Vietnam has become one of the first countries to cut its key rates as the State Bank of Vietnam (SBV) lowered some key rates, including the discount rate (from 4.5% to 3.5% ) and the overnight electronic interbank rate (lowered by 100 basis points to 6%,), effective from March 15. Despite being one of the last central banks in Asia to tighten its monetary policy, the SBV delivered two 100 basis point rate hikes in 2022 to catch up with the trend.
Why Vietnam Takes the Lead in Rate Cuts