An individual customer deposits at a bank in Hanoi. (Photo:VNA)The latest data of deposits at commercial banks by the end ofMarch 2023 released last week by the SBV showed unexpected numbers. Whiledeposits of economic organisations decreased sharply by 4.87% compared to the endof last year to more than 5.66 quadrillion VND, deposits of individualcustomers increased by 7.08% to more than 6.28 quadrillion VND.
Since the beginning of 2023, the deposits of the individualcustomers have continuously increased to exceed 6 quadrillion VND. Withinthe first three months of this year, individual customers deposited into the bankingsystem an addition of 415 trillion VND.
The deposits of individual customers into the banking system haveincreased in the context of high savings interest rates in late 2022 and early2023. The SBV has just begun to reduce the policy interest rate since mid-Marchthis year and after about three months, it made three policy rate cuts.
The deposit interest rate currently decreases rapidly. Manyjoint-stock commercial banks only list the highest deposit interest rate ataround 8% per year, while the highest rate at State-owned commercial banks isabout 6.8% per year.
Analysis of some experts showed the deposits of individualcustomers into the banking system have increased rapidly when other investmentchannels such as real estate, securities, gold and foreign currencies haven’tbeen attractive. The stock market has only prospered for about two months andofficially surpassed 1,100 points at the beginning of this month.
Meanwhile, deposits of economic organisations have dropped sharplycompared to the end of last year, which has reflected difficulties of firms.Instead of depositing at banks as previously, firms had to withdraw theirsavings to pay for production and business activities.
Analysts of SSI Securities Company said the deposit interest rateis continuing to cool down, but it is still quite different between groups ofState-owned commercial banks and joint-stock banks for tenors of more than sixmonths.
In its June strategy report released last week, Yuanta VietnamSecurities Company said the common interest rate of 12-month deposits listed atcommercial banks currently falls to less than 8% per year.
The SBV has also required banks to reduce lending rates by usingcredit growth quota for management so interest rates are continuing theirdownward trend. However, the rate cut of lending rates will lag behind depositrates./.
VNA
