The State Bank of Vietnam would abolish the ceiling on deposit rates as long as the banking sector’s liquidity and the macro economy reach solid stability, according to a central bank official, the Vietnam Economic Times newspaper reports.
There have been good signals that may allow the central bank to let the deposit rate float, such as a good control of inflation and the banking sector reform progressing well, the report quoted Vietnamese financial experts as saying. The central bank did not give any time frame for the move.
NOTE: Reuters has not verified this story and does not vouch for its accuracy. (Hanoi Newsroom; Editing by Anand Basu)