Vietnams Base Rate Fore to Fall Slightly
The State Bank of Vietnam (SBV), the central bank, is expected to lower the base interest rate in coming months amidst positive signals of inflation.
The central bank continues to maintain the base rate of 14 per cent per annum in July, the paper cited Ho Huu Hanh, director of the SBV&rsquos Ho Chi Minh City Branch, as saying.
However, the rate will be likely cut down slightly because inflation is fore to be curbed, the official said.
The SBV has raised the base rate three times so far this year with aim to control inflation.
Most recently, the central bank boosted the rate from 12 per cent to 14 per cent in June, when the consumer price index (CPI) hovered to 26.8 per cent on year.
Haruhiko Kuroda, President of Asian Development Bank, told the SBV Governor Nguyen Van Giau at the Global Meeting on Emerging Markets Convenience that Vietnam&rsquos fiscal and monetary tightening measures had been appropriate and the country could rein inflation.
Prime Minister Nguyen Tan Dung said during the visit to the U.S last week that the government will strive to cut the inflation single-digit level in 2009. (Laborer, Young People)
Vietnamese
