HÀ NỘI — The USD/VNĐ exchange rate has seen notable developments in the first month this year when it increased significantly in both official and free markets. However, analysts from KB Securities Company (KBSV) believe the recent increase in the USD/VNĐ exchange rate has not forced the SBV to intervene to stabilise the exchange rate. The interbank exchange rate is also still far from the SBV’s selling rate of around VNĐ25,187 per dollar. In case the USD/VNĐ exchange rate increases more than 3 per cent from the beginning of this year - corresponding to Dollar Index (DXY) around 108 - KBSV believes that the possibility of the SBV intervening to stabilise the exchange rate is feasible. In addition, the Fed's interest rate cut this year will help narrow the negative interest rate gap between dollar and đồng.

Source: Viet Nam News January 31, 2024 12:16 UTC