Vietnam: Surprise Rate Hike Supports Our Core View

November 2010
Emerging Markets Monitor;11/15/2010, Vol. 16 Issue 31, p8
Country Report
The article presents a Business Monitor International (BMI) forecast for Vietnam in 2011, with particular focus on the surprise rate increase made by the State Bank of Vietnam on November 5, 2010. The move of the state bank is described as a desperate attempt to boost the deteriorating confidence in the country's currency and divert speculation of further devaluations. The rising prices of food and fuel are still considered key risks for the growth of the inflation rate.


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