Finance Ministry raises idle fund bank cap to 60%

After that, the funds will remain in banks until maturity.

Vietnam's Ministry of Finance has proposed allowing the State Treasury to temporarily raise the cap on idle State funds placed in commercial bank deposits from 50% to 60% to help ease liquidity pressures during the year-end period.

The proposal is contained in a draft government resolution that would allow the higher limit to apply until 28 February, as reported by the Vietnam News agency.

After that, the funds will remain in banks until maturity, but the balance must be brought back within the existing 50% cap by 31 March. 

Temporarily idle State funds refer to money that has been allocated for spending but not yet disbursed.

The ministry said the adjustment would support the State Bank of Vietnam in stabilising liquidity in the banking system during the year-end and the Lunar New Year 2026, when demand for cash typically rises. 

It would also help ease pressure on market interest rates and support economic growth, although it would increase the ministry’s responsibility to ensure timely payments for items such as social security and public investment.

The Ministry of Finance said it will manage deposit balances to stay within the temporary ceiling and continue to coordinate with the central bank to align fiscal and monetary policy and maintain financial stability.