The dong has continued to peak against the US dollar since the foreign exchange trading band was widened to plus-or-minus 5 per cent.
State Bank of Viet Nam data showed that banking activities in foreign currency were stable last week.
The interbank rate yesterday, September 14, was VND16,984 to the dollar, only VND5 below the previous record set back on December 25 when the trading band was loosened to plus-or-minus 3 per cent.
Vietcombank, meanwhile, continued to list its public buy/ sell prices for dollars at VND17,833, while Sacombank was quoting rates of VND17,831/17,833.
The General Statistics Office has reported that the dollar rose 8.95 per cent in August compared to the same month a year ago.
"A more expensive dollar would help stimulate exports, as well as reflect the increasing demand for greenbacks from commercial banks," said an economist affiliated with an NGO, who asked to have his name withheld.
"The previous 3-per-cent trading band helped limit speculation in dollars, making the trade less profitable," he said.
"Instead, enterprises and people held onto dollars as savings, marking it harder for commercial banks to supply enough dollars in the latter half of this year," he said.
This economist said that a higher dollar price would help reduce the pressure of dollar demand on the market but could cause further speculation.
State Bank of Viet Nam data showed that banking activities in foreign currency were stable last week. State-owned banks were offering short-term loans in US dollars at interest rates of 3.5 to 4 per cent a year, rates at private commercial banks were 4-6 per cent.
State Bank of Viet Nam data showed that banking activities in foreign currency were stable last week.
The interbank rate yesterday, September 14, was VND16,984 to the dollar, only VND5 below the previous record set back on December 25 when the trading band was loosened to plus-or-minus 3 per cent.
Vietcombank, meanwhile, continued to list its public buy/ sell prices for dollars at VND17,833, while Sacombank was quoting rates of VND17,831/17,833.
The General Statistics Office has reported that the dollar rose 8.95 per cent in August compared to the same month a year ago.
"A more expensive dollar would help stimulate exports, as well as reflect the increasing demand for greenbacks from commercial banks," said an economist affiliated with an NGO, who asked to have his name withheld.
"The previous 3-per-cent trading band helped limit speculation in dollars, making the trade less profitable," he said.
"Instead, enterprises and people held onto dollars as savings, marking it harder for commercial banks to supply enough dollars in the latter half of this year," he said.
This economist said that a higher dollar price would help reduce the pressure of dollar demand on the market but could cause further speculation.
State Bank of Viet Nam data showed that banking activities in foreign currency were stable last week. State-owned banks were offering short-term loans in US dollars at interest rates of 3.5 to 4 per cent a year, rates at private commercial banks were 4-6 per cent.