US Treasury continues not to list Vietnam as currency manipulator

The headquarters of the State Bank of Vietnam in Hanoi (Photo: VNA)

Hanoi (VNA) – The US Department of the Treasuryhas continued not to list Vietnam as a currency manipulator in its latestsemi-annual report on the macro-economic and foreign exchange policiesof major trading partners of the US, the State Bank of Vietnam (SBV)said on November 8.

The report continued to base on three criteria to make assessments,namely trade surplus with the US, current account surplus, and persistent andone-sided intervention in the foreign currency market.

TheUS Treasury included six economies in the monitoring list of major tradingpartners, namely China, Germany, Malaysia, Singapore, Taiwan (China), andVietnam.

Vietnammet two of the three criteria which are the bilateral goods and servicessurplus with the US (105 billion USD over the four quarters through June 2023,exceeding the threshold of 15 billion USD), and the current account surplus (at19 billion USD, equivalent to 4.7% of GDP over the four quarters through June2023, exceeding the threshold of 3% of GDP). Therefore, it was named in themonitoring list.

The US Treasury has highly valued Vietnam’s governance of the monetary policy and foreign exchange rates. (Photo: VNA)

TheSBV said that at its recent meetings with the central bank, the US Treasury highlyvalued Vietnam’s governance of the monetary policy and foreign exchange rates,which showed the Southeast Asian country’s seriousness in addressing the USside’s concerns and maintenance of the stability of the financial and monetarymarkets and the macro-economy amid numerous difficulties and challenges.

Inthe joint statement on the elevation of bilateral relations to the comprehensivestrategic partnership, the US appreciated Vietnam’s ongoingefforts to further modernise and enhance the transparency of its monetarypolicy and exchange rate management framework, to promote macro-economicstability and to ensure the safety and soundness of the banking system.

Onthe basis of the two countries’ comprehensive strategic partnership, the SBVwill continue coordinating with ministries and sectors to keep closecooperation and establish channels for frequent and effective communicationswith the US Treasury, thereby helping promote mutual understanding,cooperation, information sharing, and timely settlement of issues of commonconcern, the central bank added./.

VNA