THE COMPULSORY RESERVE RATES APPLICABLE TO CREDIT INSTITUTIONS AND FOREIGN BANK BRANCHES
The State Bank of Vietnam issues the Decision No. 1158/QD-NHNN on compulsory reserve rates applicable to credit institutions and foreign bank branches on May 29, 2018.
In particular, the compulsory reserve rates applicable to credit institutions and foreign bank branches are as follows:
- For people’s credit funds and microfinance institutions: The compulsory reserve rate for Vietnam-dong and foreign-currency deposits is 0%.
The Vietnam Bank for Agriculture and Rural Development and the Cooperative Bank of Vietnam shall apply the compulsory reserve rates corresponding to each type of deposit, for Vietnam-dong demand deposit and under 12- month term deposits, the compulsory reserve rate is 3% of the deposit balance subject to compulsory reserve; for Vietnam-dong deposits of a term of 12 months or longer, the compulsory reserve rate is 1% of the deposit balance subject to compulsory reserve….
Other credit institutions shall apply the compulsory reserve rates corresponding to each type of deposit, for Vietnam-dong demand and under-12 month-term deposits, the compulsory reserve rate is 3% of the deposit balance subject to compulsory reserve; for overseas foreign-currency deposits of credit institutions, the compulsory reserve rate 1% of the deposit balance subject to compulsory reserve…
This Decision takes effect on June 01, 2018.
