Whereas Vietcombank announced it would be lowering deposit interest rates earlier this week, the other three of Vietnam’s big four banks have now lowered theirs too, Tuoi Tre is reporting. Interest rates on deposits are now hovering around 2 percent.
This may indicated that the massive growth in credit issued in December was not demand-driven but rather the result of aggressive sales techniques and that banks still have too much cash on hand–broader problems facing Vietnam’s economy are persisting into the new year.