SSI expects both deposit and lending rates to be stable this quarter and the beginning of the second before gradually rising at the end of that quarter as demand for credit increases. Some have already increased rates for personal customers by 0.1-0.4 percentage points.

An employee counts cash at a bank in Hanoi.

Bao Viet Securities also expects deposit interest rates to rise since the pandemic is under control, the country has begun vaccination and inflation could possibly rise, according to its latest report.

Since the beginning of March, a majority of banks have cut deposit rates, with only a few private ones increasing them for personal customers. The current 12-month rate offered by state-owned lenders including Agribank, BIDV and Vietinbank is 5.6 percent, while Vietcombank offers one of 5.5 percent. Private lenders’ 12-month rates range from 5.1-6.8 percent.

According to the State Bank of Vietnam, bank credit growth was 12.13 percent last year, and it targets growth of 12 percent this year.

However, SSI had estimated in a note in January growth to be 13-14 percent as the economy revives.

Vietnam to soon produce Covid-19 vaccine

The time for research and production of Nano Covax, Vietnam’s first candidate vaccine to reach human trial stage, has been shortened as much as possible, but safety has been ensured, said a health official.

Nghi Son 2 Thermal Power Plant connected with national electricty grid

The first phase of a 500kV transmission line project connecting the Nghi Son 2 Thermal Power Plant with the national electricity grid was put into operation on March 26.

Source: VnExpress