This morning, 3/7, the State Bank of Vietnam announced the central exchange rate at 25,091 VND, an increase of 21 VND compared to yesterday. With a 5% margin against the central rate, commercial banks are allowed to buy and sell USD within the range of 23,837 - 26,345 VND.

Commercial banks also raised the USD price to the ceiling, which is also a new record. Vietcombank listed the exchange rate at 25,975 - 25,345 VND. At BIDV, the USD price this morning rose to 26,006 - 25,345 VND. Eximbank listed the USD price around 25,990 - 26,345 VND. Thus, the USD price at banks has now increased by more than 3.1% since the beginning of the year.

In the free market, foreign exchange bureaus listed the buying and selling price of USD around 26,370 - 26,470 VND per USD.

The USD Index, which measures the strength of the greenback, is currently fluctuating around 96.9 points, 10% lower than at the beginning of the year.

Experts explain that the short-term weakening of the Vietnamese dong stems from increased foreign currency demand from businesses and pressure from expectations of poor growth due to the impact of tariffs.

However, according to VDSC, in the second half of this year, the balance of foreign currency supply and demand will remain strained as the trade surplus has gradually decreased in recent months. Foreign investment flows may shift when the tariff issue becomes clearer and growth pressure leads to the promotion of credit and public investment. Concerns about future inflation expectations will increase the demand for USD hoarding.

Quynh Trang