically show up here if you type a ticker in the Get Quotes box on the top of the page.
Company Research
Type in the symbol above for thorough background information, key statistics and financial information.
Stock Sectors
We continuously improve our services, here are the latest updates...
Portfolio
Allow you to monitor a customised group of securities. You can set up multiple Portfolios to help you better manage your investments.
Trigger Alerts
Get up-to-date alerts delivered directly to your email address.
Stock Screener
Allow you to filter the market and find exactly what sort of company you are looking for.
Live Terminal
Get instant access to FREE REAL-TIME streaming quotes for hundreds of stocks from HOSE, HNX and UPCOM exchanges.