Foreign currency balance in banking system maintains positive, SBV says

The State Bank of Vietnam (SBV), the country’s central bank said in its report on Sept. 30 that in the past week, the country’s foreign exchange market continued its steady development as the balance of foreign currency in the banking system continued to maintain a positive level.
According to SBV’s report, the trading value on the interbank market slightly increased 11.2%.

The dong/US dollar exchange rate of commercial banks was about 20,830 dong (bid) – 20,834 dong (ask).

Thoi Bao Kinh Te Saigon (Saigon Economic Times) newspaper on Sept. 29 said that last week alone, the State Bank sold US$150 million to stabilize the exchange rate.

Earlier, Reuters cited the data from the central bank as saying that in three weeks from mid-August 2011, the central bank sold $1.5 billion to support the weakened domestic currency. Meanwhile, a source from VTV.vn said that the sale of US$1.5 billion was to provide foreign currency for imports of gold during the gold fever back in August.

SBV repeatedly affirmed that in the last months of this year, this agency would operate the exchange rate towards the stability, with a fluctuation of less than 1%. The central bank confirmed that it is willing to sell out dollars to intervene the forex market when necessary to support the exchange rate stability.

The State Bank on Sept. 30 continued keeping the exchange rate unchanged at 20,628 dong/US dollar for the 32rd consecutive session.
Source: Vietbiz24.com

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial

Posted by VBN on Sep 30 2011. Filed under Banking-Finance. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry