From June 15–19, the average interbank interest rate decreased across most key maturities compared to the previous week. The average overnight VND rate and one-week rate fell by 1.68 percentage points and 0.54 percentage points, respectively, to 3.9 percent and 5.14 percent per year.

Total VND interbank transaction value during the week reached nearly VND4.18 quadrillion, averaging VND836.2 trillion per day, up VND426 billion per day from the previous week. 

USD interbank transactions, converted into VND, totaled VND606.3 trillion, averaging VND121.3 trillion per day, down VND40.1 trillion per day.

VND transactions were mainly concentrated in overnight terms, 95 percent of total VND transaction volume, and 1-week terms, 2 percent of total VND transaction volume. 

For USD transactions, the largest volumes were in overnight and 1-week tenors, accounting for 72 percent and 22 percent, respectively.

These developments show bank liquidity has cooled compared with early June, when interbank rates at times exceeded 10 percent per year.

According to the chair of the Board of Directors of a Big 4 bank, the banking sector, including state-owned commercial banks, has faced liquidity difficulties. By mid-June, the bank’s total assets reached about VND2.6 quadrillion, and deposits reached about VND1.5 quadrillion.

“For the first time at our bank, loan outstanding has exceeded deposits. As of the end of May 2026, the bank recorded credit growth of about 5.7 percent but deposit growth of only about 0.8 percent, and at times deposit growth was even negative,” he said.

However, state-owned commercial banks are strictly complying with the PM’s and the SBV Governor’s direction to maintain deposit rate levels in line with guidance, thereby controlling lending rates at reasonable levels.

Still, the bank chair said that if all commercial banks were as disciplined as the Big 4 group in stabilizing deposit rates, the market would be much better.

Banks draw money from bonds

Many large projects, especially infrastructure projects, are being implemented nationwide, requiring substantial capital from banks.

According to the Vietnam Bond Market Association, in the first five months of this year, banks offered more than VND61,000 billion in bonds. In May 2026 alone, the value reached VND33,000 billion.

Bonds issued by banks commonly have terms of 5–7 years, which helps banks limit “maturity mismatch” as savings deposits are currently mainly concentrated in terms under 12 months. This also supplements medium- to long-term capital, and strengthens Tier 2 capital, improving and maintaining the capital adequacy ratio (CAR) at high levels compared with State Bank regulations.

However, to raise capital from the bond market, banks have accepted interest rates significantly higher than last year.

Vietcombank just offered a bond lot with a fixed rate of 7.9 percent, 3 percentage points higher than the lot issued at the end of 2025. 

Similarly, BIDV’s bond rates issued in the past month have all been above 8.1 percent. MB Bank also successfully issued 10 bond lots to raise nearly 6,000 billion VND with rates from 8.3–8.4 percent per year.

OCB also conducted three issuance campaigns to raise VND3,000 billion with the highest rate up to 8.6 percent.

Meanwhile, VPBank raised VND1,000 billion in bonds with a fixed rate of 8.6 percent for a 3-year tenor, up one percentage point from the end of last year.

Bond issuance rates at VietABank even reached 9 percent per year for a VND100 billion lot issued in April.

Nam A Bank also just reported results of two public bond offerings totaling VND2,000 billion.

The bond rate is floating, based on the formula of the reference rate, the average 12-month savings rate of four major banks, plus a margin of 2.8 percent per year in the first 5 years and 3.4 percent per year thereafter. The first interest period, May 28, 2026–May 27, 2027, applies a rate of 8.7 percent per year.

In the first public bond offering that ended December 30, 2025, the bank completed the issuance of 2,000 billion VND in bonds.

In FiinGroup’s Q1/2026 bond market report, the average bond issuance rate for banks was over 7 percent per year, approaching lending yields.

However, recent data from this organization shows that an 8.3 percent per year bond rate is gradually becoming common for bank bonds, rather than appearing only in 7–10 year terms as before.

Tuan Nguyen