Textile

Vietnam's SBV takes further action to stabilise foreign exchange rates

25 Apr '24
1 min read
Vietnam's SBV takes further action to stabilise foreign exchange rates
Pic: Adobe Stock

Insights

Amid surging US dollar (USD)-Vietnamese dong (VND) exchange rates, the State Bank of Vietnam (SBV) recently issued treasury bills (T-bills), employing these as an open market operation (OMO), and stipulated liquidity and interest rates in the inter-bank market.

SBV lent nearly VND36 trillion ($1.4 billion) for a 14-day term to nine members via OMO. The bid-winning interest rate increased to 4.25 per cent per year from 4 per cent per year as recorded recently.

The seven-day loan, issued on April 16, matured on April 23 with total value of close to VND12 trillion.

The bank also continued to issue VND2.15 trillion worth of 28-day T-bills at an interest rate of 3.73 per cent. Two members won the bidding.

Besides, the T-bills issued on March 26 also became mature on April 23, enabling the central bank to inject VND3.7 trillion back to the market, according to a domestic media outlet.

The central bank set the daily reference exchange rate at VND24,275 per USD on April 23, up by VND3 from the previous day.

Fibre2Fashion News Desk (DS)
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