Deposit interest rates at foreign banks slightly reduced 

By Tri Duc
Mon, May 8, 2023 | 10:11 pm GMT+7

Amid the deposit interest rate reduction among Vietnamese banks, the rates at foreign banks in Vietnam have slightly decreased in line with the trend.

Many foreign banks in Vietnam have reduced their deposit interest rates. Photo courtesy of Vietnam News Agency.

Many foreign banks in Vietnam have reduced their deposit interest rates. Photo courtesy of Vietnam News Agency.

Vietnam's banking sector has cut deposit interest rates by 1-1.2 percentage points and loan interest rates by 0.5-0.65 percentage points in the first four months of this year, but further cuts are needed, said Dao Minh Tu, Deputy Governor of the State Bank of Vietnam (SBV).

Average deposit rates are now 6-6.1%, while lending rates stand at 9-9.2%, according to Tu. "Notably, state-controlled commercial banks have slashed interest rates by 1-1.5 percentage points for deposits and 1.5-2 percentage points for loans on average, the SBV leader said.

In tandem with the move, foreign banks in Vietnam have reduced or maintained their already lower deposit rates.

The figures at Singapore-invested United Overseas Bank (UOB) Vietnam went down to the range of 2% and 7%, starting April 28. Terms of six, nine, 12, 13, and 18 months have interest rates of 6-7%. One, two, three, and four-month terms are subject to interest rates of 2-2.3%. Previously, the interest rates at the lender were between 5.5% and 7.9%.

Malaysia-backed Hong Leong Bank Vietnam reduced the rate to 5.3-5.4% for terms between one and three months and 6.8% for terms between six and 13 months. Earlier, the bank provided the deposit interest rates at 5.5-5.7% for terms between one and three months and 8% for terms between nine and 36 months.

Public Bank Vietnam, also a Malaysian creditor, slashed the rates to between 5.3% and 8.6% for terms between one and 60 months. The interest rates between 5.3% and 5.5% are available for terms between one and five months.

Higher rates from 7.5% to 7.7% are offered to terms between six months and 11 months. The lender offers interest rates of 8.4% for terms between 12 and 17 months, 8.6% for 18-month term, and 7.9% for terms between 24 and 60 months.

Prior to this, the figures at the bank were between 5.8% and 8.8%.

Starting May 8, Thailand's Kasikornbank (KBank), a relatively new player in Vietnam, applies the deposit interest rates at 5% for one-month terms, 5.5% for three-month terms, 6% for six-month terms, 6.3% for 12-month and 18-month terms, and 6.75% for 24-month and 36-month terms. Previously, the rates were higher for terms of six, 12, and 18 months, at 6.5%, 6.75%, and 6.75%, respectively.

The rates at HSBC and Shinhan Bank remained unchanged. At HSBC, the rates are 0.1% for terms between seven and 21 days; 1% for one-month and two-month terms; 2.25% for three-month terms; 2.75% for terms between six and nine months; and 3.75% for terms of 12, 18, 24, and 36 months. The rates are about 0.1-0.25 percentage points higher for premier customers.

South Korea-backed Shinhan Bank Vietnam offers rates at 3.9-6.8%. For two-month terms, the figures are between 3.9% and 4.9% for online or offline deposits. Similarly, the rates are between 4.4% and 5.5% for three-month terms, 5.4% and 6% for six-month terms, 6% and 6.8% for 12-month terms, 5.4% and 6.4% for 18-month terms, 5.4% and 6.2% for 24-month terms, and 5.3% and 6% for terms between 36 and 60 months.

Buckling the trend, Standard Chartered Bank Vietnam’s figures have slightly increased to between 1.5% and 4.9%. Online deposits of 12 months are subject to a promotional rate of 5%. Terms between one and two months see deposit rates of 1.5% and 2%, respectively, unchanged from those in March.

Interest rates of 2.5%, 3.9%, and 4.05% are offered for three, six, and nine-month terms, remaining the same from March. Terms of 17, 18, 24, 30, and 36 months have rates of 4.5%, 4.6%, 4.7%, 4.8%, and 4.9%, respectively, up by 0.1 percentage points versus those in March.

Comments (0)
  • Read More
Former Government Office chairman receives $7,900 bribe from property project

Former Government Office chairman receives $7,900 bribe from property project

Mai Tien Dung, former Minister-Government Office Chairman, received a bribe worth VND200 million ($7,900) from Nguyen Cao Tri, owner of the Dai Ninh eco-resort and urban area project in Lam Dong province.

Society - Sat, November 2, 2024 | 9:13 pm GMT+7

Thai food giant CP enters public-private partnership to promote food system transformation

Thai food giant CP enters public-private partnership to promote food system transformation

Thai-invested C.P. Vietnam Livestock JSC and the Partnership for Sustainable Agriculture Vietnam (PSAV) signed a memorandum of understanding Friday on working together to advance sustainable agriculture in the country.

Companies - Sat, November 2, 2024 | 7:16 pm GMT+7

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Vietnam’s central province of Quang Ngai will work with the investor to have construction of VSIP II Quang Ngai, a facility based on the Vietnam-Singapore Industrial Park (VSIP) model, begin in August 2025.

Industrial real estate - Sat, November 2, 2024 | 3:47 pm GMT+7

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

VinaCapital, among the biggest foreign-run asset managers in Vietnam, has forecast the country’s economy to achieve 6.5% growth in both 2024 and 2025, with the composition of the expansion to change to more domestically driven factors next year.

Economy - Sat, November 2, 2024 | 2:00 pm GMT+7

Major Vietnamese developer Novaland appoints new CEO

Major Vietnamese developer Novaland appoints new CEO

Duong Van Bac, who joined Novaland as chief financial officer in August 2023, has been appointed general director, starting Friday.

Companies - Sat, November 2, 2024 | 10:24 am GMT+7

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Ho Chi Minh City-based Bamboo Capital Group recorded an after-tax profit of VND331.2 billion ($13.1 million) in the third quarter of 2024, an astounding 36-fold expansion year-on-year.

Southeast Asia - Sat, November 2, 2024 | 9:41 am GMT+7

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

Vietnam Beverage, wholly owned by Thai Beverage (ThaiBev) will rake in VND1,374 billion ($54.26 million) worth of dividend from Ho Chi Minh City-based top brewer Sabeco.

Companies - Sat, November 2, 2024 | 9:13 am GMT+7

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Leading Vietnamese steelmaker Hoa Phat had invested more than VND52.5 trillion ($2.08 billion) in its Dung Quat Iron and Steel Integrated Complex (Dung Quat 2) in the central province of Quang Ngai as of Q3/2024.

Industries - Sat, November 2, 2024 | 8:00 am GMT+7

Vietnam becomes Australia’s fastest-growing inbound market

Vietnam becomes Australia’s fastest-growing inbound market

The number of Vietnamese tourists to Australia has grown significantly after the Covid-19 pandemic, with nearly 178,000 reported in the 12 months to August 2024, according to a Friday press release by the Australian Minister for Trade and Tourism’s Office.

Southeast Asia - Fri, November 1, 2024 | 10:02 pm GMT+7

Study finds shift in Thai consumers’ spending patterns

Study finds shift in Thai consumers’ spending patterns

Consumers in Thailand are shifting their spending focus to experiences and investments, according to the latest ASEAN Consumer Sentiment Study (ACSS) by United Overseas Bank (UOB).

Southeast Asia - Fri, November 1, 2024 | 10:00 pm GMT+7

Energy security, digitalization key to Indonesia's economic growth

Energy security, digitalization key to Indonesia's economic growth

The Indonesian government is prioritizing long-term economic growth through energy security, digitalization, and natural resource industrialization, according to Deputy Minister of Finance Thomas Djiwandono.

Southeast Asia - Fri, November 1, 2024 | 9:58 pm GMT+7

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Prime Minister Pham Minh Chinh’s freshly ended six-day trip to the UAE, Saudi Arabia and Qatar has produced important outcomes, demonstrating the growing relations between Vietnam and the three Middle-East countries, Deputy Prime Minister and Foreign Minister Bui Thanh Son told the Vietnam News Agency.

Politics - Fri, November 1, 2024 | 9:25 pm GMT+7

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam and Qatar have recognized the significant potential for further collaboration in multiple sectors such as energy, oil and gas, especially LNG, agriculture, Halal industry, and banking.

Politics - Fri, November 1, 2024 | 9:02 pm GMT+7

Thailand bans export of raw palm oil until December

Thailand bans export of raw palm oil until December

Thailand's Department of Internal Trade has temporarily banned the export of raw palm oil due to reduced production caused by drought and plant diseases.

Southeast Asia - Fri, November 1, 2024 | 8:31 pm GMT+7

Envision Energy to build $420 mln wind power plant in Vietnam from June 2025

Envision Energy to build $420 mln wind power plant in Vietnam from June 2025

Envision Energy Singapore Pte Ltd, under China-based Envision Energy, aims to kick off construction of the 300-MW Envision Nam Po wind power plant in Vietnam’s northern mountainous province of Dien Bien in June 2025.

Energy - Fri, November 1, 2024 | 8:30 pm GMT+7

Indonesia to ban plastic waste imports from 2025

Indonesia to ban plastic waste imports from 2025

The Indonesian government will start imposing a ban on the import of plastic waste from the beginning of next year, according to Minister of Environment Hanif Faisol Nurrofiq.

Southeast Asia - Fri, November 1, 2024 | 8:29 pm GMT+7