SBV Withdraws VND 71.6T, 30 Banks Cut Deposit Rates in April 2026

Overview

The State Bank of Vietnam (SBV) conducted a net withdrawal of VND 71,563 billion via open market operations (OMO) in the week of April 13-17, 2026, while 30 commercial banks, including VPBank (VPB), simultaneously cut deposit rates. This coordinated move, reported in Vietnamese financial media, reflects a shift in monetary conditions as interbank rates declined across all tenors and exchange-rate pressure eased.

Key Facts

• The SBV net withdrew VND 71,563 billion from the banking system via OMO for the week ending April 17, 2026.
• 30 domestic commercial banks cut deposit rates by 0.1 to 0.5 percentage points following a meeting with the SBV.
• Interbank VND rates fell: overnight rate down 2.00 percentage points to 4.00% per annum; 1-week rate down 1.50 percentage points to 5.00% per annum.
• The SBV offered a total of VND 59,000 billion in secured loans via OMO at a maintained interest rate of 4.5% per annum.
• The central exchange rate was VND 25,102/USD on April 17, down VND 3 from the previous week.
• Foreign investors recorded a net outflow of USD 2.86 million from the Vietnamese equity market during the period.

What Happened

In the week of April 13-17, 2026, the State Bank of Vietnam (SBV) executed a significant liquidity withdrawal through open market operations. According to the report, the SBV offered VND 59,000 billion in secured loans across 7-day, 35-day, and 56-day tenors at a steady 4.5% interest rate, with winning bids totaling VND 57,782 billion. Against maturities of VND 129,345 billion, this resulted in a net withdrawal of VND 71,563 billion, reducing the total outstanding volume on the collateral channel to VND 217,003 billion. Concurrently, 30 domestic commercial banks, including major listed entities such as VPBank (VPB), Techcombank (TCB), and Vietcombank (VCB), reduced their deposit rates by 0.1 to 0.5 percentage points. This followed a meeting with the SBV, indicating a coordinated policy response. The interbank market saw rates decline across all tenors, with the overnight rate dropping to 4.00% per annum. The USD/VND exchange rate showed mild depreciation pressure, with the central rate settling at VND 25,102/USD.

Market Context

VPBank (VPB) trades on the HOSE exchange and closed unchanged at VND 27 on April 15, 2026, with volume of 9.5 million shares. The broader banking sector showed mixed performance in early April, with BVB up 1.61% and TCB down 0.16% in recent sessions. The SBV’s liquidity withdrawal and rate cuts occur against a backdrop of easing exchange-rate pressure and foreign net outflows of USD 2.86 million from Vietnamese equities, suggesting investors are weighing monetary easing against global capital flow dynamics.

Strategic Significance

For long-term investors in Vietnamese banks like VPBank, this episode illustrates the SBV’s active management of system liquidity and funding costs. The simultaneous deposit rate cuts across 30 banks, prompted by SBV guidance, directly reduces banks’ cost of funds. This could alleviate pressure on net interest margins, especially if lending rates remain more stable. The substantial OMO withdrawal indicates the SBV is fine-tuning liquidity to prevent excess while supporting a lower interest-rate environment, a positive for credit growth and asset quality in the medium term.

What to Watch

• Q2 2026 earnings reports from VPBank and peers for evidence of net interest margin impact from lower deposit costs.
• SBV’s OMO operations and policy rate decisions in the coming months to confirm the direction of monetary stance.
• Monthly credit growth data from the SBV to assess if lower rates are stimulating loan demand.
• USD/VND exchange rate movements and SBV interventions to gauge external balance pressures.
• Foreign ownership filings and net flow data for signs of international capital returning to banking stocks.