BizLIVE - The Vietnamese central bank continues to build up its reserve fund to cushion external shocks.
Vietnam’s Forex Reserves Rise to New High of $53 Billion
Local people drive past the headquarters of the State Bank of Vietnam on March 23, 2017, Hanoi. Photo: Minh Tuan/BizLIVE
The State Bank of Vietnam (SBV), the country’s banking regulator, net bought over $1 billion worth of hard currencies to bring its forex reserves to over $53 billion, marking a fresh record in history.
SBV Governor Le Minh Hung made the revelation at a banking conference attended by Prime Minister Nguyen Xuan Phuc in Hanoi on January 9, VnEconomy reported.
The size of the country’s forex reserves has been on the rise since late 2017.
SBV Deputy Governor Nguyen Thi Hong on December 27 said that the bank’s forex reserves had hit $52 billion, meaning the SBV had net purchased some $13 billion during the year.
Last week, SBV Governor Le Minh Hung announced that the fund reached $52.5 billion and the figure has now topped $53 billion.
Foreign direct and indirect investment, inbound remittances and locals shifting holdings in USD to the Vietnamese dong have been major sources of supply of foreign currency.
Thai Beverage had paid $4.84 billion to the Vietnamese government by end-2017 after winning a bid to acquire a 53.59% stake of Sabeco, the country’s biggest beer maker.