Vietnam’s monetary system remained under pressure on 2 July, with no new central bank liquidity support and widening black market FX spreads, highlighting continued strain on the dong, according to the latest data from the State Bank of Vietnam.
Key details:
- No T-bill issuance and no new repos were conducted, showing a restrictive stance from the State Bank of Vietnam.
- The central exchange rate was set at 25,070 dong per US dollar, up 12 dong from the previous day, signalling mild devaluation pressure.
- The Google Finance mid-market rate rose to 26,170 dong, up 40 dong from yesterday, reflecting further market-based weakening.
- In the black market, the buy rate was 26,390 dong and the sell rate 26,450 dong, with a mid-market rate of 26,420 dong.
- The spread between the black market mid-rate and Google mid-market widened to 250 dong or 0.96 percent, indicating strong dollar demand and parallel market stress.
- Interbank interest rates stayed elevated: overnight at 4.84 percent, one week at 4.97 percent, two weeks at 4.49 percent, one month at 4.04 percent, three months at 5.01 percent, and six months at 4.75 percent.
The data highlights Vietnam’s careful balancing act between defending the dong and maintaining system liquidity.
By halting repos and keeping T-bill issuance at zero, the State Bank signals a clear focus on currency stability even at the cost of higher domestic funding pressure.
The widening spread suggests ongoing dollar hoarding and potential capital outflows, signalling possible upward pressure on credit costs and broader financial market tension in the coming weeks.
See also: How Low Can the Vietnamese Dong Go? Why it’s Sliding & What Might Happen Next