The State Bank of Vietnam set the daily reference exchange rate at 23,046 VND per USD on May 8, up 6 VND from the previous day (May 7) and the highest level ever. 

 

With the current trading band of +/- 3 percent, the ceiling rate applied by commercial banks for the day is 23,737 VND/USD and the floor rate is 22,355 VND/USD.

 

The opening hour rates at commercial banks also rose strongly. 

 

At 8:15 am, Vietcombank listed the buying rate at 23,275 VND per USD, up 40 VND from May 7 and the selling rate at 23,395 VND per USD, up 50 VND. 

 

BIDV also raised the buying rate by 40 VND to 23,280 VND/USD and added 60 VND to the selling rate to 23,400 VND/USD. 

 

Techcombank increased the buying rate by 40 VND to 23,255 VND/USD and the selling rate by 60 VND to 23,395 VND/USD. 

 

As such, the daily reference exchange rate has gained a total 16 VND since the beginning of the week (May 6), and the listed rates at commercial banks also picked up by 40-60 VND after staying stable for many days. 

 

According to analysts at Bao Viet Securities Company, the rise is attributable to the US dollar gaining strength from most other currencies.

 

Besides, the State Bank of Vietnam has bought a large volume of US dollars, with 8.35 billion USD net bought as of April 18, which put pressure on the exchange rate.  

 

However, the company still believes that the exchange rate at commercial banks will be stable with the local currency’s depreciation kept under 2 percent, considering the country’s high foreign exchange reserves and the State Bank’s ability to control the exchange rate. –VNA