At Techcombank, 1-3 month term deposits have the interest rates of 9.5-9.7 percent, while 13-36 month term deposits have the interest rate of 9.6 percent per annum at the highest.

Eximbank has raised the interest rate gradually from 9.36 percent per annum to 9.72 percent for 1-6 month term deposits, while applying the same rate of 9.6 percent for the two longest term deposits of 36 and 60 months.

Similarly, the latest interest rates applied by Maritime Bank have a rate of 9.66 percent for three and 12 month term deposits, which is much higher than the 9.65 percent rate for nine month and 15-36 month term deposits.

The highest peak of interest rates, 9.99 percent, is now being applied by Tin Nghia Bank for 3 month term deposits. Meanwhile, other kinds of deposits can enjoy the same or even lower rate than the rate for one month term deposit at 9.84 percent per annum.

Economists say that different tendencies have been seen in interest rates and it is difficult to draw a diagram of interest rates that truly reflects the performance of the whole market.

Ocean Bank, for example, announced that it applies the same interest rate of 9.85 percent for 17 terms of deposits, from one month to 36 month term deposits.

Other banks, while raising deposit interest rates, still maintain familiar interest rate trends.

Commercial banks all now report that they lack capital, because investors have poured their money into the stock or real estate markets, instead of making deposits at banks. Meanwhile the demand for business loans has been increasing in the last months of 2009.

This has forced commercial banks to apply necessary measures to attract more capital, applying attractive interest rates or offering attractive gifts.

Lien Viet Bank has reported that it has mobilized 6,410 billion dong so far this year from institutions and the public, while it plans to mobilize 7,750 billion dong in capital for 2009. 76 percent of the sum of 6,410 billion dong came from institutions and only 24 percent came from individual depositors. Most of the funds are from short-term capital.

Nguyen Duc Huong, General Director of Lien Viet Bank, states that this current tendency shows the lack of sustainability in capital mobilization.

Source: VietnamNet Bridge