Bank interest rates increase simultaneously

After two increases in savings deposit interest rates in March and April, in the first trading week of May, a series of banks joined the race to increase this interest rate. In which, the common increase is at 0.1-0.4 percentage points compared to the previous month and 0.5-1 percentage points compared to the end of 2021.

Specifically, in the latest announcement, SHB has sharply increased the deposit interest rate of individual customers with both online and over-the-counter channels.

In which, the highest online deposit interest rate at this bank has increased from 6.35%/year in the previous month to 6.7%/year at present, an increase of 0.35 percentage points respectively, applicable to deposits 36 months or more.

Similarly, 12-month online deposit at this bank was also adjusted up by 0.3 percentage points compared to the previous one, currently popular at 6.4%/year.

The biggest interest rate hike

For savings deposits at the counter, SHB currently offers the highest interest rate at 6.6%/year, up 0.4 percentage points from the previous month, applied with a deposit term of 36 months or more. Similarly, shorter term deposits such as 9 months, 12 months and 24 months were also adjusted by the bank respectively, currently fixed at 5.7%/year; 6.2%/year and 6.4%/year.

Notably, in addition to the normal capital mobilization channel, SHB is also raising capital through the certificate of deposit channel with the interest rate up to 7.4%/year, applicable for the term of 8 years and 7.2%/year. year with a term of 6 years.

Also in this phase, MBBank adjusted to increase the savings interest rate for a series of terms from 12 months or more. In which, the 12-month term deposit interest rate of this bank was adjusted to increase from 5.12%/year to 5.39%/year with the form of interest payment in advance and increased from 5.4%/year to 5.39%/year. 5.7%/year with interest payment later.

Similarly, the 18 – 60-month terms were all increased by 0.2 – 0.4 percentage points compared to the previous month, respectively, at 6.1%/year with the term of 18 months; 6.6%/year with term of 36 months and 6.4%/year with term of 48 – 60 months.

In contrast, short-term deposits under 12 months were adjusted down by 0.1 – 0.2 percentage points by MBBank.

At Eximbank, this bank kept the deposit interest rate at the counter, the highest at 6%/year, applied with a term of 15 months or more, but increased the interest rate on online deposits.

Accordingly, the highest online deposit interest rate at this bank has increased from 6.3%/year to 6.5%/year, applicable to deposits of 15 months or more. Besides, this bank also increased the interest rate for short term deposits under 6 months to the maximum State bank allowed is 4%/year. From the beginning of the year until now, a number of deposit terms at Eximbank have increased by 0.5 – 0.7 percentage points.

According to Zing’s statistics, in addition to the three banks mentioned above, there are about 10 other banks (VPBank, MSB, ABBank, HDBank, NamABank, Vietcapital Bank …) also adjusted to increase the deposit interest rate schedule for individual customers in the current period. period of late April and early May. If counted from the beginning of 2022, this is the largest increase in deposit interest rates that banks have made.

Will interest rates increase?

Since the beginning of the year, 4 state-owned banks (BIDV, Vietcombank, VietinBank and Agribank) was the only group that did not change the deposit interest rate. In which, these banks are still the group with the lowest deposit interest rates in the market, common in the range of 5.5 – 5.6%/year, applied with a term of 12 months.

Meanwhile, the highest deposit interest rate currently belongs to Techcombank with 7.8%/year. However, this is the interest rate applicable to customers who deposit from 999 billion VND or more. Following is SCB with 7.6%/year; NamABank 7.4%/year, but all come with deposit limit conditions.

According to experts, the tendency of banks to increase interest rates continuously since the beginning of the year is caused by the strong increase in credit during this period. Specifically, according to the SBV’s data, as of April 25, the credit economy increased by 6.75% compared to the end of 2021 and increased by 16.4% over the same period. This is the strongest increase in more than a decade.

With this growth, it is estimated that from the beginning of the year to April 25, banks have pumped more than VND 700,000 billion into the economy through lending channels.

The strong increase in credit beyond the forecast is the cause of the stress on the liquidity of banks. As a result, the SBV had to continuously inject money through the T-bill channel to support banks’ liquidity, and the banks themselves had to raise interest rates to mobilize capital from the market.

According to experts at Securities Company BVSC, with the pressure from inflation as well as high credit demand today, interest rates may continue to increase in the coming time. However, BVSC believes that with lending interest rates, the increase will not be too large because it still has to support the recovery of the economy.

Similarly, Company Stock According to VCBS, this year’s interest rate level is unlikely to decrease further, and even increase again by 0.5-1 percentage point. In which, the increase will focus on the second half of the year.

Analysts at SSI Research said that with current developments, credit growth in 2022 could reach 14-15%. Improved credit will lead to an increase in residential and corporate deposit interest rates. In recent weeks, a number of banks have continued to increase deposit interest rates in both areas, the common increase is 0.1-0.2 percentage points.