SBV continues net cash injections to support liquidity
Source: Viet Nam News Time:2018-06-14 16:58:28
The State Bank of Việt Nam (SBV) has continued net cash injections into the monetary market for three consecutive weeks to support the liquidity of the banking system.
According to the latest report of the Bảo Việt Securities Company (BVSC) on the bond market, VNĐ36.74 trillion (US$1.61 billion) were continuously pumped into the market last week. In the two previous weeks, the central bank also pumped VNĐ3.4 trillion into the market.
The move proves that the liquidity of the banking system is not as abundant as it was earlier, BVSC analysts said.
In the inter-bank market, the interest rates for overnight and two-week loans slid by 0.02 and 0.03 percentage points in the past week to 1.66 and 1.84 per cent per year, respectively.
In contrast, one-week loans rose by 0.08 percentage points to 1.77 per cent.
The BVSC’s bond report also showed that the State Treasury last week offered a total of VNĐ6 trillion worth of G-bonds with different maturities, including five-year, seven-year, 20-year and 30-year bonds valued at VNĐ500 billion each and 10-year and 15-year bonds at VNĐ2 trillion each.
The auction raised VNĐ3.24 trillion from 10-year and 15-year bonds, with interest rates inching up.
This week, the State Treasury plans to offer another VNĐ6 trillion worth of bonds with different maturities.