Liquidity in the banking system continued to be under pressure in the first trading week after the Lunar New Year (Tet). Banks have therefore borrowed capital from the State Bank of Vietnam (SBV) totaling more than VND15.6 trillion ($689.43 million).
Data from SSI Research shows that the State Bank of Vietnam’s purchase of foreign currency from commercial banks has injected some VND60 trillion ($2.64 billion) into the market, helping reduce the interbank interest rate.
According to FiinPro, gold and USD are no longer the prioritized investment channels for Vietnamese youngsters. Their money is primarily flowing into the stock market and is likely to remain there until next year.
The State Bank of Vietnam (SBV) poured more than VND127 trillion ($5.57 billion) into the banking system in July and August; less than the initial estimate of VND162 trillion ($7.1 billion). The addition of a significant sum has helped with system liquidity.
Many banks have recently introduced preferential policies on foreign currencies for import-export enterprises, such as preferential loans, financial support through import financing services, foreign exchange support, reasonable fees, and free international money transfer for new corporate customers.
Deposits by economic organizations into banks increased sharply in the first half of the year. According to experts, the new outbreak of Covid-19 in April resulted in many enterprises temporarily suspending operations, with money previously set aside for production being transferred to banks to earn interest. Figures from Vietnam Securities Depository (VSD), meanwhile, show that, as of the end of June, domestic investors had more than 3.39 million securities accounts, equal to 3.5 per cent of the population.
