Government aims to keep tight rein on inflation next year

Hue also Head of the National Committee on Price Management, said ministries and sectors have successfully managed prices of essential goods while asking the Ministry of Finance to improve the efficiency of public spending and investment.

The State Bank of Vietnam (SBV) was urged to apply flexible monetary, and interest rates, credit policies matching market developments, and core inflation increase of 1.6% to 1.8%, while ensuring credit quality to prevent monetary fluctuations.

The Deputy Prime Minister asked ministries and sectors to provide the media with accurate information to avoid pressure on the market.

According to a report released at the conference, the country’s consumer price index (CPI) in 2017 was estimated to grow by 3.52% against last year, fulfilling the target of keeping the inflation rate below 4% for the whole year.

Major reasons behind the CPI rise include price hikes of health care and education services, fuel and construction materials as well as an increase in regional minimum wage, it said.