DECISION

MAXIMUM INTEREST RATES OF DEPOSITS IN VIETNAM DONG OF ORGANIZATIONS AND INDIVIDUALS AT CREDIT INSTITUTIONS AND BRANCHES OF FOREIGN BANKS ACCORDING TO CIRCULAR NO. 07/2014/TT-NHNN DATED MARCH 17, 2014

GOVERNOR OF STATE BANK

- Pursuant to the Law on State Bank of Vietnam No. 46/2010/QH12 dated June 16, 2010;

- Pursuant to Law on Credit Institutions No. 47/2010/QH12 dated June 16, 2010 and Law on amendments to Law on Credit Institutions No. 17/2017/QH14 dated November 20, 2017;

- Pursuant to Decree No. 16/2017/ND-CP dated February 17, 2017 of the Government on functions, tasks, powers, and organizational structure of the State Bank of Vietnam;

- Pursuant to Circular No. 07/2014/TT-NHNN dated March 17, 2014 of Governor of State Bank of Vietnam on interest rates of deposits in Vietnam Dong of organizations and individuals at credit institutions;

- At the request of Director of the Monetary Policy Department.

DECISION

Article 1. Maximum interest rates of deposits in Vietnam Dong of organizations (except credit institutions and branches of foreign banks) and individuals at credit institutions and branches of foreign banks according to circular No. 07/2014/TT-NHNN dated March 17, 2014 are as follows:

1. The maximum interest rate applicable to demand deposits and term deposits under 1 month is 0.2%/year.

2. The maximum interest rate applicable to term deposit from 1 month to less than 6 months is 4.0%/year; in particular, people's credit funds and microfinance institutions shall adopt the maximum interest rate of 4.5%/year with respect to term deposit from 1 month to less than 6 months.

Article 2.

1. This Decision comes into force from October 1, 2020 and supersedes Decision No. 919/QD-NHNN dated May 12, 2020 of Governor of State Bank of Vietnam on maximum interest rates of deposits in Vietnam Dong of organizations and individuals at credit institutions and branches of foreign banks according to Circular No. 07/2014/TT-NHNN dated March 17, 2014.

2. With respect to interest rates of term deposit in Vietnam Dong of organizations and individuals at credit institutions and branches of foreign banks made before the effective date hereof, the interest rates shall continue to be applied for the whole period; in case the agreed period is expired and organizations and individuals do not withdraw the deposits, the credit institutions and branches of foreign banks shall adopt interest rates of deposits as specified in this Decision.

Article 3. Chiefs of offices, Director of Monetary Policy Department, heads of entities affiliated to State Bank of Vietnam, Directors of State Banks of Vietnam of provinces and central-affiliated cities; Chairpersons of Boards of Directors, Boards of Members and General Directors of credit institutions and branches of foreign banks are responsible for implementation of this Decision./.

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