Interest rates are expected to fall further in the near future.

Interest rates will continue to fall

Right from the beginning of 2025, the State Bank informed credit institutions about the target of striving for 16% credit growth, equivalent to about 2.5 million billion VND of capital to be released to the market this year.

The State Bank has also repeatedly directed banks to reduce costs and is willing to share part of their profits to lower lending rates, in order to support people and businesses in accessing credit sources at low costs.

Responding to this policy, Nam A Bank has implemented a preferential loan program for subjects in the seafood industry value chain, with a loan interest rate of only 3.25%/year. This is a product that helps the bank carry out tasks related to the preferential credit package of 60,000 billion VND deployed by the State Bank. In particular, Nam A Bank has increased the scale of the credit package from 6,000 billion VND to 10,000 billion VND, with an interest rate 1-2% lower than the normal level.

In addition, Nam A Bank also launched a social housing loan package of VND5,000 billion, with a preferential interest rate of only 6.1%/year for the first 5 years, and a series of preferential credit packages of VND2,000 billion, with interest rates starting from only 6%/year for individual and corporate customers.

Meanwhile, Sacombank has launched a VND20,000 billion loan package with interest rates starting from only 4%. Specifically, individual and corporate customers can choose short-term loans with preferential interest rates from 4%/year or medium and long-term loans with interest rates starting from only 6.5%/year.

LPBank also launched a preferential credit package with a limit of VND8,000 billion, interest rate from 4.8%/year, for existing and new businesses.

Similarly, SHB has implemented a preferential credit program with a scale of 11,000 billion VND, providing credit with interest rates from 6.2%/year for corporate customers.

The State Bank's survey results for the second quarter of 2025 show that the system's liquidity in the first quarter of 2025 continued to maintain a "good" status, with a higher improvement than the previous quarter and exceeding expectations. Credit institutions forecast that the liquidity situation will continue to improve in the second quarter and throughout 2025.

Banks are trying to reduce lending rates to boost credit, so interest rates are expected to continue to be adjusted down in the coming time.

The need for capital will increase again.

The State Bank's survey results show that credit institutions forecast that outstanding credit balances across the system will increase by an average of 4.39% in the second quarter and 16.4% in 2025. As of March 20, credit had increased by nearly 2% compared to the beginning of the year.

Mr. Vo Hoang Hai, Deputy General Director of Nam A Bank, said that with the request from the Government and the State Bank for banks to reduce costs to lower lending interest rates to support businesses, stimulate credit demand and promote economic growth to reach 8%, interest rates are unlikely to increase sharply this year. Deposit interest rates are also gradually decreasing under the direction of the State Bank to reduce input costs.

Currently, lending rates for corporate customers range from 4-6%/year and for individual customers from 6-8%/year. With the pressure on exchange rates falling and the possibility that the US Federal Reserve (Fed) will cut USD interest rates twice more this year, Vietnam's monetary policy may continue to be loose, creating conditions for banks to bring cheap capital to the market. The State Bank has granted credit room to banks since the beginning of the year and banks will strive to fully utilize this credit limit this year.

According to Mr. Hai, granting credit room at the beginning of the year creates favorable conditions for banks. Especially, in the context of focusing all resources to promote credit and support economic growth, the credit limit granted at the beginning of the year may only be minimal, and when banks achieve positive growth, the State Bank will grant additional credit room to create room for banks to expand lending activities.

“Credit has shown signs of recovery in the first months of the year, with industry-wide credit growth reaching nearly 2% as of March 20 and expected to gradually improve from the end of the second quarter of 2025. Customers' capital needs often increase in the last quarters of the year, especially when interest rates are low and the real estate market is recovering. Banks and financial companies are also promoting personal consumer loans,” Mr. Hai shared.

Source: https://baodaknong.vn/lai-suat-du-bao-se-giam-them-trong-thoi-gian-sap-toi-248495.html