Update

Circular 08/2013/TT-NHNN on interest rate applicable from March 26th 2013

From March 26th 2013, the maximum interest rate applicable to deposits with a term of one month to 12 months is 7.5%/year.

The 12-month interest rate on deposits will be set by the banks on the basis of supply and demand in capital market.

In addition, short-term interest rate was reduced to 11%/year; particularly for lending institutions which are the People’s Credit Fund and Micro-finance institution, interest rate determined at 12%/year.

The State Bank of Vietnam has also adjusted the refinancing interest rate to 8%/year, the rediscount rate is about 6%/year, the overnight lending rate and the gap in the clearing is about 9%/year.

The above are regulated in Circular 08/2013/TT-NHNN, Circular 09/2013/TT-NHNN and Decision 643/QD-NHNN.

Tuan Nguyen

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