Developments in Money Market and Inter-bank Market (June 17-21, 2024)
1. Forex market and exchange rates:
During the week of June 17-21, 2024, the exchange rates experienced an upward trend. On June 17, 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 25,231/25,471 per USD, an increase of 10 VND per USD as compared with the rates of the last working day of the previous week (June 14, 2024). By the end of June 21, 2024, the exchange rates were quoted at VND 25,248/25,468 VND per USD, a change of +17/-3 VND per USD as compared with the rates of June 17, 2024.
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 VND in the inter-bank market within the week reached approximately VND 1,571,083 billion, an average of VND 314,217 billion per day, an increase of VND 3,756 billion per day as compared to the previous week; meanwhile, the transaction amount in USD was equivalent to VND 270,478 billion, an average of VND 54,096 billion per day, a decrease of VND 8,097 billion per day as compared to the previous week.
With regard to the maturities, most of the transactions in VND were for overnight and 1-week terms, accounting for 90.14%% and 3.18% of the total amount of VND transactions respectively. For the transactions in USD, the largest amounts of transactions were seen with overnight and 1-week terms, accounting for 79.73% and 9.89% of the total amount of transactions respectively.
2.2. Inter-bank interest rates:
- For transactions in VND: The average inter-bank interest rates for below 1-month terms decreased, in which, the average inter-bank interest rate for overnight term experienced the biggest decrease of 0.56 percentage points p.a., while the interest rate for 1-month term experienced the smallest decrease of 0.02 percentage points p.a.
- For transactions in USD: The average inter-bank interest rates experienced slight fluctuations in most of the terms as compared to those of the previous week.
Specifically, the average inter-bank interest rates for overnight and 1-week terms remained unchanged at 5.31% and 5.34% p.a. respectively, while the interest rate for 1-month term decreased by 0.01 percentage point p.a. as compared to the interest rates of the previous week.
The specific average inter-bank interest rates were as follows:
Overnight |
1-week |
2-week |
1-month |
3-month |
6-month |
9-month |
|
VND |
3.86 |
4.17 |
4.48 |
4.67 |
4.90 |
5.09 |
4.77 |
USD |
5.31 |
5.34 |
5.37 |
5.42 |
5.50 |
5.51 |
5.47 |
Translated by Hai Yen