Thursday, January 31, 2019, 14:00 (GMT + 7)
One of the successes of the administrative policy at the exchange rate last year is not only stable in the context of the devaluation of the national currency in many countries.
At the end of the year preceding the Lunar New Year holiday, the State Bank (SBV) announced a central exchange rate of around 22,858 NZ dollars / USD – 22,880 NZ dollars / USD. In 2018, the central exchange rate increased by about 1.87%.
The exchange rate in the State Bank of Vietnam is 23,200 VND / USD, sold 23,494 VND / USD. Commercial banks are allowed to trade within +/- 3% compared with the central SBV rate.
While the central exchange rate tends to rise, the price of the US dollar in commercial banks is fairly stable, sometimes at a low level compared to the end of last year. Currently, commercial banks are trading US dollars to buy 23,150 VND / USD, sold 23,240 VND / USD.
According to SBV, since the beginning of 2019, the agency has acquired foreign exchange reserves worth more than 1.5 billion US dollars after the level of support in US dollars was increased to 23,300 won on the first working day of the year. Doll. USA. ,
Mr. Ngo Dang Khoa, head of the State Department of Monetary Business at HSBC Vietnam, noted that this move by the State Bank immediately led to an exchange rate for stable trade in orbit near this price. In the period before Tet, seasonal deliveries of foreign exchange, such as remittances or the need to sell dollars to enterprises, especially enterprises with foreign factors, also increased to meet the demand for VND usage. It is noteworthy that the dollar in the market is also more common.
Regarding the administration of the exchange rate last year, many international experts and financial institutions recognized that Vietnam had spent quite a successful year in the context of a sharp drop in the currencies of many other countries in the region. In particular, South Korean won fell by 5.07%, the Philippine peso fell by 4.99%, the Indonesian rupee fell by 6.62%, and the Indian rupee fell by 9.58% or the Chinese yuan. A decrease of 6.43% … Meanwhile, VND fell only by 2.7% of the market exchange rate and by 1.78% of the central exchange rate.
The SBV leaders said that the USD / VND exchange rate was under pressure in the context of changes in US policy on interest rates, many countries began to tighten their monetary policy and move to protect the currency. they are victims of the us-china trade war …
“These problems were a difficult problem for the administration of the exchange rate, sometimes the State Bank had to sell billions to intervene in the market and then buy it again. In the first days of the year, the State Bank actively bought as a supplement. ” adding foreign reserves, "said Deputy Governor of the SBV Tao Min Tu.
Another important point, according to the Deputy Governor, is that the current policy of flexible exchange rate management deprives commercial banks and enterprises that are no longer motivated to keep US dollars for profit and gain a difference, as before. Enterprises that have foreign currency should not keep their accounts, “anchor” to wait for sales at high prices, as before, even commercial banks with the status of foreign currency are no longer holding. This fact makes state management more convenient when buying a large amount of foreign currency to increase foreign exchange reserves, which is also beneficial for both enterprises and banks and the economy.
In the direction of administering exchange rates in the near future, the State Bank announced that it will continue to operate in accordance with macrobalances, market development and monetary policy objectives, and a synchronous combination of monetary policy tools. Currency, intervention in the foreign exchange market when it is necessary to stabilize the market. Although the SBV did not establish a specific exchange rate adjustment this year, according to experts, a 2-3% decline in VND is acceptable this year.