Interest rate’s decline supported from various factors
The National Financial Supervision Commision has assessed in its financial report for July that declines in the interest rate for the rest of 2017 will be supported by both domestic and international factors.
Hanoi (VNA) – The National Financial Supervision Commision hasassessed in its financial report for July that declines in the interest rate forthe rest of 2017 will be supported by both domestic and international factors.
The pressure on the exchange rate is not high, with the value of the USdollar falling more than 7 percent compared to early this year, and the possibilityof the US Federation Reserve raising its interest rate this year below 50percent.
At the same time, inflation is likely to stay below the NationalAssembly’s target of 4 percent, while only 25 percent of Government bondissuance plan needs to be fulfilled in the final five months of 2017.
Interest rates for Government bonds of all terms also dropped 0.2-0.3percentage points compared to the end of June, lower than the same period lastyear by about 1 percentage point, which also supports the cutting of banks’interest rate, according to the committee.
The committee also said that State policies have aided the interestrate’s reduction. The deposit interest rate has remained stable and the lendinginterest rate has been falling since the State Bank of Vietnam (SBV) reducedits prime interest rate andthe ceiling rate of short-term loans for some sectors.
Meanwhile, bad debt settlement has received favourablelegal mechanisms, via the National Assembly Resolution 42/2017/QH14 on pilotsettlement of bad debts and the Prime Minister’s approval of a project torestructure credit institutions in tandem with bad debt tackling for 2016-2020.
The committee also reported that in July, the liquidityof the banking system was high as interbank interest rates dropped to thelowest points since early this year by 0.6-1 percentage points compared to Juneand 3-4 percent over early 2017.
The reason for this was the SBV’s purchase of a lot offoreign currency to raise foreign currency reserves, thus increasing VNDprovision to the market.
In the July cabinet meeting, the Government also askedministries and sectors to work harder to fulfil this year’s economic growthgoal of 6.7 percent.
The SBV has been asked to continue reducing lendinginterest rates to suit macro economic developments, inflation and currencymarket to boost production and business, while working with ministries andsectors to remove difficulties and provide loans for hi-tech and greenagriculture.-VNA
Keeping average inflation below 4 percent is achievable this year, said Deputy Prime Minister Vuong Dinh Hue during a meeting of the Steering Committee on Price Management last weekend.
After two weeks of lowering lending interest rates for short-term VND loans following the State Bank of Vietnam (SBV)’s cue, several commercial banks have reduced their deposit interest rates.
The Hanoi Stock Exchange (HNX) raised 433 billion VND (19 million USD) by auctioning off Government bonds (G-bonds) issued by the State Treasury on August 9.
Speaking at a conference in Ho Chi Minh City on August 12 to seek ways to promote the products’ exports in 2025, Deputy Minister of Agriculture and Environment Tran Thanh Nam noted that despite global political instability and a slowdown in economic growth, Vietnam’s agro-forestry-fishery export has shown notable resilience.
The Ministry of Industry and Trade has proposed six types of commodity exchanges to be operated at the international financial centre (IFC), which would cover both traditional goods markets and emerging financial and commercial products.
Leaders of Khanh Hoa province met with executives of HD Hyundai and SK Innovation to explore opportunities to partnerships in shipbuilding and energy industries.
The Prime Minister urged the promotion of industrial production in tandem with market restructuring, product diversification, and the development of supply and production chains.
With the current trading band of +/- 5%, the ceiling rate applicable for commercial banks during the day is 26,509 VND/USD and the floor rate 23,985 VND/USD.
All service vessels and out-of-province fishing boats docking at fishing ports in Lam Dong province will undergo 100% inspection to ensure compliance with paperwork, port entry/exit procedures, and fishing log requirements. Their positions and voyages will be tracked around the clock from departure to return via the VMS.
The roadmap to restrict the use of petrol-powered vehicles and encourage green ones in such major cities as Hanoi and Ho Chi Minh City is creating a strong boost to the EV market.
The Ministry of Industry and Trade is drafting a scheme on diversifying imported raw material sources for domestic production, with feedback from industry associations and businesses being incorporated into concrete proposals and support policies.
Notably, the hybrid segment recorded the strongest growth, with 7,112 units sold, a 72% year-on-year increase. The figures reflect a shift in consumer preference towards more environmentally friendly vehicles.
The project rolled out 21 pilot models, from goat and pig farming to coffee cultivation and the adoption of agricultural technology, helping farmers beef up production, spruce up livestock facilities, and improve market linkages.
Vietnam is ready to serve as an important gateway for Korean enterprises to enter the Southeast Asian market. Korean firms with experience and advanced technology to engage in energy transition and national infrastructure modernisation, said Party leader To Lam.
Two-way trade between Vietnam and Cambodia topped 7 billion USD in the first seven months of the year, up 16.3% against the same time last year. Vietnam’s exports to Cambodia hit 3.2 billion USD, rising 5.1%, while imports rose 28.1% to 3.8 billion USD.
The event took place within the Vietnam–RoK Economic Forum which is part of the Vietnamese leader’s state visit to the RoK. The documents span areas including energy, digital infrastructure, manufacturing, logistics, tourism, finance, and high-quality personnel training.
According to the Ministry of Agriculture and Environment, in May, June, and July, the country exported 7,745 batches of fresh durians totaling over 207,000 tonnes, more than 10 times higher than in the first four months of the year, as well as 560 batches of frozen durians weighing nearly 16,000 tonnes, up almost 64.3%.
The global bicycle market is projected to reach 69 billion USD by 2029, growing at 4.2% annually, according to consultancy and market research company Mordor Intelligence.
After a challenging first quarter, during which many companies recorded losses, the Vietnamese cement market has experienced a remarkable recovery, with several firms unexpectedly reporting substantial profits in the second quarter of 2025.
The Party leader said Vietnam is continuing to improve its institutions, enhance the investment and business environment, and address bottlenecks to unlock resources and push ahead with economic restructuring in tandem with renewing the growth model.
Illustrative photo (Source: VNA) 
