Speaking at the government’s regular press conference on March 4, Deputy Governor Pham Thanh Ha of the State Bank of Vietnam outlined the country’s monetary policy direction amid increasing global uncertainty.
Ha said the world economy has faced a series of unpredictable developments since the start of 2026, placing significant pressure on domestic monetary management.
Escalating military tensions in the Middle East have pushed global oil prices sharply higher, rising by about 8-13 per cent in just a few days. The surge has intensified inflationary pressure worldwide and affected inflation expectations, creating challenges for monetary authorities, including in Vietnam.
“These developments have placed pressure on the exchange rate and the domestic money market,” Ha said.
During the first three days of the week, the USD/VND rate edged up compared with the end of 2025. By midday on March 4, the average interbank exchange rate stood at about VND 26,220 per USD.
Following government directives, the state bank has implemented monetary policy in a proactive, flexible and timely manner, focusing on inflation control, macroeconomic stability and sustainable growth.
Deputy Governor of the State Bank of Vietnam Pham Thanh Ha provides information on solutions to ensure sufficient capital supply for the economy while maintaining interest rate stability on March 4 (Photo: VGP).
Authorities have coordinated policy tools including interest rates, open market operations and liquidity management to ensure smooth payment flows across the economy, particularly during periods of high demand.
Interest rates in the market have remained broadly stable and continue to move in line with supply and demand for capital. Lending rates for new loans have continued to decline compared with 2025, helping businesses access financing at more reasonable costs.
Credit growth across the banking system has also shown positive momentum. As of February 26, total outstanding loans reached about VND 18.86 quadrillion (about USD 740 billion), up 1.4 per cent from the end of 2025 and 20.18 per cent year on year.
Regarding exchange rates, Ha said movements in the USD/VND rate since the start of the year have remained relatively flexible and consistent with market conditions. Foreign currency demand for production, business operations and payments has been fully met.
By the end of February, the average interbank exchange rate stood at VND 26,044 per USD, about 0.94 per cent lower than at the end of 2025, reflecting a relatively abundant foreign currency supply.
The state bank said it will continue to manage monetary policy proactively and flexibly while coordinating closely with fiscal policy and other macroeconomic measures.
The focus remains on maintaining macroeconomic stability, controlling inflation and supporting sustainable economic growth.
Authorities will continue monitoring market developments when adjusting interest rate policy and require credit institutions to maintain transparency in lending rates.
On the exchange rate, the central bank said it will continue to manage the market flexibly using a combination of monetary tools to stabilise the foreign exchange market and ensure smooth liquidity.
Credit policy will prioritise safe and effective growth, directing capital towards production, business activities and key economic sectors while tightly controlling lending to high-risk areas. Banks will also be asked to simplify procedures and expand digitalisation to make financing more accessible for businesses and the public.
