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http://vietnamnews.vn/economy/448754/reference-exchange-rate-climbs-to-start-week.html.....

Reference exchange rate climbs to start week

image: http://image.vietnamnews.vn//uploadvnnews/Article/2018/5/28/dau-1_WTCG907120806PM.jpg

dau-1_WTCG907120806PM.jpg
The trend for the reference exchange rate was mixed during the week from May 21 to 25. — Photo kienthuc.net.vn
Viet Nam News

HÀ NỘI — The State Bank of Việt Nam set the daily reference exchange rate for May 28 at VNĐ22,596 per US dollar, up seven Việt Nam đồng from May 25.

With the current trading band of +/-3 per cent, the ceiling rate applied to commercial banks during the day was VNĐ23,273 per US dollar, and the floor rate VNĐ21,929 per US dollar. 

Opening hour rates at commercial banks saw big increases. At Vietcombank, buying and selling rates went up 10 Việt Nam đồng to VNĐ22,755 per dollar and VNĐ22,825 per dollar, respectively. 

The rates listed at BIDV were adjusted up VNĐ20 from May 25, with buying rates standing at VNĐ22,760 per US dollar and selling rates at VNĐ22,830 per US dollar.

Techcombank raised both rates by VNĐ15, listing the buying rate at VNĐ22,735 and the selling rate at VNĐ22,835 per US dollar.

The trend for the reference exchange rate was mixed during the week from May 21 to 25, when the rate opened the week flat, but went up on Tuesday, down on Wednesday, up again on Thursday, and unchanged on the last working day of the week. 

The rates listed at commercial banks also fluctuated variably. They were up on Monday, down the next two days and, depending on banks, rose slightly or remained stable in the last two days of the week. — VNS


Read more at http://vietnamnews.vn/economy/448754/reference-exchange-rate-climbs-to-start-week.html#ZHyXQuWmVYsjA4dy.99

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looks like Vietnam does the same as China. Currency manipulation and keeping their currency artificially low for trade manipulation.

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I'm incredibly exhausted from work today so forgive me if this is a 'dumb' question, but this basically says the dong has gained strength against the dollar--correct? 

 

If so--then it's headed in right direction.. 

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http://vietnamnews.vn/economy/talking-shop/449000/exchange-rate-no-problem-for-viet-nam.html#kU8xCX5kVEoVjuzx.97........Exchange rate no problem for Việt nam.......

image: http://image.vietnamnews.vn//uploadvnnews/Article/2018/5/30/AnhPhamTienDung57354103PM.png

AnhPhamTienDung57354103PM.png
Phạm Tiến Dũng.
Viet Nam News

The exchange rate between the Vietnamese đồng and the US dollar has kept on rising significantly in recent weeks, which has surprised both investors and analysts in Việt Nam despite the economy’s stable development and historical-high foreign reserves. Việt Nam News reporter Nguyễn Hoàng Sơn discusses the issue with Phạm Tiến Dũng, deputy head of analysis and investment consultancy at Bảo Việt Securities Joint Stock Company

The exchange rate between the Vietnamese đồng and the US dollar has continued to rise in recent weeks. Some say that the VNĐ/USD exchange rate has reached its historical high. What do you think are the reasons for the ongoing increase in the VNĐ/USD exchange rate?

The VNĐ/USD daily reference exchange rate set by the State Bank of Việt Nam has been rising since the beginning of 2018, from VNĐ22,415 a dollar on December 31, 2017 to VNĐ22,605 a dollar on May 29, 2018 – equal to a 0.8 per cent increase. This is also the highest level for the daily reference exchange rate since it appeared on January 4, 2016. Meanwhile, exchange rates at local commercial banks have grown less than the daily reference exchange rate (0.5 per cent versus 0.8 per cent), though they have been more volatile.

The rise in the daily reference rate set by SBV in recent weeks comes mostly because the US dollar has gotten stronger in the global market since mid-April on the recovery of the US economy and the Fed’s rate hike policies. The USD Index rose to 94.8 points from its three-year low of 88.2 points on Wednesday and it has advanced 2.6 per cent since the start of the year. I think it is reasonable for the SBV to raise its daily reference exchange rate to meet the trend on the global markets. The adjustment of the relative exchange rate between the đồng and the dollar also makes sure Vietnamese exports are comparatively competitive on the international market. In general, the growth margin of the daily reference exchange rate is still narrow (below 1 per cent), so it has hardly caused significant negative impacts on Việt Nam’s macroeconomic conditions.

How will the increase in the exchange rate affect the Vietnamese economy? Which industries and sectors will benefit from that growth? And which ones will suffer?

The recent increase of the VNĐ/USD exchange rate is considered necessary to assure Vietnamese products are competitive, especially when many other currencies have become weaker against the US dollar. In the short term, exporting businesses will benefit from a stronger dollar as they receive payments in dollars while import businesses will suffer as they have to pay in dollar. Another type of business that can also suffer from a stronger dollar is those that make loans in dollars. In the middle and long term, if the exchange rate keeps rising, it will pull the prices of imports up too and impact Việt Nam’s trade balance and inflation.

There is also a possibility relating to macroeconomic instability that foreign investors may withdraw from Việt Nam given a stronger dollar against the đồng. However, the daily fluctuation of the exchange rate is still under control of the central bank. Việt Nam’s trade and capital balance have remained at a surplus in the first four months of the year, thus helping to increase the economy’s foreign reserves by more than US$10 billion to the historical high of nearly $63 billion. As the supply of foreign currencies is abundant, there are no signs of potential risks for the exchange rate in the remaining months of 2018.

Foreign investors have remained net sellers in Việt Nam in the last few weeks. Is that related to the movement of the VNĐ/USD exchange rate? Do you think net foreign selling will end soon?

The net foreign selling in the last few weeks can be explained by the following reasons. First of all, foreign investors have net-sold stocks through order-matching transactions in order to realise their profits after the Vietnamese stocks have kept rising since early 2017. Secondly, foreign investors have net-sold in frontier and emerging markets to switch focus onto other markets and assets because they want to restructure their investment portfolios after the Fed increased its lending rate – which has helped strengthen the US dollar against other currencies. Thirdly, open-end funds in Việt Nam need to shake off their investment lists to prepare for the listing and IPO of some large-cap businesses such as the high-end property firm Vinhomes and Techcombank.

However, net foreign selling has only appeared via order-matching transactions on the stock market. And if put-through transactions are counted, foreign investors are still considered net buyers with total net buy value of $1.5 billion reached in the first five months of the year. For example, Vinhomes debuted on the HCM Stock Exchange on May 17. In the following session on May 18, $1.35 billion worth of 268 million Vinhomes shares were traded via put-through transactions. Therefore, it is too early to confirm whether recent net foreign selling is related to the movement of the VNĐ/USD exchange rate.

After falling significantly in recent weeks, Vietnamese stock indices have dropped by 20 per cent and the local market’s price-to-earnings (P/E) ratio has declined from the previous 22 to 17 – the level that attracted foreign investors to net-buy stocks. With the stability of macroeconomic factors, incoming listing of large-cap firms may help put an end to foreign investors’ ongoing net selling trend. — VNS


Read more at http://vietnamnews.vn/economy/talking-shop/449000/exchange-rate-no-problem-for-viet-nam.html#3rIjToWzmkk4k8Wl.99

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On 5/29/2018 at 8:00 PM, climber7 said:

I'm incredibly exhausted from work today so forgive me if this is a 'dumb' question, but this basically says the dong has gained strength against the dollar--correct? 

 

If so--then it's headed in right direction.. 

 

BUMP

 

Any answers welcomed thanks! 

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1 minute ago, climber7 said:

 

BUMP

 

Any answers welcomed thanks! 

 

 

I have a hard time understanding or making heads or tails out of any of it to be honest. latest I had read was the NK/USA Summit could be a turning point to getting China to start to play fair which should/would force VN to do something.

 

Just another day but hey the Guru's are talking about $2.00 for the VND.....Whoopy

 

Karsten

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2 hours ago, Karsten said:

NK/USA Summit could be a turning point

 

Do you know when the summit is supposed to take place? 

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18 hours ago, blueskyline said:

June 12th

 

Me in the meantime while waiting for ANY currency to pop lol :drunk:

tenor.gif?itemid=9407552

 

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http://m.english.vietnamnet.vn/fms/business/202222/central-bank-of-vn-to-continue-flexibly-managing-monetary--fiscal-policies.html#ui=mobile....

Central bank of VN to continue flexibly managing monetary, fiscal policies

Last update: 23:45 | 11/06/2018

The State Bank of Vietnam (SBV) will continue managing monetary policy in an active, cautious and flexible manner and combine with other fiscal and macro-economic policies to control inflation, ensure credit institutions’ liquidity, stabilise monetary and foreign exchange markets. 

During a meeting in Hanoi on June 11 to announce banking activities in the first half, SBV Vice Governor Nguyen Thi Hong said the central bank will support monetary market stabilisation and direct interest rates that suit macro balances, inflation rate and monetary market, making it easier for credit organisations to reduce lending rates on the basis of ensuring safe operations, financial health and reducing bad debts. 

She added that outstanding loans have grown since early this year, targeting manufacturing and trade, especially in priority fields. As of May 31, credit went up 6.16 percent from the late 2017. 

Lending rates for priority fields have decreased, with State and commercial banks cutting about 0.5 percent per year in interest rates for consumers with good credibility. 

At current, interest rates of short-term loans stand at 6-9 percent while those of mid and long-term loans are about 9-11 percent. Those with high credibility and financial capability could enjoy rates of 4-5 percent per year. 

The SBV will also flexibly manage central rates, contributing to stabilising the macro economy. It bought a high amount of foreign currencies to raise foreign reserves, thus strengthening trust in Vietnamese dong. Gold market remains stable. 

It took a number of measures to speed up cashless payment and directed credit organisations apply technology in technical infrastructure in payment to enhance security and ensure consumers’ interests. 

As of late March, there were 17,887 operating automated teller machines (ATMs) and 278,768 points of sale (POS) nationwide, not to mention a huge volume of online transactions.-VNA

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http://www.xinhuanet.com/english/2018-06/12/c_137248380.htm......

Vietnam raises reference exchange rate

Source: Xinhua| 2018-06-12 12:22:06|
 
Eng_xhApp_v1.png
 

HANOI, June 12 (Xinhua) -- Vietnam's central bank on Tuesday adjusted up its reference exchange rate between Vietnamese dong and U.S. dollar by 8 Vietnamese dong to 22,575 Vietnamese dong per U.S. dollar.

With the current trading band of plus or minus 3 percent, the ceiling exchange rate is 23,252 Vietnamese dong per U.S. dollar, and the floor rate is 21,898 Vietnamese dong per U.S. dollar, said the State Bank of Vietnam.

Meanwhile, listed rates at big commercial banks in Vietnam were adjusted differently. Bank for Investment Development of Vietnam raised both rates by 5 Vietnamese dong, buying the greenback at 22,770 Vietnamese dong per U.S. dollar and selling at 22,840 Vietnamese dong per U.S. dollar.

Vietcombank kept both rates unchanged at 22,765 Vietnamese dong per U.S. dollar for buying and 22,835 Vietnamese dong per U.S. dollar for selling.

Last week, the reference exchange rates saw one up and three downs with total magnitude of 5 Vietnamese dong and 13 Vietnamese dong, respectively.

According to Vietnam's National Financial Supervisory Commission, the central exchange rate in late 2017 rose around 1.6 percent against early 2017, while the average rate offered by commercial banks decreased 0.2 percent, and on the free market dropped some 1.5 percent.

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Thxs to all for keeping this thread alive. Wish I could be more help with it but I do appreciate the contributors big and small.

 

  pp

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The SBV will also flexibly manage central rates, contributing to stabilising the macro economy. It bought a high amount of foreign currencies to raise foreign reserves, thus strengthening trust in Vietnamese dong. Gold market remains stable. 

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I haven't read all 9 pages of the thread..........MIT initially asked about a return on her purchase of 1 million VND at $54 USD...

 

If there was a revaluation to .02 cents USD that 1 million VND would be valued at $20,000 USD......

 

Of course there would be taxes and a spread on the exchange.....

 

There are differences in VN and Iraq...........VN has an internationally recognized currency and they are a sovereign nation......Iraq does not, is not.

 

Both countries, prior to the US getting involved in their lives had much higher exchange rates to the USD........VN was $2.00 plus.......Iraq $3.00 plus.........theoretically both counties could qualify for an RI......Reinstatement of those previous rates.

 

Iraq has oil........VN has become a vibrant manufacturing country.......the info I have says the 6th largest in the world today.

 

Iraq is trying to follow the old Saudi blue print.....to get rolling anyhow....oil, oil, oil...........VN follows the Chinese Manufacturing blueprint......manufacturing while keeping exchange rates low......giving them, like China an advantage in trade.

 

Might the VND be a good bet in your currency speculation investing equation??..........that's for you to decide.......CL

 

 

 

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5 hours ago, coorslite21 said:

Might the VND be a good bet in your currency speculation investing equation??..........that's for you to decide.......CL

 

Who knows, but always keeping the faith!! :confused2::praying:

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Been a long time since the VND has had any mention....Just a tid bit too bump this back to the top.

 

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

We did get a rate on the dong today, but the rates were all supposed to update last night.  ...the front screen rate on the dong was way more than we thought it would be, and the back screen was quite admirable as well.  ...The point is we are in the process

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Karsten

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2 minutes ago, md11fr8dawg said:

Be careful, that statement was made by Bruce the Goose so I am not sure how much credence I would put unto that news. JMHO.

Ya, I know but those fools are the only ones that mention the VND.....Just posted to get this thread back to the top.

 

Karsten

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http://www.thejakartapost.com/seasia/2018/07/27/vietnam-overtakes-malaysia-becomes-chinas-biggest-trading-partner-in-asean-.html..........

Vietnam overtakes Malaysia, becomes China’s biggest trading partner in ASEAN

  •  

    Vietnam News/ANN

Hanoi | Fri, July 27, 2018 | 11:47 am
Vietnam overtakes Malaysia, becomes China’s biggest trading partner in ASEANVietnam's Foreign Minister Pham Binh Minh (R) speaks as China's Foreign Minister and State Councilor Wang Yi (L) looks on during a press briefing at the Government Guesthouse in Hanoi on April 1, 2018. (AFP/Minh Hoang)
 

Vietnam has for the first time ever become China’s biggest trade partner in the ASEAN bloc, with two-way trade hitting over US$10 billion for every month of 2018.

In June 2018, China-Vietnam economic turnover hit $11.2 billion, dwarfing the $9.3 billion between China and Malaysia, which has held the title of China’s largest ASEAN trade partner for several years, said Economic and Commercial Counsellor of the Chinese Embassy in Vietnam Hu Suo Jin during a press conference held Thursday on bilateral economic ties.

In the first half of this year, bilateral trade grew by 28.8 percent compared with the same period last year, higher than the 15.5 percent growth rate achieved between China and Malaysia, the runner-up in the ASEAN bloc.

Hu Suo Jin stressed that this has been the “historic best period” in economic ties between the two countries, and Vietnam’s trade deficit with China is being worked on by both countries’ agencies.

The Chinese embassy’s trade official also said it has worked with border provinces’ authorities to facilitate the import of Vietnamese agricultural produce into China.

“The reported jams at the border gates were not due to a lack of policy mechanisms by the two countries’ authorities, but simply due to overwhelming growth rate of commodity exchange between China and Vietnam,” Jin said.

Charge d’affaires of the Chinese Embassy in Vietnam Yin Haihon also announced that there will be several high-level visits made in the latter half of the year, and pledged that the embassy will do its best to encourage capable Chinese enterprises to invest in Vietnam.

Thermopower concerns

Also present at the press conference, Chen Lienqing, a representative from the State-owned China Southern Power Grid (CSG), responded to press queries on recent reports of black smoke billowing out of the chimney of Vĩnh Tân 1 thermopower plant in the southern province of Bình Thun.

CSG, the main investor of the $1.75 billion power project in Vietnam, said the phenomenon was the result of blowing highly compressed air to clean the chimney, before the trial run of the second unit.

“It’s also not smoke and it does not contain any toxic substances. The residue inside the chimney was blown up to 30m but quickly fell down to just 10m around the chimney and was quickly collected,” Chen said.

On account of the black smoke, Bình Thun Province People’s Committee on Wednesday asked Vĩnh Tân 1 power plant to suspend its trial runs of the second unit, saying that the plant has not notified the Ministry of Environment and Natural Resources or local authorities of its operation plan.

According to the province’s authorities, the trial runs will only be resumed once the environment ministry acknowledges that the plant’s environment protection facilities are working in order.

Provincial authorities also demanded the Vĩnh Tân company submit a detailed plan on its treatment of ash and slag in line with Ministry of Industry and Trade (MoIT) guidelines – which include planting trees around the tightly sealed ash impoundment sites and cleaning of ash on trucks going in and out of the plant.

CSG’s representative reiterated that the Vĩnh Tân 1 power project is the first to have been built by a Chinese investor under the Build-Operate-Transfer (BOT) model, after 25 years of operation, the power plant will be transferred to the Vietnamese Government.

All environmental protection measures have been carried out “at the highest standards set by the two countries” since its construction and the company “welcomed” inspection and monitoring by concerned authorities and local media, Lienqing said.

Coal-fired thermopower plants are receiving mounting criticisms around the world over their environmental impact.

Vĩnh Tân 1 company, however, claimed that it uses Vietnam’s high purity anthracite coal, which generates 20,000 tons of carbon dioxide less than other thermopower plants.

The 1,240MW Vĩnh Tân 1 is expected to generate more than 7.2 billion kWh of electricity per year, increasing the southern region’s electricity supply capacity and helping reduce its dependence on hydropower, especially in the dry season or during droughts


 

 

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