Only three lenders have hiked rates, but only for selected terms.

Sacombank increased the rate for deposits of one to three months, BacABank for 12-month deposits and SaigonBank for 9-12 months terms.

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Only 10 banks offer more than 5% for one year, the most common term, the highest being 5.3% paid by VietBank and NamABank.

For nine- and six-month terms, most offer 3-4.8% and 2-4.7%. In the case of 13 months and longer, the highest rate is 5.8%.

Bank executives and analysts expect the low rates to persist until mid-year, after which there might be a slight rise as credit demand picks up.

However, interest rates are unlikely to return any time soon to the high levels seen a few years ago.

A bank director said short-term lending interest rates have been slashed to 4%, even lower than deposit rates, to spur credit demand.

Loans outstanding were 0.72% down from late last year at the end of February, indicating subdued demand for loans, according to the State Bank of Vietnam.

Deposit interest rates fall to 6%

Around 20 banks have lowered their deposit interest rates to 6% a year as they have abundant cash resources amid difficulties in providing loans.

Bank deposits grow despite lower interest rates

Individual bank deposits grew 9.7% in the first 8 months of this year despite decreased interest rates, as the unattractive stock and real estate markets left few investment options.

Foreign shipping companies interested in Vietnam's containers

Many of the world’s leading shipping companies joining Intermodal Europe in Amsterdam, Netherlands, have expressed their interest in containers produced by Vietnam’s Hoa Phat Group.

Germany's Lower Saxony state interested in expanding partnership with Vietnam

Lower Saxony (Niedersachsen), the second biggest state of Germany, is keen on promoting cooperation with Vietnam, especially in economy, and wants to receive more Vietnamese workers, Minister-President of the state Stephan Weil has been quoted by SZ, Germany's largest broadsheet newspaper, as saying.

German businesses interested in Vietnam

German news website NTV has published an article highlighting the attractiveness of the Southeast Asian country to German businesses.

Source: VnExpress