Vietnam dong strengthens after dollar deposit rate caps cut
Published: 03/06/2011 05:00
Vietnam’s dong gained against the US dollar on Thursday after the central bank reduced interest rates for dollar deposits to support the local currency. Government bonds rose. The State Bank of Vietnam lowered the rate cap on dollar deposits by individuals to 2 percent from 3 percent, and cut the limit for institutions to 0.5 percent from 1 percent, it said in a statement posted on its website Thursday, without saying when the change is effective from. The central bank on Wednesday ordered lenders to set aside more dollars as reserves for the second time in less than two months. “I expect to see mounting selling pressure on the dollar as people will continue to switch from dollar to dong deposits, which should continue to push the dong,” said Francois Chavasseau, head of fixed-income research at Sacombank Securities Joint-Stock Co. in Ho Chi Minh City. The dong rose 0.2 percent to 20,550 per dollar as of 4:53 p.m. Thursday in Hanoi, according to data compiled by Bloomberg. The yields on the benchmark five-year bonds fell five basis points, or 0.05 percentage point, to 12.75 percent, according to a daily fixing from banks compiled by Bloomberg. The State Bank of Vietnam yesterday increased the reserve- requirement ratio on U.S. dollar deposits by 1 percentage point to a range from 4 percent to 7 percent, effective this month. It has also ordered state-owned firms to sell all the foreign currency they collect to banks from July 1. The central bank set the reference rate at 20,638 today, unchanged from yesterday, its website showed. The currency is allowed to trade up to 1 percent on either side of the official rate. Source: Bloomberg |
Provide by Vietnam Travel
Vietnam dong strengthens after dollar deposit rate caps cut - Business - News | vietnam travel company
You can see more
- Vietnamese airlines plan to expand new international flights
- Kien Giang promotes tourist attraction
- Giant projects heat Phu Quoc Island’s property market
- AirAsia plans Vietnam venture on Southeast Asia travel boom
- Ho Chi Minh City targets tourism revenue of $5.3 billion
- Vietnam active in G20 senior official meeting in Germany
- Banks struggle to raise capital
- Vietnam Airlines inks tourism promotion deal, Hai Phong City
enews & updates
Sign up to receive breaking news as well as receive other site updates!
- This is a great way to allow guests to have a relaxed style of eating
- Selecting the ultimate pans and Asian woks for home kitchen
- 12 Days Cycling From Vietnam to Laos
- Why You Should Cycle To Cuc Phuong National Park?
- The places to come at night in Saigon
- Top 10 Must-see Sights In Hanoi, Vietnam
- The Most Wonderful Destinations In Sapa
- Best Cycling Tour Routes In Vietnam – One-of-a-kind Travel Experience
- Why should you join Ultimate Odyssey’s Hanoi countryside cycling tour?
- Cao Lầu – Hoi An style noodle with pork and greens
-
vietnam travel
http://www.vietnamtourism.org.vn " Vietnam Tourism: Vietnam Travel Guide, Culture, Travel, Entertainment, Guide, News, and...
-
Vietnam Tours
http://www.minmaxtravel.com/ " Customize & Book Vietnam tours, Cambodia tours and Laos tours with Travel Experts. Read...
-
Vietnam culture, culture travel
http://travel.org.vn " Vietnam culture
-
Halong Bay Vietnam
http://www.visithalongvietnam.com/ " Halong Bay Vietnam, visit halong vietnam, all cruise in Halong bay,
-
Vietnam travel, vietnam travel news, vietnam in photos
http://www.nccorp.vn " Vietnam travel, vietnam travel news, vietnam in photos
-
Vietnam tourism
http://www.vietnamtourism.org.vn " The official online information on culture, travel, entertainment, and including facts, maps,...