Vietnam inflation likely to ease from end q2/2011, double digit for whole year

Vietnam consumer price index (CPI) will only start falling from the end of the second quarter of this year due to government policies lag, the analyst with local financial website NDHMoney forecast.

The government’s Resolution 11 has been really working and Cutting aggregate demand policy is “specific” for high inflation situation, the analyst cited Nguyen Tien Thoa, the Ministry of Finance’s Head of Price Management Department as saying.

It is expected that the aggregate demand in 2011by VND110 trillion including VND50 trillion on lowering credit growth target to 20% and VND60trillion as a result of tightening monetary and fiscal policies, Thoa said on late February.

Vietnam’s inflation accelerated at its fastest pace in almost two and a half years in April, ramping up pressure on one of Asia’s most troubled economies and suggesting further efforts to rein in prices could be in the works.

Vietnam CPI soared by 3.32% from March and 17.51% on-year, the General Statistics Office of Vietnam said on April 24, further casting doubts on the ability of authorities to cap inflation at 7% this year.

Vietnam inflation appears to slow down but still at the double-digit figure this year, lower than the 11.75% increase of 2010, NDHMoney forecast. – Stoxplus.com

Tags: , , ,

Posted by VBN on Apr 25 2011. Filed under Economy News. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

You must be logged in to post a comment Login

Stay informed everyday

Subscribe to free RSS and email updates from Vietnam Business News

Subscribe via Email Subscribe in a Reader Follow us on Twitter Connect on Facebook

RSS China Business News

  • Cathay Fin to tap mainland asset management market
  • CITIC Bank to cut property loans by a third
  • China’s bank forex surpluses grow faster
  • Chinese banks can meet tougher standards: Official
  • China to see full-year trade surplus in 2011: vice minister
  • China to engage more in South-South cooperation: ADB president
  • China may expand property curbs to more cities
  • China to keep stabilizing prices a top priority