HANOI: The State Bank of Vietnam has instructed commercial banks to cut deposit interest rates by at least 0.5 percentage points, local news outlet Dan Tri reported Sunday (Oct 18).
Under the directive, banks are required to lower their listed annual deposit rates for deposits with maturities of six months or longer by at least 0.5 percentage points, while reducing annual lending rates for production, business activities and priority sectors by 1.5 to 2 percentage points.
The central bank also urged lenders to channel credit into key economic projects and priority sectors, including science and technology, digital transformation, green development and education, while tightening lending controls in high-risk areas, particularly real estate, the report said.
Commercial banks were also instructed to mobilise resources, cut operating costs, share profits and implement coordinated measures to bring down overall interest rates, the report added. - Xinhua
