Abundant liquidity, decreasing mobilization pressure
In the last days of March 2025, the State Bank of Vietnam (SBV) continued to effectively regulate the market by providing liquidity on a large scale through open-end market operations (OMO).
According to the latest report from the SBV, in the trading session on March 28, 2025, the total amount of money pumped into the market reached about VND 4,589.1 billion, concentrated in two short terms of 7 days (VND 1,07.01 billion) and 14 days (VND 3,482.09 billion). The winning bid interest rate is stable at 4%/year.
In the whole month of March, the amount of money that the State Bank net pumped through OMO was about VND90,000 billion, the highest level in many months. This move helps commercial banks ensure capital sources, stabilize interest rates, thereby creating conditions to support businesses in the economic recovery period.
Thanks to abundant supply from the SBV, the interbank market recorded stable liquidity. The report of the SBV from March 17-21, 2025 shows that VND transaction sales in the interbank market reached nearly VND 2.34 trillion, an average of VND 468,587 billion/day, a sharp increase compared to the previous week. Trading is mainly concentrated in short terms, overnight accounting for 92% and 1-week terms accounting for 3% of total trading sales.
Good liquidity helps commercial banks reduce capital mobilization pressure from residential markets and businesses. Many banks have adjusted deposit interest rates down slightly, currently fluctuating commonly between 6-7%/year for medium and long terms.
Proactive currency management, expecting credit to recover positively
In March, the SBV expanded its liquidity supply not only to short terms of 7 and 14 days but also to longer terms such as 28 and 91 days to ensure long-term liquidity stability. Financial experts assess this as a flexible solution, contributing to reducing input interest rate pressure, thereby promoting loan interest rate reduction for businesses and people.
The State Bank of Vietnam has acted very quickly and promptly, thoroughly grasping the direction of the Government, the conclusions of the Central Government and the Resolutions of the National Assembly and the Government to require credit institutions to resolutely carry out assigned tasks of supporting people and businesses to access bank credit capital, promoting production and business development, ensuring GDP growth in 2025 of 8% or more.
Although credit growth since the beginning of the year has not been really high, with the SBV continuing to provide abundant liquidity as it is now, experts expect credit growth to be better in the second quarter of 2025, contributing significantly to the recovery and growth of the economy.
To achieve the goal of both promoting credit growth and stabilizing interest rates, in the coming time, the SBV needs to continue to closely monitor the situation and market fluctuations to operate interest rates appropriately to support growth, control inflation and stabilize exchange rates when needed. Synchronously coordinate monetary policy tools to stabilize the monetary market, support liquidity for credit institutions and flexibly regulate exchange rates according to macroeconomic developments and international markets.
Continue to innovate credit management measures in the direction of gradually reducing the allocation of credit targets for each credit institution, prioritizing the fields of production, export, innovation and key projects; creating favorable conditions for businesses and people to access bank credit capital.
Dr. Vu Mai Chi - Deputy Head of the Banking and Finance Department, Faculty of Banking, Banking Academy - said that the Government needs to coordinate monetary policy with fiscal policy and other macro policies to support production, export and innovation to create a synchronous development environment.
The government needs to promote the development of the financial market, diversify capital sources, reduce dependence on bank credit, ensure that the bank credit market meets short-term capital needs, while the stock market provides medium and long-term capital. Practice in the US, China... shows that the development of the stock market helps mobilize capital effectively, reducing pressure on the banking system.
