In addition to the impact of international markets, the exchange rate between the Vietnam dong and the U.S. dollar in 2025 is expected to face challenges due to a potential decline in foreign currency supply as trade activities and foreign investment inflows encounter difficulties Impact from international markets On December 19–20, 2024, the central exchange rate between the dong and the dollar rose by a sharp VND46, while the dollar at banks increased by VND50, and prices on the informal market climbed by VND30. In 2024, the central exchange rate remained well-controlled, increasing by no more than 2%, yet dollar prices at banks rose by 4.8%, and the informal market showed a 3.8% increase. Globally, the U.S. Dollar Index surged strongly during that time, reaching its highest level in two years. On December 19, 2024, the U.S. Federal Reserve (Fed) decided to lower the federal funds rate by 0.25 percentage point, marking the third rate cut in 2024. However, the Fed signaled a slowdown in its monetary easing for 2025. With upward revisions in GDP growth, inflation forecasts, and a lower unemployment rate projection, the Fed’s optimism about the U.S. economy has justified its caution. Concerns about a resurgence in […]
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