TaiLieuDaiHoc com
particularly the CNY and GBP
tải về 13.46 Kb.
|
- Điều hướng trang này:
- TaiLieuDaiHoc.com
particularly the CNY and GBP. • Foreign currency demand pick-up may increase again by seasonal factor to meet year-end payment demand and FED's ability to raise interest rates in to diverse itself, both scale and depth. Mean while, the foreign exchange management in VN still considered to be inadequate. For the current transaction, VN has removed regulation in transforming foreign exchange and payment but still regulation in files and documents which are really complicated. Modern transaction such as internet banking, card payment, don’t have any regulation, also guide of how to use these product. Inconvenience also shown in funding transaction, documents for this problem is decree no 63/NĐ – CP from the government have been established for 7 years. The contents are not in details. After being accepted to follow the term VIII by IMF. Regulation about freedom in current transaction will be important condition for VN in joining WTO. On the other hand, need flexible regulation about foreign exchange market with subject participate in the market and market’s tools. Funding transaction should be emphasized in management through cash flow in and out of foreign account open by bank. CHAPTER 2: : Vietnam’s management measures in cotrolling foregin exchange market Domestic currency devaluation: includes government interventions so that the domestic currency becomes less valued. - Domestic currency appreciation: includes government interventions so that the domestic currency becomes more appreciated. - Exchange rate behavior to a certain degree is the maintenance behavior of the government to maintain a stable exchange rate. - Do not intervene, let exchange rates fluctuate freely according to market supply and demand. It includes some tools like: rediscount rates, tariffs, qoutas, prices,… in which rediscount rates are most commonly used. - - Rediscount Rates: Central Bank increases rediscount rate will effect on market interest rate; when the market interest rate raises, foreign currency capitals run into to make domestic currency increases. And when rediscount rate decrease, the domestic currency will fall down. Tariffs: High tariff will makes limit import, the foreign currency demand also decrease, leading to domestic currency increase. Low tariff has opposite effect. - Qoutas: Have the same effect like tariff Prices: Through the price, Government can support price for strategic exports goods or in early stages of production. Export subsidies help increase export volume and domestic currency raises. Besides, government price subsidies for necessary goods import, it makes domestic currency decrease. In addition to, government also has other measures: - Adjusting the reserve requirement ratio in foreign currency for commercial banks The ceiling interest rate regulation is less attractive to deposits in foreign volatile or fluctuations, countries often use the exchange stabilization fund as one of the tools to adjust the exchange rate. The source of funds for the formation of the exchange stabilization fund may be: - Issue treasury bonds in national currency. - Use gold to fund exchange stabilization. 4 Currency devaluation tool: - Devaluing a currency is raising or lowering the purchasing power of that currency relative to other currencies. The result of currency devaluation will directly affect the increase or decrease of the exchange rate. Devaluing the currency is a powerful and extreme measure that is used only in rich economies but is confronted with the economic downturn coupled with increasingly severe inflation or the lost balance of payments. - In Vietnam, we have only done a low level of currency depreciation. We are still trying to use all other possible measures to manage the exchange rate before using the devaluation tool. Recently the VND has been under pressure to depreciate and many economists have suggested using this tool in the current Vietnamese economy. Vietnam's exchange rate mechanism from 1989 to 2013 Time Before 1989 Mechanism of application Multiple rate regime Crawling bands market rates.
USD (February 16th 1998) and 12,998VND / USD (August 7th 1998) - The OER announced the interbank average on the previous day (February 28th, 1999) - Exchange rates at commercial banks dropped to no more than 0.1%. - OER is fixed at 14,000VND / USD - OER was gradually adjusted from 14,000 VND / USD in 2001 to 16,100 VND / USD in 2007. - The exchange rate band at commercial banks was adjusted to +/0.25% (from July 1st 2002 to December 31st 2006) and +/- 0.5% in 2007 - OER kept unchanged at 20,828 VND / USD from January 2012 to Jun 28th 2013, increased to 21,036 VND / USD - Trading band is fixed +/- 1% Sources: Central Bank. TaiLieuDaiHoc.comtải về 13.46 Kb. Chia sẻ với bạn bè của bạn:
|