State Bank issues additional 10,000 billion VND through treasury bills

On September 25, the State Bank of Vietnam (SBV) continued to issue VND10,000 billion worth of treasury bills with a term of 28 days, under the interest rate bidding mechanism.

Accordingly, the result was that 4/13 participating members won the bid with a total volume of 10,000 billion VND, interest rate of 0.49% - lower than the previous session (0.5%) and the session on September 21 (0.69%).

Previously, on two consecutive days, September 21 and 22, the State Bank also successfully issued nearly VND20,000 billion worth of 28-day term bills, with winning interest rates of 0.69% and 0.5%, respectively.

Thus, in the last 3 trading sessions, the State Bank has withdrawn nearly 30,000 billion VND from the banking system through the treasury bill channel. This will contribute to stabilizing the USD/VND exchange rate, which is under great pressure.

(Illustration: Great Unity)

The State Bank has reopened the channel to withdraw money through treasury bills after more than 6 months of suspension in the context of excess liquidity in the system and interest rates in the interbank market continuously maintained at record lows.

This move is assessed by experts as contributing to stabilizing the USD/VND exchange rate, which is under great pressure due to the contrasting monetary policies between the US and Vietnam.

In the foreign exchange market, the central exchange rate listed today is 24,076 VND/USD. The domestic USD exchange rate is still under a lot of pressure in the context of the DXY index (a measure of the strength of the greenback against a basket of 6 major currencies) entering its 10th consecutive week of increase, the longest increase in nearly a decade.

Cong Hieu

Source: https://vtc.vn/ngan-hang-nha-nuoc-phat-hanh-them-10-000-ty-dong-qua-kenh-tin-phieu-ar822494.html