The United States Department of the Treasury and the State Bank of Viet Nam announced on May 29 that they will continue close consultations through the Viet Nam – U.S. Macroeconomic Financial Policy Dialogue. Both parties reconfirmed their commitments under the International Monetary Fund Articles of Agreement to avoid manipulating exchange rates or the international monetary system for purposes such as preventing effective balance of payments adjustment or gaining an unfair competitive advantage.
The two institutions agreed that any macroprudential or capital flow measures should not target exchange rates for competitive reasons. They also stated that other government investment vehicles, including pension funds, invest abroad with the aim of achieving risk-adjusted returns and diversification, rather than targeting exchange rates for competitive purposes.
According to the joint statement, intervention in foreign exchange markets is considered an appropriate tool in response to both appreciation and depreciation pressures when addressing volatile movements in exchange rates. This approach aims to maintain macroeconomic stability as countries develop their financial markets.
Both sides emphasized the importance of transparent exchange rate policies and practices. The State Bank of Viet Nam committed to publicly disclosing data on net positive foreign exchange purchases—including spot and forward transactions—on an annual basis with a three-month lag starting in 2027. Additionally, it will begin public disclosure of foreign exchange reserves data and forward positions in line with the International Monetary Fund’s Data Template on International Reserves and Foreign Currency Liquidity beginning in 2027.
