State-Owned Banks See Increased Deposit Balances in Q1 Amid Continued Economic Growth

In the first quarter of the year, deposit balances from the State Treasury at VietinBank and BIDV reached over 90,000 billion VND each, more than double their balances at the end of 2023. The growth in State-owned banks’ deposit balances was highlighted in their recently released financial statements, which showed a significant increase in the State Treasury’s deposits.

VietinBank saw its deposit balance rise to 46,115 billion VND at the end of the first quarter, an increase of more than 9% from the previous year. Similarly, BIDV reported a deposit balance of 41,500 billion VND in term deposits and over 6,300 billion VND in demand deposits, up by more than 7% from the previous year. Despite this growth, Vietcombank still had the lowest balance among the three banks, with a balance of over 3,500 billion VND.

The State Treasury’s idle funds are currently being deposited for a term at commercial banks to maximize benefits. These funds are used for various priority purposes such as lending to the State budget, repaying principal and making advances when necessary. By the end of 2023, nearly 7.8 million VND of idle funds from the State Treasury had been deposited at commercial banks and earned an interest rate of around 25