Accordingly, the average interest rate on deposits in Vietnamese Dong (VND) of domestic commercial banks is at 0.2%/year for demand deposits and deposits with terms of less than 1 month; 2.4-3.4%/year for deposits with terms from 1 month to less than 6 months; 4.4-4.8%/year for deposits with terms from 6 months to 12 months; 5.5-6.2%/year for deposits with terms from over 12 months to 24 months and 6.9-7.4%/year for terms over 24 months.

Meanwhile, USD deposit interest rates of commercial banks remain at 0%/year for individual and organizational deposits.

Regarding lending interest rates, the average lending interest rate of domestic commercial banks for new and old loans with outstanding debt is in the range of 6.9-9.3%/year.

The average short-term lending interest rate in VND for priority sectors is about 3.6%/year, lower than the maximum short-term lending interest rate prescribed by the State Bank of Vietnam (4%/year).

The average USD lending interest rate of domestic commercial banks for new and old outstanding loans is 4.1-5.0%/year for short term; 6.3-7.4%/year for medium and long term.

SHB Bank_16 Nam Khanh.jpg
Illustration photo (Nam Khanh).

According to Decision 1125/2023 of the State Bank of Vietnam on the maximum short-term loan amount in Vietnamese Dong of credit institutions to borrowers to meet capital needs for a number of economic sectors and industries as prescribed in Circular No. 39/2016, credit institutions apply a maximum short-term loan interest rate of 4%/year.

People's Credit Funds and Microfinance Institutions apply a maximum short-term loan interest rate of 5%/year.

In Decision 1124 of 2023, the Governor of the State Bank decided that the maximum interest rate for non-term VND deposits is 0.5%/year. The maximum interest rate for term deposits from 1 month to less than 6 months is 4.75%/year.

In particular, People's Credit Funds and microfinance institutions apply a maximum interest rate of 5.25%/year for deposits with terms from 1 month to less than 6 months.

In the latest announcement of the State Bank of Vietnam on interbank interest rates on August 20, the overnight interest rate was at 4.5%/year. The interbank interest rates for terms of 1 week - 2 weeks - 1 month were 4.57% - 4.52% - 4.79%/year, respectively.