Flexible monetary policy management to control inflation and stabilize the macro economy

On the afternoon of September 6, at a regular Government press conference, Deputy Governor of the State Bank of Vietnam (SBV) Pham Thanh Ha informed about the orientation of monetary and credit policies to achieve the goal of controlling inflation and stabilizing the macro-economy from now until the end of 2025.

The Deputy Governor said that since the beginning of 2025, the global economy has continued to face many risks and uncertainties, stemming from tariff policies, geopolitical tensions and the unpredictable monetary policy roadmap of major central banks. Domestically, production and business activities of enterprises still face many difficulties, while consumption and exports are affected by the complex and unpredictable developments of the global economy as well as the international financial market.

In that context, the Government has set a target of 8.3-8.5% economic growth in 2025, laying the foundation for double-digit growth in the following years. The State Bank of Vietnam recognizes this as an extremely important political task, requiring decisive participation.

Accordingly, the State Bank has proactively and promptly implemented synchronous management solutions to promote economic growth while maintaining macroeconomic stability, controlling inflation and ensuring major balances of the economy.

Deputy Governor of the State Bank of Vietnam Pham Thanh Ha informed about the direction of monetary and credit policy to achieve the goal of controlling inflation and stabilizing the macro economy from now until the end of the year.

Results achieved so far: liquidity of the credit institution system is guaranteed, the monetary market is stable, exchange rates fluctuate flexibly, in accordance with market conditions.

Specifically, the lending interest rate continues to decrease. By the end of August 2025, the average lending interest rate will decrease by about 0.6% compared to the end of 2024. The liquidity of the foreign exchange market is guaranteed, and legitimate foreign currency needs are fully and promptly met; by the end of August 2025, the average interbank exchange rate will increase by 3.45% compared to the end of the previous year.

Regarding credit, growth is positive compared to recent years. As of August 29, 2025, outstanding credit balance of the whole economy reached 17.46 million billion VND, an increase of 11.82% compared to the end of 2024.

Credit programs and policies under the direction of the Government and the Prime Minister continue to be implemented vigorously and effectively by credit institutions, thereby providing timely capital to the economy. These results have contributed significantly to controlling inflation in line with the set targets.

According to the Deputy Governor, the global economic outlook in the coming time still has many potential difficulties, challenges, and increasing risks, requiring policy management to closely follow the situation, be proactive, flexible, and effective. Based on the socio-economic development orientation of the Party, the National Assembly, and the Government, the SBV will focus on 5 key groups of solutions.

Firstly, flexibly and synchronously manage monetary policy tools and solutions at appropriate times and doses, harmonizing exchange rates and interest rates, creating favorable conditions for production and business, thereby promoting growth, ensuring macroeconomic stability and controlling inflation according to targets.

Second, continue to flexibly manage exchange rates, closely follow market developments, and be ready to intervene in the market when necessary to ensure stability in the foreign exchange market.

Third, direct credit institutions to continue making efforts to reduce operating costs and promote digital transformation, thereby striving to reduce lending interest rates, contributing to supporting businesses and people.

Fourth, credit management must be consistent with macroeconomic developments and capital absorption capacity to promptly supply capital to the economy.

Fifth, continue to closely coordinate with ministries and branches to promptly remove difficulties in implementing credit policies, creating favorable conditions for businesses and people to access bank credit capital.

“During the operation process, the State Bank will continue to closely monitor domestic and international economic developments to promptly adjust monetary policy flexibly, in accordance with practical requirements,” Deputy Governor Pham Thanh Ha affirmed.

Source: https://baolamdong.vn/dieu-hanh-chinh-sach-tien-te-linh-hoat-de-kiem-soat-lam-phat-on-dinh-vi-mo-390375.html