Vietnam Central Bank Declines to Lower Compulsory Reserve
The State Bank of Vietnam, the country’s central bank, will not lower the compulsory reserve ratio in coming months, Governor of SBV Nguyen Van Giau affirmed at a meeting session with commercial banks in Ho Chi Minh City recently.
Several banks at the session proposed the SBV to reduce compulsory reserve, but it declined the reduction.
The SBV was also proposed to extend refinance time and encourage other banks to reduce deposit rates.
Giau said that interest rates will fall gradually following the slowdown of inflation.
Commercial banks should negotiate to fix interest rate for different terms, he suggested. (Vietnam Economic Times)
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