Last Updated: Wednesday, April 24, 2013 04:40:00
Vietnam’s central bank has denied rumors of plans to create a “new currency system.”
The State Bank of Vietnam has denied rumors that a “new currency system” is going to replace the existing one.
Nguyen Chi Thanh, head of the central bank’s treasury department, said the rumors could have begun because of discussions about amending the Constitution and changing the country’s name. (more…)
Last Updated: Monday, April 29, 2013 05:00:00
The International Monetary Fund is not very hopeful that Vietnam can make further interest rate cuts this year.
“While headline inflation has come down, core inflation (excluding raw food and energy) remains high, limiting the room for rate cuts,” it said in a release at the conclusion of a mission to Hanoi and Ho Chi Minh City from April 8 to 25 for the 2013 Article IV Consultation discussion with Vietnamese authorities. (more…)
At the Spring Economic Forum 2013, organized in the central province of Khanh Hoa from April 5-6, several delegates were of the view that the economic restructuring program started in Vietnam some years ago has been moving at far too slow a pace.
Incomplete Van Phong International Port in the central province of Khanh Hoa is an example of wasted capital (Photo: SGGP) (more…)
HA NOI (VNS) — At least 90 per cent of local banks believe that inflation will stay in the single-digits this year, according to a survey conducted by the State Bank of Viet Nam (SBV).
Nearly 70 per cent of banks predicted that the mobilised and lending interest rates for the Vietnamese dong would go down by about 2 per cent, the SBV’s Monetary Statistics and Forecasting Department said. (more…)
Vietnam’s economic growth rate in 2012 is forecast at 5.2 percent. It is the second adjustment from the previous projections of 5.5 percent and 6.5 percent, and is due to a slowing down of the country’s economic performance in the first 10 months of 2012.
Nguyen Thi Tue Anh, head of the Competition Capacity and Business Environment Department of the Central Institute of Economy Management, made the judgment at a forum held in Hanoi last week. (more…)
Last Updated: Friday, November 09, 2012 11:00:00
Vietnam faces “high risks” that inflation will accelerate toward the end of the year as the government strives to spur lending and help businesses, according to a central bank official.
“The central bank will manage its monetary policies in a manner that can bring down lending interest rates to help businesses,” Do Thi Nhung, deputy head of the monetary policy department at the central bank, told a conference in Hanoi Monday. (more…)
October CPI continues to climb
October’s Consumer Price Index (CPI) saw a slight increase of 0.85 percent compared with the previous month and a year-on-year increase of 7 percent.
This drove the CPI in the past ten months up to 9.66 percent in comparison with the same period last year, said the General Statistics Office (GSO) on October 24. (more…)
HA NOI – (VNS) Fake VND200,000 banknotes have been circulating in the market, the State Bank of Viet Nam said in a statement on Tuesday.
The fake banknotes, though meticulously printed, are less durable and elastic than the real polymer notes, so users can still distinguish them by the naked eye and by slightly tearing the notes’ edges.
In addition, the fake notes are also easily distinguished because they are not printed with optically variable ink (OVI). The ink, an anti-counterfeiting measure often used on banknotes, displays two distinct colours. (more…)
Use of small change has fallen as prices increase
Vietnamese notes and coins below VND5,000 (US$0.24) in value could die out in the market since price hikes make it hard for people to keep and use them in trading, an economist says.
Goods now fetch high prices, so trading with small change has fallen, Vu Dinh Anh told VnExpress Tuesday.
The report quoted a woman called Ha as saying: “I find small change worth nothing in our daily life, so I don’t want to receive it.”
Chuong, a resident of the capital city, said, “I ask vendors to keep the change of VND500-1000 because I cannot buy anything with it.” (more…)
Updated : 12:25 PM, 06/08/2012
(VOV) – Despite slightly slow growth in the past six months, the national economy has yet to slip into recession, according to Vu Duc Dam, Minister and Chairman of the Government Office.
An economy plunges into recession only when its growth is negative in two consecutive quarters, but that is not the case in Vietnam, Dam told the media in Hanoi on August 5. (more…)
Hanoi, Aug 1 (Prensa Latina) Although it is not growing at the rate desired, Vietnam’s economy is showing positive signs at the end of the first half of the year, according to Prime Minister (PM) Nguyen Tan Dung.
His assessment comes as a result of slowed inflation, maintained stability in the macro-economy and the promotion of production in agriculture and industry. (more…)
Updated : Wed, July 18, 2012,7:30 PM (GMT+0700)
Vietnam’s economic policy appears to be bringing about a recovery in growth, said The Korea Herald, one of the largest English-language newspapers of the Republic of Korea, in its July 17 edition.
The article says with monetary and fiscal tools, the Vietnamese economy performed well in the first half of 2012 while Asian economic growth was slow and European and US economies worsened by the day. (more…)
MAY 20, 2012
VietFinanceNews.com – The Vietnamese dong currency is rising, so exchange rate adjustments may be in store, said economic experts of the National Institute for Finance at a conference in Hanoi last week.
According to analyses by experts, the dong has strengthened by 23.8% against the U.S. dollar and by 5.7% against the basket of currencies of the country’s major trading partners. (more…)
VietFinanceNews.com – The Vietnamese dong currency is rising, so exchange rate adjustments may be in store, said economic experts of the National Institute for Finance at a conference in Hanoi last week.
According to analyses by experts, the dong has strengthened by 23.8% against the U.S. dollar and by 5.7% against the basket of currencies of the country’s major trading partners. (more…)
MARCH 15, 2012
VietFinanceNews.com – Vietnam needs to set up an independent central bank to deploy the monetary policy with the basic objectives to stabilize prices and curb inflation, said experts of the International Monetary Fund (IMF).
The central bank needs more specific and independent tasks, said IMF senior economist Rina Bhattacharya at a seminar discussing policy challenges of Vietnam in transition to a middle-income economy held by IMF and the State Bank of Vietnam (SBV) in Hanoi on Wednesday. (more…)
VietFinanceNews.com – The State Bank of Vietnam had kept the dong/dollar interbank exchange rate at 20,828 dong per dollar for the 39th consecutive day by late last week.
The exchange rate stabilization has prompted people to sell dollars and keep dong.
Nguyen Ngoc Lan in Hoan Kiem district in Hanoi on February 16 morning came to Eximbank to ask about the dollar prices, planning to covert the dollar deposits at the bank to dong deposits. (more…)
VietFinanceNews.com – Industry insiders are expecting a more stable dong-dollar exchange rate and stricter dollar lending in 2012.
In early 2012, State Bank (SBV) governor Nguyen Van Binh confirmed the foreign exchange market would be on an even keel with the dong-dollar exchange rate fluctuating between 2 to 3 per cent in the year.
Binh also forecast a surplus of around $3 billion in the country’s general balance of payments in 2012.
SBV’s Ho Chi Minh City branch deputy director Nguyen Ngoc Thang assumed the city’s foreign currency market was relatively stable with a sharp fall in dollar speculation against some previous years. (more…)
The State Bank of Vietnam set the daily reference rate at 20,803, compared with 20,788 yesterday, according to its website. The currency can trade up to 1 percent on either side of the fixing. The dong has weakened due to “complicated” movements in the local gold market and the foreign-exchange market “has not stabilized yet,” the central bank said in an Oct. 24 report posted on its website.
VietFinanceNews.com – Vietnam’s dong declined after the central bank set its daily reference rate at the weakest level since at least 2005. Government bonds were steady.
The State Bank of Vietnam fixed the reference at 20,788 per dollar, compared with 20,768 yesterday, according to its website. The dong is allowed to trade up to 1 percent on either side of the rate. The currency fell 0.1 percent to 20,989 as of 3 p.m. in Hanoi, according to prices from banks compiled by Bloomberg. (more…)
VietFinanceNews.com – The State Bank of Vietnam, the country’s central bank, sent official dispatches, requesting credit institutions to strictly implement Decree No. 95 on gold and foreign exchange trading and asked support from four related Ministries on Oct 25.
The central bank asked credit institutions and branches of foreign banks to strictly follow the new regulations on foreign exchange control and gold trading management, actively detect and report violations. (more…)
VietFinanceNews.com – The State Bank of Viet Nam yesterday announced an increase in the interbank exchange rate to VND20,668 per dollar, VND15 higher than that of Monday and the fourth increase since last Wednesday.
Driven by the State Bank move, commercial bank forex rates soared accordingly, Vietcombank posting a VND20,875 – VND20,870 per dollar sell/buy, an increase of VND15 and VND14 per dollar.
Several other banks including, Asia Commercial Bank and Eximbank, also increased their forex rates to selling prices of VND20,875 per dollar and buying prices of VND20,853 – VND20,855.
On the black market however, greenbacks settled on VND21,250 – VND21,280 (buying/selling) yesterday, a decrease of VND100 per dollar.
On the domestic market, the price of gold increased significantly due to increased world prices and the hike of forex rates announced by the SBV.
At 12pm yesterday, gold shop Phu Quy on Tran Nhan Tong Street, Ha Noi, posted buy/sell prices of SJC gold at VND43.8 million (US$2,105.77) – VND44.03 million ($2,116.83) per tael (one tael being equivalent to 1.2 ounces), VND500,000 higher than on Monday.
At the same time, the spot world price on the London Bullion Market was $1,679 per ounce.
Last Wednesday, the central bank said it would continue selling US dollars to cool down the domestic foreign exchange market, ensuring that the value of the domestic currency would not fall by more than 1 per cent against the dollar between now and the end of the year.
If the Vietnamese dong was to devalue by 1 per cent, the forex rate would be VND20,834 per dollar. Thus far, the adjustment had reached 0.2 per cent, experts said.
Vo Tri Thanh, deputy director of the Central Institute for Economic Management, said that higher exchange rate pressure would overshadow the rest of the year.
Senior economist Tran Hoang Ngan said that, as the adjustment still fell below 1 per cent as set by the central bank, there was no need to be worried.
He added that the inter-bank rate increase was a way of managing exchange rates flexibly to create market stability, saying there was no reason for devaluating the domestic currency as inflation had been under control and demand and supply for foreign currencies were stable.
On Monday, the central bank allowed two more banks to sell gold, alongside Sai Gon Jewellery Ltd Company (SJC) and five other banks including DongA Bank, ACB, Techcombank, Eximbank and Sacombank, to stabilise the chaotic domestic market for gold. These banks are set to also re-open their foreign gold trading accounts.
VietFinanceNews.com – Vietnam’s dong fell as the central bank lowered its daily reference rate for the first time since August. Government bonds were little changed.
The State Bank of Vietnam fixed the reference at 20,638 per dollar, compared with 20,628 yesterday, according to its website. It last adjusted the measure on Aug. 24. The dong is allowed to trade up to 1 percent on either side of the rate and it can move outside the band on the so-called black market. The currency also dropped on speculation companies stepped up dollar purchases to pay for imports and redeem overseas debt.
Vietnam may undermine efforts to stabilize the country’s economy and currency if it prematurely eases monetary policy, the International Monetary Fund said, as the nation fights the fastest inflation in Asia.
“The risk is that all the hard work they’ve done this year in trying to re-establish their stabilization credentials and to try to convince the population that they have the discipline needed to push through with the macro stabilization program gets undone,” Benedict Bingham, the IMF’s senior resident representative in Vietnam, said in an interview yesterday.
VietFinanceNews.com – The State Bank of Vietnam (SBV) sold out 150 million dollars (VND3,000 billion) last week to stabilize the USD/VND exchange rate.
The central bank, in a meeting with commercial banks on Sept. 7, said it would try to keep the exchange rate steady within 1% fluctuating band to the end of this year, and that it would interfere to ensure exchange rate stability if needed.
Earlier, the central bank also sold USD1.5 billion in three week from mid August to support the dong Reuters said.
HANOI Aug 11 (Reuters) – Vietnam’s central bank wants to keep fluctuations in the dong to a minimum for the rest of this year, seeing its present value against the dollar as realistic, a state-run newspaper reported on Thursday.
“In the event that the State Bank sees the necessity to adjust the exchange rate, we will adjust the rate by no more than 1 percent between now and the year-end,” Governor Nguyen Van Binh told the Saigon Times Online newspaper (www.thesaigontimes.vn).
Read More: http://af.reuters.com/article/commoditiesNews/idAFL3E7JB0HW20110811
VietFinanceNews.com – Vietnam will maintain a tight monetary policy in August after inflation accelerated for an 11th month in July, Nguyen Xuan Phuc, chairman of the government office, said at a briefing in Hanoi today.
Consumer prices jumped 22.16 percent from a year earlier, compared with June’s 20.82 percent pace, data released by the General Statistics Office yesterday show. That’s the highest inflation rate tracked by Bloomberg among 17 economies in Asia.
VietFinanceNews.com – Vietnam’s dong weakened on speculation last week’s cut in borrowing costs could fuel inflation and reduce investor confidence.
The State Bank of Vietnam dropped its benchmark interest rate by one percentage point on July 4, even after year-on-year inflation reached 20.8 percent in June, the highest among 17 Asian economies tracked by Bloomberg.
JUNE 30, 2011
Government Targets 15%-17% Inflation by Year-End
VietFinanceNews.com – The Vietnamese government is targeting year-end inflation of 15 percent to 17 percent, according to a news item posted on its website today, signaling the country may not meet a target set earlier this month.
Vietnam raised its inflation target to 15 percent from 11.75 percent on June 3. Consumer prices climbed 20.82 percent this month from a year earlier, according to data released by the General Statistics Office in Hanoi on June 24.
VietFinanceNews.com – Vietnam’s government should maintain a tight monetary and fiscal policy, including higher interest rates and tougher credit, until the currently “intolerable” inflation rate is less than 10 percent, the World Bank said.
Vietnamese inflation reached 19.78 percent in May, the highest since December 2008. The government said on June 3 it’s targeting 15 percent inflation this year, up from a previous projection of 11.75 percent. Foreign-exchange reserves at the end of 2010 had declined to cover about 1.4 months of imports, according to the International Monetary Fund.
