Nhan Dan – The State Bank of Vietnam (SBV) said it will set the ceiling interest rates for non-term Vietnamese dong (VND) deposits and deposits with terms less than one month at 6% from October 1.
The announcement was made in Circular 30/2011/TT-NHNN released on September 28.
According to the circular which will take effect from October 1, the maximum interest rates for VND deposits with terms of one month or longer remain unchanged at 14% while people’s credit funds are allowed to offer interest rates for VND deposits with the same terms at 14.5%.
The latest move of the SBV is designed to minimise liquidity risks in the banking system.
Earlier, some banks in Vietnam were fined for breaching the ceiling VND deposit rate, which was capped at 14% by the SBV.