Very quickly, the State Bank cut interest rates by 150 basis points
Responding quickly and operating flexibly, the State Bank has reduced interest rates four times in a row, a total of 150 basis points in the first six months of 2023.
A flexible forex policy
The dollar-dong exchange rate has regained stability after the U.S. Federal Reserve slowed its interest rate hikes. This has allowed the State Bank of Vietnam (SBV) to restart buying foreign currencies. What signals has the SBV sent? The SBV, on December 15, announced it would buy the U.S. dollar
What are implications of a weakening dollar?
The U.S. dollar has steadily dropped against the Vietnamese dong currency. This is good news given that the foreign exchange market normally comes under pressure from the huge year-end demand of importers for foreign currency. Are supply and demand equated? The State Bank of Vietnam (SBV), on
Enterprises fret over economic turbulence
The exchange rate and market volatility, alongside inflation, have been challenging many enterprises in Vietnam regarding domestic consumption and import-export management. A plunge of consumption In early October, Chu Thi Hong Lieu, a small delicacy trader, said that consumption dropped by
Central bank pumps more money into system
HCMC – The State Bank of Vietnam (SBV) yesterday, November 3, injected some VND5,000 billion into the banking system via open market operations for a 14-day term without any withdrawals. This marked the second consecutive injection into the system, following VND15,522 billion on November 2. On the
Why a wider trading band
The State Bank of Vietnam (SBV) on October 17, 2022 widened the trading band of the Vietnamese dong currency from 3% to 5% on either side of the central exchange rate, with immediate effect, amidst interest rate hikes by central banks around the world Another factor behind the scenes, however, was