The decline in low-cost deposit balances has directly impacted the commercial banks holding the largest CASA market shares. —Photo cafef.vn

HÀ NỘI — Total non-term deposits (Current Account Savings Account - CASA) of 27 joint-stock commercial banks by the end of the second quarter decreased by approximately VNĐ47.5 trillion (US$1.8 billion) compared to the end of 2025 due to rising interest rates of term deposits, according to 2026 semi-annual financial reports released by banks.

Due to the decline, the average CASA ratio of the entire banking system fell by 1.23 percentage points to 17.19 per cent.

This trend has stemmed from the continued rise in interest rates of term deposits. While CASA interest rates are capped at 0.5 per cent per annum, and typically range from 0.1 per cent to 0.2 per cent, depositors have actively shifted funds into term savings products, whose interest rates hit 9 per cent per year, to maximise returns.

Phạm Như Ánh, CEO of MB, said that rising deposit interest rates have prompted individuals and businesses to proactively adjust their financial plans. Idle funds intended for payments are being optimised by shifting them into time deposits to capture higher yields.

Besides, maturing low-interest time deposits are being rolled over at the new and higher prevailing rates. This exerts upward pressure on commercial banks' cost of funds, compelling financial institutions to balance capital sources across markets to safeguard profit margins while avoiding participation in a race to hike deposit rates.

The decline in low-cost deposit balances has directly impacted the commercial banks holding the largest CASA market shares. MB - the market leader in 2025 with a CASA ratio of 37.18 per cent - recorded a drop of VNĐ14 trillion, bringing its ratio down to 33.93 per cent as of June 30, 2026, and ceding the top spot to Techcombank.

Techcombank rose to lead the banking system with a CASA ratio of 34.26 per cent, even though its absolute balance also fell by VNĐ13.5 trillion (a slight decrease of 0.4 percentage points).

Vietcombank held third place at 32.35 per cent, down 1.44 percentage points, equivalent to a decline of over VNĐ6 trillion. — BIZHUB/VNS