Specifically, National Citizen Bank (NCB) is the first bank to announce a reduction in deposit interest rates on the working day right after the Lunar New Year holiday. This is also the second time NCB has reduced deposit interest rates since the beginning of February.

According to the online interest rate table, the 1-5 month term decreased by 0.3 percentage points. The 1-month term interest rate decreased to 3.6%/year, the 2-month term decreased to 3.7%/year and the 3-5 month term decreased to 3.8%/year.

Interest rates for 6-11 month terms decreased by 0.2 percentage points. 6-8 month terms decreased to 4.65%/year, 9-11 month terms decreased to 6.75%/year.

Meanwhile, the interest rates for the remaining terms all decreased by 0.1 percentage points. The 12-month term is now 5.2%/year, the 13-month term is now 5.3%/year, the 15-month term is now 5.5%/year and the 18-60-month term is now 5.7%/year.

Since the beginning of February 2024, up to 15 banks have reduced deposit interest rates, including: LPBank, Sacombank, NCB, Viet A Bank, SeABank, Techcombank, ACB , VIB, Eximbank, BVBank, KienLong Bank, ABBank, Bac A Bank, PGBank, Sacombank.

Of which, VIB, Sacombank , NCB are the banks that have reduced interest rates for the second time since the beginning of the month.

HIGHEST DEPOSIT INTEREST RATES AT BANKS ON FEBRUARY 15
BANK 1 MONTH 3 MONTHS 6 MONTHS 9 MONTHS 12 MONTHS 18 MONTHS
CBBANK 4.2 4.3 5.1 5.2 5.4 5.5
VIETBANK 3.5 3.7 4.9 5 5.3 5.8
DONG A BANK 3.9 3.9 4.9 5.1 5.4 5.6
NCB 3.6 3.8 4.65 4.75 5.2 5.7
HDBANK 3.15 3.15 4.8 4.6 5 5.9
PVCOMBANK 2.85 2.85 4.8 4.8 4.9 5.2
BAOVIETBANK 3.5 3.85 4.8 4.9 5.3 5.5
GPBANK 2.9 3.42 4.75 4.9 4.75 5.05
ABBANK 3 3.2 4.7 4.3 4.3 4.4
BAC A BANK 3 3.2 4.5 4.6 4.9 5.3
BVBANK 3.65 3.75 4.65 4.8 5.95 5.55
VIET A BANK 3.2 3.5 4.6 4.6 5.1 5.4
SHB 2.9 3.3 4.6 4.8 5 5.2
OCB 3 3.2 4.6 4.7 4.9 5.4
NAMA BANK 2.9 3.4 4.6 4.9 5.4 5.8
KIENLONGBANK 3.5 3.5 4.5 4.7 4.9 5.4
OCEANBANK 3.1 3.3 4.4 4.6 5.1 5.5
VPBANK 3.1 3.3 4.4 4.4 5 5
VIB 2.9 3.2 4.3 4.3 5.2
EXIMBANK 3.1 3.4 4.3 4.3 4.8 5
PGBANK 3.1 3.5 4.2 4.4 4.9 5.1
LPBANK 2.6 2.7 4 4.1 5 5.6
TPBANK 2.8 3 4 4.8 5
SACOMBANK 2.4 2.6 3.9 4.2 5 5.6
SEABANK 3.2 3.4 3.9 4.1 4.75 5
MSB 3.5 3.5 3.9 3.9 4.3 4.3
SAIGONBANK 2.5 2.7 3.9 4.1 5 5.4
ACB 2.6 3.2 3.9 4.2 4.8
MB 2.6 2.9 3.9 4.1 4.8 5.2
TECHCOMBANK 2.35 2.65 3.75 3.8 4.75 4.75
BIDV 2 2.3 3.3 3.3 4.8 4.8
AGRIBANK 1.7 2 3.2 3.2 4.8 4.8
VIETINBANK 1.9 2.2 3.2 3.2 4.8 4.8
SCB 1.75 2.05 3.05 3.05 4.75 4.75
VIETCOMBANK 1.7 2 3 3 4.7 4.7

Before Lunar New Year, the State Bank announced overnight interbank interest rates of up to 2.38%/year with turnover of up to VND284,108 billion in the trading session on February 6.

The overnight interest rate of 2.38% is the highest since late October 2023. This interest rate even increased 20 times in just 1 week before.

This is a rather strange development in the interbank market. However, according to experts, the sharp increase in short-term interbank interest rates is mainly due to seasonality when payment and spending demand increases in the run-up to the Lunar New Year.

To support banks in need of liquidity, the SBV still maintains the OMO lending channel and adjusts the bidding period to 14 days. However, no market participants need SBV support.

This shows that liquidity in the banking system is still abundant, even close to Tet.

Faced with the fact that credit growth since the beginning of the year has been quite low compared to previous years, the State Bank of Vietnam has issued a directive requiring credit institutions to promote credit growth solutions from the first months of 2024.

The State Bank of Vietnam requires credit institutions to resolutely implement appropriate and targeted credit growth solutions right from the beginning of the year, promptly meeting the economy's credit capital needs, directing credit to production and business sectors, priority sectors and economic growth drivers; strictly control credit for sectors with potential risks, ensuring safe and effective credit activities.