Savings interest rate ceiling reduced to 5%

According to a newly announced decision by the State Bank, from November 19, the maximum interest rate applied to non-term deposits and deposits with terms of less than 1 month will decrease from 1% per year to 0.8% per year. The maximum interest rate for deposits with terms of 1 month to less than 6 months will decrease from 5.5% per year to 5% per year.

The maximum interest rate applied to term deposits from 1 month to less than 6 months at people's credit funds and microfinance institutions has been reduced from 6% to 5.5%/year. The interest rate for term deposits from 6 months or more is determined by credit institutions based on the supply and demand of capital in the market.

In addition, the maximum short-term lending interest rate in VND for capital needs serving agriculture, rural areas, exports, supporting industries, small and medium enterprises, and high-tech enterprises also decreased from 6.5% to 6%/year. The maximum short-term lending interest rate in VND of people's credit funds and microfinance institutions for these capital needs decreased from 7.5% to 7.0%/year.

According to the State Bank, tSince the beginning of 2019, this agency has operated monetary policy proactively and flexibly, closely coordinating with fiscal policy and other macroeconomic policies to control inflation and stabilize the macro economy. This contributes to supporting economic growth; liquidity of credit institutions is guaranteed and abundant, the monetary and foreign exchange markets are stable and smooth.