At the State Bank of Vietnam's request, Governor Pham Duc An met 46 commercial banks on Oct. 19 and asked them to cut deposit rates by at least 0.5% per year for terms of 6 months or longer. As of the afternoon of Oct. 20, 16 banks had announced cuts, mostly for terms of 6 months and above, typically 0.5% per year and up to 0.7%. Rates for deposits under 6 months changed little due to the 4.75% per year ceiling. Still, banks were competing hard for deposits, and one employee offered 9.6% per year for a 6-month term before the cut took effect. Listed 12-month rates at most banks have fallen below 7% per year, though how much loan rates fall depends on funding costs and other factors.
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Original headline: Giữa làn sóng giảm lãi suất, ngân hàng hút vốn cách nào?
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Related tickers and likely impact
VNINDEX
• NeutralRelevance: low
| Market | Vietnam stocks |
|---|---|
| Close on 10/20/2026 | 1,691.97 |
| Change that session | +0.13% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Bank Staff Push Last-Minute Deposits Ahead of Interest Rate Cuts
Following a State Bank of Vietnam directive to lower deposit rates, staff at many banks are pushing customers to deposit funds at the last minute before rates fall. The central bank requires banks to cut deposit rates by at least 0.5 percentage point for terms of 6 months and longer, or face tighter credit growth targets. The highest listed rate for 6-12-month terms hit 8% in August, up 2.5 percentage points year on year, while a VnExpress survey found 6-month rates at 8.5-9.2% a year. Since the directive, 15 banks have announced new deposit rate schedules, mostly cutting by 0.5 percentage point to below 7% a year for terms of 6 months and above. Some analysts say rates are near their peak and could ease from early 2027, though a quick reversal is unlikely as credit demand tends to rise toward year-end.
- Savings Interest Rates Cut Across the Board
15 private banks, including ACB, TPBank, Sacombank and SeABank, cut listed deposit rates for terms of 6 months and longer by 0.5–0.7 percentage points on October 19, following a State Bank of Vietnam directive issued October 18. Deposits under 6 months remain capped at 4.75% a year, with most banks unchanged and only a few such as LPBank, ACB and SeABank trimming slightly. Most banks now list 12-month rates below 7% a year (excluding VIP and very large deposits), and about 15 are below 6%. The central bank also asked banks to cut lending rates by 1.5–2 percentage points for production, business and priority sectors, warning that non-compliant banks could face reviews of remaining credit quotas, lower quotas next year or higher safety ratios.
- Banks begin sharp cuts to deposit rates across many terms on the afternoon of October 19
The State Bank of Vietnam (SBV) asked credit institutions to cut deposit rates by at least 0.5% a year for terms of 6 months or longer, and lending rates by 1.5-2% a year for production, business and priority sectors, while avoiding competitive rate hikes. LPBank cut deposit rates across all terms from 1 to 36 months, with its online 12-month rate now at 6.7% a year and 48-60 month rates at 5.2%. VietBank lowered online rates by 0.5 percentage points for terms of 6 to 36 months, bringing its 6-8 month rate to 5.4% a year. The central bank warned that banks failing to cut rates may face a review of their remaining credit quotas this year, lower targets next year, or higher safety ratios.
- Governor: 'Rate cuts must target the right recipients, prioritising production and business'
Governor Phạm Đức Ấn asked banks to cut lending rates selectively, prioritising production and business loans and considering existing debt, not just new loans. Average lending rates rose 0.2 percentage points to 10.7% in August, about 3 points higher than a year earlier, while legacy floating-rate personal loans reached 12-14%. Banks must cut deposit rates by at least 0.5% for terms of 6 months and above, and on 19/10 BVBank, LPBank and Vietbank published new rates below 7% a year. BIDV offers loans from 6% a year, Vietcombank pledged to cut lending rates by at least 2 percentage points by year-end, and Sacombank launched a 40,000 billion VND package. The State Bank will closely monitor rates and stands ready to support banks' liquidity, as rate hikes by the Fed, ECB and BOJ in September pressure emerging economies.
- Bank with the largest customer deposits cuts savings interest rates
- State Bank Says Deposits Hit Record VND 11.4 Quadrillion, Rising Steadily Since Start of Year
Total deposits at credit institutions reached about VND 17.77 quadrillion at the end of August 2026, up over VND 310,000 billion (1.78%) from end-July and 7.6% year-to-date. Household deposits hit a record of about VND 11.43 quadrillion, accounting for roughly 87.5% of the year's total increase, and have not declined in any month this year. Corporate deposits stood at about VND 6.34 quadrillion, up 1.54% in the month but still below the late-June peak. Credit outstanding reached about VND 20.75 quadrillion as of 30 September 2026, up 11.59% from end-2025, so lending continues to outpace deposit growth. The State Bank said the average deposit rate on new transactions was 6.38%/year as of 20 September, and it asked banks to cut deposit rates for new terms of 6 months or longer, as well as listed and lending rates.
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