Developments in Money Market and Inter-bank Market (February 17-21, 2025)
1. Forex market and exchange rates
On February 17, 2025, 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 25,280/25,640 per USD, an increase of VND 60 per USD as compared with the rates of the last working day of the previous week (February 14, 2025). By the end of February 21, the exchange rates were quoted at VND 25,320/25,680 per USD, an increase of VND 40 per USD as compared with the rates of February 17, 2025.
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 during the week reached approximately VND 2,413,286 billion, an average of VND 482,657 billion per day, an increase of VND 27,970 billion per day as compared to the previous week. Meanwhile, the transaction amount in USD was equivalent to VND 375,856 billion, an average of VND 75,171 billion per day, a decrease of VND 13,645 billion per day as compared to the previous week.
Regarding the maturities, most VND transactions were for overnight and 1-week terms, accounting for 92% and 3% of the total amount of transactions respectively. For USD transactions, overnight and 1-week terms accounted for 82% and 11% of the total amount of transactions respectively.
2.2. Inter-bank interest rates
- For transactions in VND: As compared to the previous week, the average inter-bank interest rates showed a declining trend across most of the key terms. Specifically, the average inter-bank interest rates for overnight, 1-week, and 1-month terms decreased by 0.5%, 0.29%, and 0.02% respectively, to 4.29% p.a., 4.49% p.a., and 4.67% p.a. respectively.
- For transactions in USD: As compared to the previous week, the average inter-bank interest rates for most terms remained relatively stable, with slight decreases in some key terms. Specifically, the average inter-bank interest rates for overnight, 2-week, and 1-month terms decreased by 0.02%, 0.07%, and 0.01% respectively, to 4.28% p.a., 4.29% p.a., and 4.50% p.a. respectively, while, the average interest rate for 1-week term remained unchanged at 4.30% p.a.
The specific average inter-bank interest rates were as follows:
|
Overnight |
1-week |
2-week |
1-month |
3-month |
6-month |
9-month |
VND (%) |
4.29 |
4.49 |
4.55 |
4.67 |
5.21 |
5.36 |
- |
USD (%) |
4.28 |
4.30 |
4.29 |
4.50 |
4.50 |
- |
- |
Translated by HM