There is one place with 8% interest rate, where is the best place to deposit money?

Since the beginning of July, 7 banks have reduced deposit interest rates, including: TPBank, ABBank, Saigonbank, SHB, NamA Bank, Eximbank, and LPBank.

The above banks all reduced interest rates on the first day of the week, July 3. Of which, Eximbank only reduced interest rates for 6- and 12-month deposit terms (to 7.3% and 7.4%/year, respectively).

LPBank reduces deposit interest rates with terms of 18 months or more (from 7.4% to 7%/year).

HIGHEST DEPOSITS INTEREST RATES AT BANKS ON JULY 6, 2023 (%/year)
BANK	1 MONTH	3 MONTHS	6 MONTHS	9 MONTHS	12 MONTHS	18 MONTHS
CBBANK	4.2	4.3	7.85	7.95	8.15	8.25
BACA BANK	4.75	4.75	7.6	7.7	7.8	7.9
VIETBANK	4.75	4.75	7.6	7.7	7.7	7.5
GPBANK	4.75	4.75	7.55	7.65	7.75	7.85
ABBANK	4.75	4.75	7.5	7.55	7.6	7.4
VIETA BANK	4.75	4.75	7.4	7.4	7.6	7.6
NAMA BANK	4.65	4.65	7.3	7.4	7.7	7.5
NCB	4.75	4.75	7.3	7.4	7.6	7.5
OCB	4.6	4.75	7.3	7.4	7.6	7.4
OCEANBANK	4.75	4.75	7.3	7.4	7.5	7.8
PGBANK	4.75	4.75	7.3	7.3	7.5	7.5
EXIMBANK	4.75	4.75	7.3	7.5	7.4	7.6
MSB	4.75	4.75	7.3	7.3	7.4	7.4
HDBANK	4.25	4.25	7.3	6.9	7.3	7.1
BVBANK	4.4	4.7	7.1	7.4	7.7	7.8
VPBANK	4.65	4.65	7.1	7.2	7.1	6.3
PVCOMBANK	4.25	4.25	7	7.4	7.7	7.8
BAOVIETBANK	4.6	4.7	7	7.1	7.7	7.6
SHB	4.75	4.75	7	7.1	7.2	7.2
TECHCOMBANK	4.45	4.45	6.9	6.9	6.9	6.9
SCB	4.75	4.75	6.85	6.85	6.95	6.85
SAIGONBANK	4.75	4.75	6.8	6.9	7.2	7.2
SEABANK	4.75	4.75	6.8	6.95	7.1	6.9
VIB	4.75	4.75	6.8	6.8		7
KIENLONGBANK	4.75	4.75	6.7	6.9	7.1	7.3
TPBANK	4.55	4.75	6.7		6.7	6.7
SACOMBANK	4.75	4.75	6.6	6.9	7.2	7.35
MB	4.55	4.55	6.4	6.5	7	6.8
LPBANK	4.55	4.55	6.4	6.4	6.6	7
AGRIBANK	4.3	4.5	5.7	5.7	6.3	6.3
BIDV	4	4.5	5.6	5.6	6.3	6.3
VIETCOMBANK	3.6	4.3	5.2	5.2	6.3	6.3
VIETINBANK	3.4	4.1	5	5	6.3	6.3

In the interbank market, as of June 29, interbank interest rates for overnight, 1-week, and 2-week terms decreased by 0.69%; 0.21%; 0.44% to 0.39%; 1.2%, and 1.43%, respectively. Thus, interbank interest rates have fallen to their lowest level in the past year.

At the Government's national conference with localities on July 4, Governor of the State Bank of Vietnam (SBV) Nguyen Thi Hong said that after consecutive reductions in operating interest rates, interest rates have returned to pre-Covid-19 pandemic levels.

The State Bank of Vietnam is also one of the few central banks in the world to reduce interest rates while other countries still keep interest rates high (as of June 15, there were 101 interest rate increases worldwide).

Along with that, the State Bank is directing credit institutions to review procedures and documents to increase access to credit.

As of June 20, the country's credit growth was weak at 3.58%, while capital mobilization growth reached 3.26% compared to 2022. According to calculations by Bao Viet Securities (BVSC), the gap between mobilization and credit has narrowed to VND 146,000 billion, compared to about VND 287,000 billion in March. Liquidity pressure is not much, creating conditions for interbank interest rates to continue to decrease.

Looking back at the first half of 2023, the State Bank has closely monitored developments and the macroeconomic situation and closely followed the Government's direction to operate flexibly, maintain good liquidity to have capital ready for credit institutions to provide credit.

Although credit growth in the entire economy is still weak, credit for real estate business in the first 5 months of the year increased by 14%, showing that recent solutions to remove difficulties for the markets have begun to take effect.

However, it is noteworthy that credit for real estate consumption in the first 5 months decreased by 1.32%, while in the same period last year it increased by 15%.

Source