Vietnam's reference exchange rate gains 7 VND as week begins

Vietnam's reference exchange rate climbed 7 VND per US dollar at the beginning of the week, reversing a downward trend seen in recent trading sessions. The State Bank of Vietnam set the reference rate higher as markets opened, offering support to the Vietnamese currency after a period of weakness.

Under the current managed float system, the central bank establishes a trading corridor that allows commercial banks to operate within set parameters. The ceiling rate, at which banks can sell US dollars to customers, stood at 26,925 VND per dollar, while the floor rate for dollar purchases was pegged at 24,361 VND, based on the prescribed band of plus or minus 5 percent.

The movement follows a softer tone earlier in the week, with the reference rate falling 3 VND on September 30 before edging back up on October 2. These fluctuations reflect ongoing adjustments in Vietnam's foreign exchange market as the central bank carefully manages the dong's value against external pressures and domestic economic conditions.