The decline was seen in the context of the country’s abundant dollar supply source, while having no demand pressure. Vietnam’s foreign reserves hit record high of more than 57 billion USD till February 6, according to the State Bank of Vietnam (SBV)’s Governor Le Minh Hung.
State-owned Vietcombank on February 8th listed the dollar at VND22,650 and VND22,720 for buying and selling, respectively, down VND10 against the previous day and VND25 from February 5th.
BIDV also cut the buying and selling rate by VND25and VND15 to quote the dollar at VND22,650 and VND22,730, respectively, while the decreasing rate at Vietinbank is VND9to VND22,652 for buying and VND22,722 for selling.
The same move was also seen at joint stock commercial banks, with a decrease of VND15-25 per dollar.
ACB devalued the dollar by VND20 against the previous day to VND22,650 for buying and VND22,720 for selling, while Techcombank listed it at VND22,650 and VND22,740 for buying and selling, respectively.
The SBV on February 7th also set the daily reference exchange rate at VND22,435 per dollar, down by VND10 from the previous day.
With the current trade band of /- 3 percent, the ceiling rate applied to commercial banks during the day is VND23,108 and the floor rate is VND21,762.
In the global market, the dollar was supported after a budget deal in Washington, rising against a broad range of currencies. US congressional leaders reached a two-year budget deal on February 7th to raise government spending by some USD300 billion.
The dollar index rose to a two-week high of 90.403 on February 7th and last stood at 90.251./.