Vietnam's central bank will let the dong fall 3 percent against the dollar from December 25 in interbank transactions, a state-run newspaper quoted Governor Nguyen Van Giau as saying on Wednesday. The mid-point will be 16,988 dong per dollar on Thursday, from 16,494 dong on Wednesday.
While the daily trading band remains unchanged at 3 percent either side of the mid-point, Giau was quoted by the Vietnam Economic Times newspaper as saying. The dong could fall to 17,497 per dollar on Thursday in interbank quotations, from 16,989 dong per dollar on Wednesday, Giau told a news conference in Ho Chi Minh City, to which foreign media were not invited.
The government has told the central bank "to flexibly adjust the exchange rate following market signals, encourage exports, control imports, stabilise the macro economy and strive to manage the international balance of payment without facing a deficit," Giau said.