Illustrative image (Photo: VNA) According to the latest data from the State Bank of Vietnam (SBV), deposits ofindividual customers at banks by the end of November last year increased byjust 2.63 percent, the lowest growth rate in many years.
Deposits totalled nearly 5.28 quadrillion VND (226 billion USD) by the end ofNovember, down more than 23.4 trillion VND against the end of October.
Experts attributed the drop in individual deposits to the strong outbreak ofthe COVID-19 pandemic last year which caused incomes of many individuals toreduce. At the same time, many people could not go to banks to deposit theirmoney as many provinces and cities had to implement social distancing measures.
According to the experts, many depositors withdrew their savings to pour intomore attractive investment channels amid declining deposit interest rates lastyear.
To lure depositors, many banks have recently increased savings interest rates.
Saigon Commercial Joint Stock Bank (SCB) has recently applied a new interestrate since January 10 this year with increases of 0.1-0.3 percentage points peryear. Notably, the highest interest rate at SCB has reached 7.6 percent peryear, but only applicable to customers depositing more than 500 billion VND onthe term of 13 months.
For small amounts of deposits, the savings interest rates offered by SCB arealso among the highest in the banking system, at 7 and 7.35 percent per yearfor 12-month or more and 18-month or more deposits, respectively.
The Nam A Commercial Joint Stock Bank (NamABank) is offering the second highestsavings interest rate in the baking system. The bank’s rate is 7.4 percent peryear, applicable to customers depositing from 16 months or more. For terms of12 to 15 months, the rate is also high at 7.2 percent per year.
Not only small-sized banks, many large-sized banks such as the VietnamProsperity Commercial Joint Stock Bank (VPBank), Asia Commercial Joint StockBank (ACB), Sai Gon Hanoi Commercial Joint Stock Bank (SHB), Sai Gon Thuong TinCommercial Joint Stock Bank (Sacombank) and Export Import Commercial JointStock Bank (Eximbank) have also adjusted up their savings interest rates sincethis month.
VPBank, for example, has introduced a new savings interest rate list forindividual customers with increases on many terms, particularly for largesavings amounts. The highest rate at the bank is currently 6.5 percent peryear, 0.3 percentage points higher than the previous time, applicable to customersdepositing online from 50 billion VND on 36-month deposits./.
VNA
