Year-end exchange rates to be VND22,000/USD: Standard Chartered

The USD exchange rates would be VND22,000 at end-2011, the local newswire Doanh Nhan (doanhnhan.net) quoted Tai Hui, Regional Head of Research, South-East Asia of Standard Chartered Bank.

The USD exchange rates would be VND22,000 at end-2011, the local newswire Doanh Nhan (doanhnhan.net) quoted Tai Hui, Regional Head of Research, South-East Asia of Standard Chartered Bank, saying that dollars would depreciate against most Asian currencies in 2012, except for Vietnamese dong.

Vietnam still experienced current account deficits despite continuous exchange rate adjustments over the years, Hui said, adding that low foreign currency reserve presented further depreciation possibility of the domestic currency.

In current circumstance, if the central bank is forced to adjust the exchange rates, the agency will have to make adjustments in line with market expectations, Hui said, suggesting that the central bank needs to manage local public expectations to avoid large-scale exchange rate adjustments and stabilize the local forex market.

Source StoxPlus

Tags: Vietnam banking industry, Vietnam finance, Vietnam financial

Posted by VBN on Nov 4 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