VietNamNet Bridge - More than VND100 trillion was paid by the eight biggest commercial banks to depositors in 2016. 

The amount of money could buy 1,130 Aston Martin AM-RB 001s and 33,000 square meters of expensive land in Monaco.

How big is VND100 trillion?

Since mobilizing capital and providing credit are the major sources of income for commercial banks, their business performance heavily depends on profits from lending and from the interest they pay to depositors.

For most banks, the margin between the lending interest rate and the deposit interest rate makes up 80 percent of banks’ profit annually.

In 2016, the total sum of money deposited by people and businesses at eight listed companies, including BIDV, Vietcombank, VietinBank, ACB, MBBank, Eximbank, VIB and NCB, was VND2,570 trillion.

The amount of money is equal to 1.5 times of the total capitalization value of the Vietnamese stock market (VND1,700 trillion).

For the huge amount of deposits, the eight banks had to pay VND101.616 trillion in interest in the year. As such, the average interest rate depositors could enjoy was 4 percent per annum.

At present, the most expensive car in the world is valued at $3.9 million, or VND85 billion. This means that the huge amount of money banks paid for deposit interest in 2016 was high enough to buy 1,130 cars of this kind. Meanwhile, there are less than 150 cars of this kind all over the world.

The most expensive land in the world is reported as priced at $135,000 per square meter, or VND3 billion, on Princesse Grace Boulevard in Monaco. This means that the huge amount of money banks paid for deposit interest in 2016 was high enough to buy 33,000 square meters of land there, and the land area is large enough for four My Dinh Stadiums.

With the amount of money, one can even buy stock capitalization of the banks, such as VietinBank (VND68.697 trillion) and BIDV (VND58.802 trillion).

If noting that the size of a 500,000 dong banknote is 152 x 65 mm, then VND100 trillion would be able to cover the area of 12 Noi Bai International Airports.

Who was the biggest payer?

While the gap between the deposits at BIDV and Vietcombank was inconsiderable, the interest BIDV had to pay to depositors was 1.8 times higher than Vietcombank.

By the end of 2016, the total deposits at BIDV had reached VND726.185 trillion, while the figure had been VND590.398 trillion. This means that deposits at BIDV were 1.2 times higher than at Vietcombank. 

Meanwhile, BIDV had to pay VND32.248 trillion to depositors, while Vietcombank paid VND17.949 trillion. The interest rates offered by BIDV are higher than Vietcombank for all terms of deposits.

US$1=VND22,000

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