Foreign expert highlights Vietnam's effective inflation control

According to details given by the expert, SBV and Vietnamese management agencies have competently responded to the adverse impacts of COVID-19 pandemic, therey contributing to keeping rising inflation in check.

He made this assessment at an international conference recently held for young researchers in economics and business.

In Vietnam, the SBV recently moved to increase the operating interest rate by an additional 1%. This took effect as of October 25 as part of efforts to curb inflation, stabilise the macro-economy, and ensure the safety of the banking system as a whole.

Prof. Dr. Hauskrecht of the Kelley School of Business at the Indiana University in the United States emphasized that the country has done a competent job in handling inflation, highlighting the SBV’s recent decisions. He noted that inflation, especially core inflation in Vietnam, remains both low and stable.

He went on to assess that the country still has room to introduce additional economic stimulus measures until the US Federal Reserve (FED) begins to change monetary policy and reduce interest rates.

He therefore recommended that the nation keep interest rates stable whilst maintaining fiscal and monetary policies in a reasonable and prudent manner in the immediate future.

According to information given by the General Statistics Office, the nation was part of a group of the countries with a low inflation rate of 2.73% during the initial nine months of the year.

Meanwhile, the inflation rate in European countries, the US, and some Asian countries such as Thailand and Indonesia have increased sharply, with the figure in the US reaching 8.3% during the reviewed period.

International organisations have recently expressed their optimism for Vietnamese economic prospects moving forward.

According to the World Bank (WB)'s forecast last month, the Vietnamese economy will grow by 7.2% this year, the highest figure throughout East Asia.