State bank of vietnam

A customer buys US dollars at a bank in Ha Noi. During May and the first half of June, the dong depreciated about 1.0 per cent on the official market. — Photo baochinhphu.vn The State Bank of Viet Nam (SBV) sold about US$7 billion in the first five months of this year to balance the supply and demand sources of the greenback in the domestic forex market, according to the Viet Dragon Securities Corporation (VDSC). The USD/VND exchange rate listed at Vietcombank has so far this year increased by approximately 2 per cent. The average rate of commercial banks according to Bloomberg's statistics in the period has increased by about 1.7 per cent. During May and the first half of June alone, the dong depreciated about 1.0 per cent on the official market. However, in the context that most currencies have fallen significantly against the US dollar after the Federal Reserve raised interest rates, the dong has remained relatively stable. The US Dollar Index has so far this year risen … [Read more...] about Central bank sold roughly $7 billion to stabilise forex market

At shareholders' meetings in recent years, the common discussion of commercial banks is that they often set credit growth targets much higher than the credit growth target of the whole banking system. However, how much is set depends on the credit limit granted by the State Bank of Vietnam. Usually at the beginning of the year, the State Bank of Vietnam grants a credit room to each commercial bank depending on their state as healthy banks. From the middle of the year onwards, the operators begin to adjust the credit room for commercial banks, based on developments in the economy, operations, and health of the bank. This is to say, that looking at the actual needs of the market, commercial banks can predict their credit growth, but they can only do so within the level allowed by the State Bank of Vietnam. Every year, around the middle of the second quarter onwards, commercial banks mostly step up and race to send applications to the State Bank of Vietnam to ask for more credit room. … [Read more...] about State Bank of Vietnam unwilling to dismantle credit room

The move is expected to help accommodate the momentum of the exchange rate and the pressure on foreign exchange reserves. The State Bank of Vietnam (SBV) has reportedly sold over US$10 billion from its foreign exchange reserves amid growing pressure on the exchange rate, according to the Viet Dragon Securities Company (VDSC). The SBV expects to continue selling foreign currencies in case of market high demand. File photo The report noted deposit balance of the Vietnam State Treasury (VST) at the state-owned banks was about VND110 trillion ($4.73 billion), continuing to support the liquidity of the Vietnamese dong (VND) on the market. In addition, the VST also bought $75 million from commercial banks last week, equivalent to VND1.74 trillion injected into the banking system. In line with such a move, the SBV on June 21 started conducting outright bill sales with a small amount of VND200 billion ($8.6 million). In the next few days, the central bank continued … [Read more...] about Vietnam c.bank reportedly sells over US$10 billion from FX reserves

Rising prices of strategic goods, including petrol, fertilizers, and farm produce are putting pressure on the Government’s efforts in market price management. The Ministry of Industry and Trade (MoIT) is responsible for maintaining adequate supplies of petrol  and avoiding disruption risks. Overview of the meeting. Source: VGP The Government Office released the conclusion of Deputy Prime Minister Le Minh Khai at a meeting of the Price Management Committee last week. According to Khai, Vietnam is facing high inflationary pressure amid rising prices of strategic commodities such as petrol, fertilizers, and transportation costs. In this context, recent price hikes of petrol products since early 2022 have resulted in the price of RON 95-IIII hitting a record high of nearly VND33,000 (US$1.42) per liter, leading to the uptick of  prices of other products and services. Khai, therefore, called for the MoIT to stay active in the management of petrol supplies … [Read more...] about Vietnam Deputy PM expects no disruption to petrol supplies

Luu Trung Thai, vice chairman of the Board and CEO of MB stated that a cashless economy is a determinant of a modern and sustainable future The statement was made at a workshop themed Digital Transformation Towards a Cashless Society on June 17 in Hanoi. The framework of Cashless Day 2022 was organised by the Payment Department at the State Bank of Vietnam (SBV) and Tuoi Tre newspaper. The CEO made a presentation on the topic of Digital Transformation in the Baking Sector and MB's best practices. He placed a focus on the practical values that are brought about by digital transformation, including risk-free transactions for customers. Despite being a major challenge, security will receive more attention in the coming time. It will be enhanced to bring exciting and smooth customer experiences. Digital transformation not only optimises operations but also cuts costs and creates new investment opportunities, which lay the foundations for businesses to thrive in the future. … [Read more...] about Revenue remains a major concern for many commercial banks during digital transformation

In a recent report, the Singapore-based United Overseas Bank noted that Vietnam continued its development trend in the second quarter of 2022. In the first six months of this year, the production sector recorded a 9.2 percent rise year-on-year. Based on its latest data and analysis of upcoming challenges, the report maintained its prediction for Vietnam’s GDP growth this year at 6.5 percent, and 7.6 percent in the third quarter of 2022. However, the bank experts held that a number of outside risks are challenging the country’s economic growth, including the Russia-Ukraine conflict . With an uncertain outlook from geopolitics, and the fact that domestic inflation continues to be managed, UOB believed that the State Bank of Vietnam has enough capacity to keep its policy interest rate stable to support economic recovery efforts./. VNA … [Read more...] about OUB maintains Vietnam’s GDP growth forecast at 6.5 percent

The central bank is seeking feedback on its draft circular that sets stricter conditions for real estate loans as a measure to mitigate speculation and risk of a bubble burst. If projects have not yet become legally eligible, there is a high possibility of customers and owners canceling the contract over the failure in acquiring needed permits. This will complicate commercial banks’ management of capital and potentially pose risks to the economy, the central bank argues. Le Hoang Chau, chairman of the Ho Chi Minh City Real Estate Association (HoREA), deemed the move "necessary", noting that loans are still allowed for projects that meet legal requirements. "The draft not only helps protect customers’ rights and benefits, but also build a healthier real estate market," Chau said. Tran Khanh Quang, director of property developer Viet An Hoa, estimated that around 20 percent of homebuyers pay their deposits with loans. The approval process for these loans have been tightened in … [Read more...] about No home loans against legally incomplete projects: central bank

In any case, public debt will not hit the limit of 65 per cent of GDP, said the Ministry of Finance Vietnam’s real GDP grew 5.03 per cent on-year in the first quarter of 2022, extending the 5.22 per cent pace in the last quarter of 2021 as the services sector rebounded after more parts of its economy were reopened with the relaxation of mobility and distance restrictions. The manufacturing sector continued to take the lead, and most significantly, the overall services sector expanded 4.58 per cent on-year, from 1.22 per cent in the previous quarter and 3.62 per cent in the first quarter of last year. It was clear that service activities were able to benefit from the lifting of COVID-19 restrictions imposed during the second half of last year. Recent data suggests that Vietnam’s underlying growth momentum remained intact in the second quarter of this year. The manufacturing sector continued to power on, registering a 9.24 per cent on-year gain in the first five months, from … [Read more...] about Vietnam steady but external risks weigh

Illustrative photo (Source: VNA) Hanoi (VNA) – The State Bank of Vietnam set the daily reference exchange rate for the US dollar at 23,089 VND/USD on June 22, up 2 VND from the previous day. With the current trading band of +/-3 percent, the ceiling rate applicable to commercial banks during the day is 23,781 VND/USD and the floor rate 22,396 VND/USD. The opening-hour rates at some commercial banks continued to drop. At 8:30 am, Vietcombank listed the buying rate at 23,065 VND/USD and the selling rate at 23,375 VND/USD, both down 5 VND from June 21. Meanwhile, BIDV kept both rates unchanged at 23,100 VND/USD (buying), and 23,380 VND/USD (selling)./. VNA … [Read more...] about Reference exchange rate up 2 VND on June 22

At some public hospitals in Vietnam, modern medical equipment, whose procurement was covered by the state budget or private firms, has been left idle, while patients are waiting for treatment. The situation will affect such patients and put them at a disadvantage if it lingers. The healthcare sector is facing difficulties as multiple healthcare officials, including the health minister , have faced criminal charges and been in detention for their wrongdoing in medical equipment procurement, suspending the purchase of medical equipment and medicines. Equipment has no fault As a case in point, two robots, named Mako and Rosa, had been used for joint and cranio-cerebral surgeries at Bach Mai Hospital in Hanoi since 2017. However, the two robots have been suspended and when they will be put to use again is unknown. These two robots are related to a price gouging case at the hospital whose former director was arrested along with many leaders and employees of the robot … [Read more...] about Modern equipment left idle at public hospitals in Vietnam