Developments in Money Market and Inter-bank Market (March 13 - 17, 2023)
1. Forex market and exchange rates:
During the week of March 13 - 17, 2023, the foreign exchange market was relatively stable, and the foreign exchange rates experienced slight fluctuations toward both directions. On March 13, the buying and selling exchange rates quoted on the website of the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) were at VND 23,400/23,740 per USD, down by 100 VND per USD as compared with the rates of the last working day of the previous week (March 10, 2023). By end of March 17, the exchange rates were quoted at VND 23,410/23,750 per USD, up by 10 VND per USD as compared with the rates of March 13, 2023.
2. Inter-bank transaction operations:
2.1. Transactions:
According to the reports submitted by the credit institutions and the foreign bank branches, the total amount of transactions in the inter-bank market within the week reached approximately VND 1,039,442 billion, an average of VND 207,888 billion per day, an increase of VND 14,847 billion per day as compared to the previous week (March 06 - 10, 2023); meanwhile the transaction amount in USD was equivalent to VND 274,723 billion, an average of VND 54,945 billion per day, an increase of VND 1,293 billion per day as compared to the previous week.
Most VND transactions were for overnight term and 1-week term, accounting for 88% and 6% of the total amount of VND transactions respectively. The transactions in USD were mostly for overnight term and 1-week term, accounting for 84% and 12% of the total amount of USD transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates decreased in most of the terms as compared to those of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms decreased by 1.25 percentage points, 1.24 percentage points, and 0.47 percentage points respectively, to 4.89% p.a., 5.01% p.a., and 6.79% p.a. respectively
- For transactions in USD: The average inter-bank interest rates was relatively stable and experienced slight fluctuations around the rates of the previous week. Specifically, the average inter-bank interest rates for overnight, 1-week and 1-month terms were stable at 4.45% p.a., 4.48% p.a., and 4.73% p.a. respectively.
The specific average inter-bank interest rates were as follows:
Unit: % p.a
Overnight |
1-week |
2-week |
1-month |
3-month |
6-month |
9-month |
|
VND |
4.89 |
5.01 |
5.16 |
6.79 |
8.07 |
9.72 |
9.88 |
USD |
4.45 |
4.48 |
4.58 |
4.73 |
5.35 |
6.14 |
- |
Translated by LK.