Vietnam’s central bank branch in Region 1 has instructed commercial banks to adhere to regulations regarding foreign currency deposits and lending. The State Bank of Vietnam (SBV) is concerned that some banks may be implementing superficial interest rate reductions that do not translate into lower actual borrowing costs for customers. Officials warned against mechanisms that result in real interest rates exceeding publicly advertised rates. This directive follows a recent conference focused on implementing the central bank governor’s instructions to lower lending rates and ensure financial security. The SBV aims to maintain transparency and prevent misleading practices in the banking sector. Compliance with foreign exchange regulations was also emphasized during the meeting. The move signals a push for genuine rate reductions to stimulate economic activity.